Consumption in China's rural areas continues to outpace that in urban areas in recent years, with county-level consumption accounting for a growing share of total retail sales, demonstrating significant growth potential, officials from the Ministry of Commerce said at a press conference on Tuesday.
Official data showed that retail sales of consumer goods in rural areas rose 2.4 percent year on year in the first seven months of 2026, faster than urban areas by 1.3 percentage points. Rural consumption has topped or matched urban consumption for 55 consecutive months. County- and township-level retail sales accounted for 39.1 percent of the country's total, up 0.3 percentage points from the same period last year.
"County-level consumption is accelerating, and this is not accidental. First, new urbanization has brought tremendous growth, as more people move from rural areas to counties. According to China's seventh population census, the resident population in county-level cities grew by over 30 percent, and as many rural migrants settle down, they create new demand for housing, renovation, education and healthcare," said Li Jialu, director of the Circulation Development Department of the ministry.
The ministry also highlighted improving commercial infrastructure and logistics, alongside the expansion of chain brands, as drivers fueling diversified consumption choices at county and village levels.
Looking ahead, the ministry will take multiple measures to boost the consumer market in response to evolving consumption patterns in county-level markets. With service consumption lagging further behind goods consumption in these areas, it will prioritize addressing key bottlenecks while filling gaps, aiming to elevate the level and quality of service consumption.
"We'll especially focus on the needs of seniors and children by expanding age-friendly and child-friendly services and facilities, so that all county-level residents can access convenient, reliable, and high-quality services near their homes," said Li.
China on Tuesday unveiled a set of measures to unlock the consumption potential of counties and smaller cities, tapping the vast lower-tier markets as a new source of domestic demand and economic growth.
The government calls for upgrading consumption channels in counties, including renovating township commercial centers, rural markets and local fairs, encourages domestic and international brands to open regional debut stores, and promotes the redevelopment of existing land resources to improve services, according to a guideline jointly issued by the Ministry of Commerce and other authorities.
The guideline also urges better services that cater to the elderly and children, more efficient urban-rural distribution networks, and stronger county-level employment, as well as more channels for residents to increase their incomes.
The measures come as China seeks to give consumption a bigger role in driving economic growth.
Rural retail sales outpace urban sales in recent years: commerce officials
