Chongqing - According to a recent Savills report, Chongqing's retail consumption industry experienced a modest recovery in the first quarter, with new stores for digital appliances and outdoor products opening at a notably higher rate than other categories.

Demand in Chongqing's retail market is recovering slowly, but the influx of new stores continues, intensifying competition and raising the overall vacancy rate to 20.1%. Meanwhile, ground floor rental prices have slightly decreased, dropping by 0.2% to an average of 372 yuan per square meter monthly.

Despite overall challenges, certain sectors, particularly digital and electrical products and sports and outdoor equipment experienced growth. Major brands like Huawei, Honor, JD, Casarte, and Midea opened multiple stores, while international names like SALOMON, Lululemon, and Snow Peak expanded into Chongqing. Moreover, stores offering interactive, experiential services, like the Van Gogh Star Art Museum at IMIX Park, are also on the rise.

During the first quarter of 2024, Chongqing's retail property market remained stagnant, with two comprehensive commercial complexes, Inreach in Shapingba District and the Mixc in Danzishi, ceasing operations.

The report forecasts over 300,000 square meters of new commercial projects in 2024, with over 30% in core business districts.

In 2023, duty-free sales in Chongqing doubled from 2022, driving growth in the consumer market. At the end of last year, the municipal government continued to promote cross-border e-commerce development through policies fostering entity growth, park construction, and service network enhancement, which gives rise to ongoing demand for warehousing and logistics leasing.

In 2021, the Chongqing municipal government set the goal of surpassing 1.55 trillion yuan in the total retail sales of consumer goods and exceeding 200 billion yuan in online retail sales by 2025. By 2030, Chongqing aims to become an international consumption center.

In Forbes China's City Vitality Ranking for 2023, Chongqing ranked fourth, closely behind Beijing, Shanghai, and Guangzhou. In the first three quarters of 2023, Chongqing introduced 341 brand flagship stores, marking a remarkable growth of 216%.