China's Economy Is On Shaky Ground But Its Movie Industry Is Hitting Historic Box Office Records
- China's economy has not recovered from the pandemic as many expected, but the film industry is doing well.
- From June to September, Chinese consumers spent $3.2 billion at movie theaters, a record for the period.
- Meanwhile, China's economy is struggling with weak growth, a weak real estate sector and a contraction in trade.
China's economy has not seen the expected recovery from the pandemic, but the film industry is still thriving.
From June to September, Chinese consumers spent 23.44 billion yuan, or $3.2 billion, at the box office, a record for the year, according to industry data from Dent and Maoyan cited by CNN.
The new record was achieved thanks to the historically warm months of June to August, when ticket sales reached $2.8 billion, beating the previous record of $2.4 billion set in 2019.
A CNN report highlighted that women made up the majority of China's 570 million moviegoers this summer, with 61% of viewers making top five films. About half of the audience was between 20 and 29 years old.
While "Barbie" and "Oppenheimer" dominate the U.S. box office, China's most popular films are produced domestically, including films such as "No More Betting," "Lost in the Stars" and "Gods of Creation I: Kingdom of Thunder." "
Meanwhile, broader economic problems persist. Beijing is struggling to cope with a volatile property market that is slowing economic growth, weakening trade and eroding consumer confidence.
Some experts even warn that real estate problems could trigger a "Lehman moment" given the enormous default risks and potential consequences.
"The boom that characterized the real estate sector over the last decade is over," said Alfredo Montúfar-Jelou, head of the conference council's China Center, in a recent interview with Insider. “China is at a critical point where it cannot stop supply-side support because economic growth will slow, but at the same time it needs demand-side reforms. We hope that this intention alone can create greater confidence in the market."
