China unveils second batch of 32 pilot cities for retail sector innovation

China's Ministry of Commerce, together with three other government departments, has jointly issued a notice announcing the second batch of 32 pilot cities for the national retail industry innovation and upgrade initiative, the ministry announced on Thursday.

The 32 cities include Qinhuangdao and Baoding in north China's Hebei Province, Wuxi and Yangzhou in east China's Jiangsu Province, and Kaifeng and Xuchang in Henan Province in central China, among others.

The notice urges these pilot cities to conduct bold explorations in policy, management and business model innovation, with the goal of accelerating the establishment of a modern retail system that features abundant supply, balanced distribution, diversified channels, high-quality services, smart and convenient facilities, and green, low-carbon development.

China announced the first batch of 38 pilot cities in June 2025. The first batch includes the likes of Beijing, Tianjin, Shanghai and south China's Shenzhen.

This latest move underscores China's commitment to expanding domestic demand and boosting consumption as key drivers of economic growth, analysts said.

In the first seven months of 2026, China's total retail sales of consumer goods reached 28.77 trillion yuan (4.24 trillion U.S. dollars), up 1.2 percent year on year.

China aims to raise its total retail sales of consumer goods to around 60 trillion yuan by 2030, according to an implementation guideline released on Monday. ■