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China’s Activewear Surge Drives Foreign Brands’ Expansion

Financial Times Companies •
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Rapha’s first Shanghai outlet, opened last year, drew crowds of £10,000‑bike riders in pristine kits, saying the city’s consumers go all‑in when they try something new. The visit highlighted the brand’s aggressive expansion strategy amid a competitive landscape across China’s urban core. The store’s footfall ranks among the brand’s highest worldwide, reflecting the surge in China’s active‑wear market.

Other brands echo Rapha’s gains. Amer Sports’ sales in China, Hong Kong, Macau and Taiwan leapt 43 per cent to $1.9bn last year. Swiss maker On reported 44‑per‑cent growth in the Asia‑Pacific region, while Columbia Sportswear logged solid China net sales. These jumps counter global headwinds that have stalled many rivals overall last year.

Lululemon leads the charge, with China net revenue up 29% to $1.8bn in the year to January. The company plans most new outlets this year, citing local demand for wellbeing products. Meanwhile, On and others face regulatory pressure, yet the activity trend continues to lift foreign brands’ margins. Investors note the surge outweighs slower property markets and geopolitical risks, giving a robust growth engine.