Domestic brands leading China's cosmetics industry

The cosmetics industry in China has reached a milestone, with domestic brands now taking the lead through sustained investment in innovation and focus on consumer-centric efficacy.

Chinese cosmetics industry's full-channel transaction value in 2025 exceeded 1.1 trillion yuan (143.6 billion U.S. dollars) for the first time, according to the data released by the China Association of Fragrance, Flavour and Cosmetic Industries last month.

That market includes makeup, skincare, perfume, cologne, hair care and other products. But in this lucrative market, local brands are no longer on the sidelines, while global names still hold their shine.

"In the past 10 years, the market share of Chinese [beauty] companies has grown significantly. So you can see that the market share [has been] rising from 43 percent [in 2015] to 57 percent last year," said Cheng Jing, chief scientific officer of Yatsen Group.

Chinese brands took half of the domestic market for the first time in 2022, with their share continuing to grow since, reaching 53 percent in 2023, 55 percent in 2024, and 57 percent last year.

"This growth is primarily driven by continuous advancements in innovation, in brand equity, and product use experience," Cheng added.

Yatsen Group, one of China's biggest local cosmetic groups, has invested about 100 million U.S. dollars in R&D since 2020. While building a multi-brand portfolio to serve diverse consumers' needs from skincare, neuroscience to makeup.

Many local brands are betting on biotech and naturally sourced ingredients. Being "cheap" is no longer their tag.

"Domestic players are leading in R&D, with breakthroughs in core ingredients and bioactive materials that power real product performance," said Lu Ying, manager of Shanghai Beauty Nova Tech Hub.

Meanwhile, local trends are rewriting the playbook for international beauty brands in China.

"Chinese consumers are very efficacy-driven and want to understand the science behind it. So our research covers the whole process, from studying their skincare habits, to validating ingredients on China-specific cell models, and testing the final product on real consumers," said Helen Song, Clarins APAC R&D Director.

To stay competitive, French company Clarins built its only overseas research center in Shanghai, developing foundations for local skin tones, skincare for different climates and textures tailored to Chinese consumers.

In the lab, researchers carry out in vitro cell experiments using Chinese skin samples. The data collected will be sent to France for further evaluation.

Global beauty giants like L'Oréal and Estée Lauder have also established high-level research centers in Shanghai – a sign that China is no longer just a sales market, but an innovation hub.

Domestic brands leading China's cosmetics industry

Iranian President Masoud Pezeshkian said Sunday that decisions on war and negotiations rest with Iran's leadership and the Supreme National Security Council, as U.S. Defense Secretary Pete Hegseth said the two countries were still expected to sign a memorandum of understanding later in the day.

At a meeting on Sunday, Pezeshkian said that everyone must obey the decisions made by Iran's Supreme Leader, adding that the Iranian government simultaneously pursues the well-being of its people, national sovereignty, and the development of regional relations.

He stressed that through internal unity, proactive diplomacy, and economic reforms, Iran will overcome challenges.

On the same day, prior to Israel's attack on Lebanon, a source close to the Iranian negotiating team said a Qatari negotiating delegation was in Tehran, Iran's capital, and that the Iranian side was using the Qatari team to convey to the United States the terms it hoped to include in an Iran-U.S. agreement, as well as specific details it considered important.

The source emphasized that no final decision had been reached yet.

Regarding the ups and downs in the negotiations, the source said that, despite setbacks, Iran remains committed to the principle that all of its concerns must ultimately be fully taken into account. The source added that even if Iran's positions are fully reflected in the agreement, Tehran will not sign any deal within the timeframe announced by U.S. President Donald Trump.

On Sunday, the Israeli military again launched an airstrike in Beirut's southern suburbs in Lebanon.

In response, Iranian Parliament Speaker Mohammad Bagher Ghalibaf said on social media that the Israeli strike had once again shown the United States "either lacks the will to fulfill its commitments or the ability to do so," making it impossible to continue the dialogue process.

Meanwhile, U.S. Defense Secretary Pete Hegseth said Sunday that the U.S. and Iran still had a good chance of signing a memorandum of understanding later in the day, which would restart cargo traffic through the Strait of Hormuz and lift U.S. blockades on Iranian ports.

In an interview with U.S. media, Hegseth said the two countries are "on track to" sign a deal to end fighting on Sunday.

"It's not a matter of if, it's a matter of when," he said.

Hegseth said that after the agreement is signed, the U.S. and Iran will have 60 days to negotiate a longer-term peace arrangement and tackle broader issues, including Iran's nuclear program.

He said that the agreement is performance-based, meaning that no funds will be released to Iran until the Iranian side performs.

Iranian president says Iran's leadership decides on war, talk; US defense secretary expects MoU signed on Sunday