Tiangong, a humanoid robot, makes its debut and demonstrates walking and running on April 27, 2024, in Beijing. Photo: VCG

First introduced at last week’s Central Economic Work Conference, the term “debut economy” has captured the attention of capital market investors in China. Major brokerages have released a flurry of analysis reports on the lexicon, encouraging investors to assess its growth potential.

The “debut economy”, snow-and-ice economy, silver economy and more belong to the emerging forces poised to boost China’s domestic demand, Guosen Securities Co analysts declared in a note. 

The “debut economy” refers to a range of economic activities involving the launch of new products, new business models, new services, or new technologies, as well as new flagship store openings. It encompasses activities ranging from product launches and service showcases to setting up new research and development centers, and setting up new company headquarters, according to the National Development and Reform Commission, the country’s top economic planner.

In a report released on Monday, Chen Guo, chief investment strategist at China Securities Co, said that the “debut economy” has three defining characteristics -- first-time launches, chain development, and trend set-in.

It can influence consumer trends, unlock consumption potential, bolster brand image, and promote industrial upgrading, making it a highly valuable economic driver, Chen said, adding that new business models and services trends may pivot to the media sector, typically new online businesses. 

For example, the so-called “goods economy” has recently performed strongly at the capital market. The term is a transliteration of the English word “goods” referring to merchandise derived from copyrighted content such as animation, comics, games, and novels, which are associated with the "second dimension" – anime and manga culture, according to media reports.

Centered on the supply side, it contrasts with the competitive “involution” model. It prioritizes new products and new business models to influence consumer trends and stimulate demand through supply-side actions, Yang Chang, chief analyst of Zhongtai Securities Co, told the Global Times on Monday.

With its large consumer base and strong consumption foundation, China remains well-positioned to leverage the “debut economy” to drive supply-side optimization, Yang noted.

A key feature of the “debut economy” is its emphasis on encouraging the launch of new products and fostering new innovation, driving business prosperity and spurring consumption through the creation of more innovative offerings, Zhang Yi, CEO of the iiMedia Research Institute, told the Global Times on Monday.

The annual Central Economic Work Conference was held in Beijing last week as Chinese leaders decided on priorities for the economic work in 2025. The meeting noted that pro-active efforts should be made to develop “debut economy,” ice-and-snow economy and silver economy, according to Xinhua News Agency.

At a forum held on Saturday, Vice Commerce Minister Sheng Qiuping revealed that the ministry will accelerate the release of policy documents to promote the development of "debut economy," providing guidance for local governments to identify the right positioning and develop the sector accordingly. 


Global Times