- Joined
- Aug 20, 2022
- Messages
- 29,171
- Points
- 113
Chongqing surpassed Shanghai in consumer spending. Singaporeans played a part
Total retail sales in the city hit 1.67 trillion yuan (S$312 billion) in 2025, the highest in China.
People enjoying the night lights of Hongya Cave from Qiansimen Bridge in south-western China’s Chongqing municipality on Dec 15, 2025.
PHOTO: AFP
Aw Cheng Wei
Published Mar 30, 2026, 05:00 AM
Updated Mar 30, 2026, 05:00 AM
Mr Aloysius Koh’s visit to Chongqing in November was driven by what he saw of the city on social media, from its signature spicy mala hotpot to its unusual sloping terrain and viral videos shot in the streets.
“I’ve always wanted to visit Chongqing because I like mala,” said the 28-year-old Singaporean. “Then, I saw videos of people jumping on motorcycles and hanging off buildings. So I got more curious about Chongqing.”
He ended up spending 20 per cent more than he had budgeted, after realising that prices in Chongqing were lower than he expected. Meals were “about a third of Singapore prices”, and he also bought “a lot of souvenirs and snacks” home for friends and relatives.
Thanks to an influx of tourists like Mr Koh, the south-western municipality overtook Shanghai as China’s top city for consumer spending in 2025, breaking the financial hub’s seven-year record.
Chongqing took the second spot in 2022.
Official statistics released in January showed that Chongqing’s total retail sales of consumer goods hit 1.67 trillion yuan (S$312 billion) in 2025, up 3.1 per cent from 2024 and surpassing Shanghai’s 1.66 trillion yuan.
Experts attribute the growth to Chongqing’s larger consumer base of 31.9 million residents as compared with Shanghai’s 24.8 million, lower cost of living, and greater willingness to spend – evident in the city’s consumption rate of 69.1 per cent, higher than Shanghai’s 67.1 per cent.
Another reason is a rise in both international and domestic tourists.
Official statistics in September showed that for the first seven months in 2025, Chongqing received 279 million domestic visitors who spent 297.6 billion yuan – an 11.1 per cent increase over the same period in 2024.
Chongqing received 760,000 foreign tourists in 2025, a 30 per cent jump from 2024. The top five sources were Malaysia, Thailand, Singapore, Indonesia and South Korea, with South-east Asia accounting for 72 per cent of total overseas visitors.
Local media reported that total tourist spending in Chongqing for both domestic and international travellers exceeded 550 billion yuan in 2025.
Foreign tourists’ shopping lists included smartphones, drones, designer toys, hotpot base ingredients and traditional Chinese medicine products, according to officials.
Professor Huang Qinghua at the Southwest University College of Economics and Management said China’s push to allow more foreign visitors to enter the country without a visa and Chongqing’s high social media exposure have helped the city attract more international visitors.
“Travelling into China has become more fuss-free, and more people are getting to know China’s south-western region, such as Chongqing, Sichuan and Yunnan, on social media,” he told The Straits Times.
He added that the addition of foreign tourists solidified Chongqing’s leading position as one of China’s top tourist cities, given that the city has always been popular with out-of-towners.
Marketing professor Wang Wangshuai at Xi’an Jiaotong-Liverpool University in Suzhou said that tourists “slip into a vacation mindset” when they visit a trendy destination like Chongqing.
“They become far less price-sensitive and much more willing to pay for experiences that offer immediate emotional compensation or a great social media post, like eating authentic hotpot in a converted bomb shelter,” he added.
An official statement in January showed that for 2025, overall air travel volume in and out of Chongqing grew 6.9 per cent to 46.3 million, while rail trips hit 1.5 billion, an 11.7 per cent increase from 2024.
These increases boosted the food-and-beverage industry’s revenue, which grew 4.6 per cent from 2024 to hit 247 billion yuan.
Since April 2025, the Chongqing authorities have encouraged local businesses to experiment with ways to get consumers to spend.
These include holding food-themed movie screenings coupled with tastings, sporting events and the incubation of what the country calls the “debut economy”. This refers to store launches of new products, business models or technology and services to generate buzz among consumers.
A Thai tourist, who gave his name only as Top, told ST that he busted his budget by about 70 per cent during his five-day visit to Chongqing in December.
“I did not expect to go out partying every night. Chongqing has a very vibrant nightlife scene,” said the 33-year-old, who was drawn to visit after seeing the city’s attractions on social media.
“My friends and I would have our dinner, walk along Jialing River, and then head to a club or a livehouse venue,” he added.
Southwest University College of Economics and Management’s Prof Huang said that Chongqing’s lower cost of living, as compared with that of first-tier cities like Shanghai, provides better value for tourists. “Chongqing’s culinary specialities, including hotpot and noodles, are not expensive here,” Prof Huang said.
Furthermore, many attractions in Chongqing such as Hongyadong – a revamped stilt building constructed along cliffs by the river – that netizens see on social media are free to visit, he added.
Xi’an Jiaotong-Liverpool University’s Prof Wang explained that as “restaurant catering and retail sales at tourist spots are strictly counted towards a city’s total retail sales of consumer goods, this relentless flood of high-frequency, emotionally driven spending directly pushed Chongqing’s overall numbers past Shanghai’s”.
Boosting domestic demand remains a top priority for China in 2026, as stated in the latest government work report released in early March, with policymakers working to raise consumer spending to cushion against geopolitical uncertainties.
Prof Wang said that Chongqing’s overtaking of Shanghai as China’s top city for consumer spending bodes well for the government’s push to increase domestic demand in 2026.
But he warned against being overly optimistic, as “one city’s strong performance does not automatically mean that the broader challenge has been resolved”.
“In the long run, income growth remains the key constraint (for long-term growth in consumer spending),” he added.
Per capita annual disposable income for Shanghai residents continues to lead the country, with 91,987 yuan, followed by Beijing’s 89,090 yuan. The figure stands at 41,580 yuan for Chongqing residents.
Prof Huang said that Chongqing tends to attract more budget-conscious travellers due to its lower costs. Pivoting to attract travellers with more spending power would help sustain or even increase consumer spending.
“The growth of Chongqing’s tourism services, particularly to attract the well-heeled, is one way to boost the income of residents here,” he said.
“What we have for now is a good start, but the real challenge is to ensure that Chongqing can sustain its lead.”
