Shanghai has upgraded its instant tax refund service with digital refund option, bringing further convenience to international visitors.
First piloted in Shanghai in 2019, the instant tax refund service allows eligible foreign tourists to receive tax refunds immediately after purchases rather than waiting until departure at the airport, enabling them to spend the returned cash during their trip.
The measure was expanded nationwide in April this year.
The centralized tax refund point at Shanghai Hang Lung Plaza, one of the busiest shopping malls in the city, has transitioned from cash refunds to digital service, which is expected to expand to additional tax refund points in the future. This enhancement will greatly benefit many foreign tourists who are accustomed to mobile payments.
Previously, the service only allowed for cash refunds, requiring merchants or centralized refund points to pay upfront. The rising popularity of inbound tourism and the growth of international consumption have placed financial pressure on the businesses.
"Especially during holidays, they [the merchants] need to reserve a large amount of cash on hand. The digital channel can reduce their reliance on cash and enable more efficient cash management,” said Janice Cheung Lam-na, director of Hang Lung Properties.
With the introduction of new measures in late April, the filing process was transferred from the provincial tax bureau to the competent tax authority, enabling the rapid expansion of eligible tax refund stores.
"We are speeding up the filing process and can basically complete it within two working days. Since the implementation of the new measures, more than 100 tax refund shops have been added in Jing'an District, mainly in the Nanjing Road W. business area," said Liang Ye, a staff member from the tax bureau in Jing'an District.
Shanghai now hosts over 1,200 tax-refund shops citywide, covering all 16 districts. According to the latest figures, as of June 15, sales under the tax-refund scheme surged 95.8 percent year on year, with refund amounts jumping more than 81 percent over the same period in 2024, ranking first nationwide.
Shanghai upgrades instant tax refund service for overseas travelers with digital refund option
An industry observer said that 2026 is poised to be a "year of sequels and cultural stories" in global animation, following a strong 2025 where such films dominated box offices worldwide.
With heavyweights like Toy Story 5, Minions 3, and China's perennial favorite Boonie Bears set for release, along with culturally rooted productions such as The Three Kingdoms: War 1 Luoyang, the coming months are expected to draw large audiences and reinforce animation's central role in cinema.
This optimism is built on a solid foundation from the previous year.
Looking back at China's film market in 2025, animated features emerged as a powerful driving force. Four of the year's top 10 highest-grossing films were animations, three of which were domestic productions.
Total animation revenue exceeded 25 billion yuan (around 3.58 billion U.S. dollars), capturing nearly 50 percent of the annual box office. As the new year unfolds, the animation sector continues to shine with promising highlights.
A key trend driving this momentum is the surge of sequels from major franchises.
"One notable trend is the abundance of sequels to classic animated films, particularly from Hollywood. Several iconic series are releasing new installments, making 2026 a year of animated sequels. Given their strong IP foundation, these sequels are expected to attract more audiences' attention and achieve solid box office results," said Hu Jianli, secretary general of the Chinese Film Critics Society.
Alongside these international sequels, domestic animation IPs are also deepening their influence and expanding their reach. The annual Boonie Bears series will welcome its latest installment, while the popular TV series The Immortal Ascension is set for its big-screen debut.
"It's fair to say that the Boonie Bears series has maintained the most consistent quality among domestic animated film franchises over the years. Its expansion from television to movies, merchandise, and theme parks represents a fully developed industrial chain, greatly strengthening the IP's presence in the public consciousness. As for The Immortal Ascension, it's the first time that the animation IP is adapted for the big screen, which naturally generates exceptional attention—especially following the successful live-action web series last year. If this first animated film adaptation succeeds, it has the potential to become a major film IP in its own right," said Hu.
Beyond the reliance on established franchises, another significant creative trend is the growing number of animated films drawing inspiration from China's rich classical literature and historical epics. This approach aims to connect with audiences through deeply rooted cultural narratives.
A leading example is a prominent Chinese animation studio Light Chaser Animation's upcoming "The Three Kingdoms: War 1 Luoyang", which dramatizes the early power struggles from the famed historical period.
"We are seeing a clear increase in animated films adapted from classic Chinese novels and myths. Light Chaser Animation Studios' 'New Culture Series' has performed exceptionally well in our animated film market—for example, 30,000 Miles from Changan earned over 1.8 billion yuan (around 257.98 million U.S. dollars) at the box office. This series has truly succeeded in creatively transforming and innovatively developing China's outstanding traditional culture for the big screen, while also resonating emotionally with today's young audiences through its storytelling and character adaptations," said Hu.
Beyond sequels and adaptations rooted in traditional culture, original animated films are also carving out their space with unique concepts and distinctive styles, showcasing further creative possibilities.
Titles such as Arco, a 2025 animated science-fantasy film, and Pixar's Hoppers exemplify this trend of innovation.
"I believe animated films will remain a major force in the global box office in 2026. The worldwide top-grossing film of 2024 was Inside Out 2, and in 2025 it was China's Ne Zha 2. So I'm confident that animated films will once again rank among the highest-grossing releases globally this year," Hu said.
Animated films set to dominate 2026 global box office with strong lineup
