In recent years, China has experienced a remarkable surge in outdoor activities, specifically in camping, fueled by nationwide fitness policies and the influence of the pandemic. This surge has created a substantial demand for camping equipment, leading to rapid growth and an upward trajectory for the industry. Projections suggest that by 2025, the camping economy in China will reach an impressive estimated value of RMB 1.44 trillion (US$202.04 billion).

While China's current outdoor activity participation rate stands at approximately 10 percent, significantly lower than the rates exceeding 50 percent observed in countries such as the United States, the revival of the outdoor industry in China has sparked a growing interest in camping. With its diverse recreational opportunities and relatively accessible entry requirements, camping is playing a crucial role in bridging the engagement gap between China and well-developed Western nations.

This article delves into the recent policies implemented to promote the camping industry in China. Furthermore, it explores the prevailing market trends and discusses the promising opportunities for foreign direct investment (FDI) in this flourishing sector.

An In-Depth Look at China's Thriving Camping Market

As Chinese consumers show a growing interest in outdoor activities and develop a greater appreciation for nature, the popularity of camping is on the rise. In response to this trend, the government is investing in camping infrastructure and implementing supportive policies, creating a favorable environment for market growth. This presents significant opportunities for businesses and investors looking to enter the thriving camping market in China.

Size of the market and future growth

Based on the latest Report on Analysis of the Camping Industry in China, the camping economy experienced significant growth in 2022. The core market size reached RMB 113.47 billion (US$15.92 billion), with a year-on-year growth rate of 51.8%. The peripheral market also saw notable expansion, reaching RMB 581.61 billion (US$81.59 billion) with a year-on-year growth rate of 52.6%.

This positive trend is expected to continue, with projections indicating that by 2025, the core market size will increase to RMB 248.32 billion (US$34.83 billion). The peripheral market is estimated to reach RMB 1.44 trillion (US$202.04 billion). These figures illustrate the strong and promising outlook for the camping industry in China.

The remarkable growth rates reflect growing interest and participation among consumers in camping activities, driving the overall market expansion. This presents opportunities for investment and further development within the industry as more people embrace camping as a preferred leisure option.

Industry leads and influential brands

According to data from 2021, China has a total of 68,700 camping-related enterprises. These include manufacturers, retailers, gear rental companies, tour operators, campsite developers and operators, outdoor adventure companies, and other businesses catering to campers and outdoor enthusiasts. The number of registered camping-related enterprises in China has consistently increased over the years, growing from 464 companies in 2012 to 22,214 companies in 2021, with a compound annual growth rate (CAGR) of 53.7%.

The top 10 camping brands in China reflect a mix of domestic and international players. Chinese brands dominate the mid-to-low-end market segments and hold a portion of the mid-to-high-end segments. On the other hand, many international brands primarily target the mid-to-high-end market.

In recent years, local enterprises like MobiGarden and TOREAD have experienced rapid growth, strengthening the market share of domestic brands in the mid-to-high-end segment. This trend underscores the increasing competitiveness of local players in the Chinese camping industry.

Main categories of camping tourism in China

Camping in China can generally be categorized into three modes:

1. Traditional camping: This mode involves bringing basic facilities such as tents, sleeping bags, and portable furniture for a safe, convenient, and cost-effective camping experience.

2. Glamping (Glamorous camping): In this mode, consumers require more equipment to create a luxurious camping experience. This may include camping lights, portable coffee makers, outdoor refrigerators, air conditioners, cartridge stoves, foldable tables, barbecue tools, and travel tea sets. Glamping tends to be more expensive compared to traditional camping.

3. RV camping: Although the RV market in China is relatively small compared to other regions, such as the US and Europe, it has considerable potential for future development.

Glamping has seen significant growth in recent years, reflecting a shift in consumer preferences. Instead of focusing solely on specialized equipment, consumers now prioritize comfortable experiences and creating a pleasant atmosphere during their camping journeys. As a result, various products catering to these demands, such as camping lights, cookware, and electronic appliances, have experienced notable increases in sales.

Several policies that influence the camping industry

The camping industry is being actively promoted by the Chinese government, which has recently issued policy documents to encourage outdoor sports and fitness activities. These measures show a dedication to improving the range of camping products and boosting the popularity of camping tourism. These favorable policies concentrate on four main areas aimed at enhancing camping products and services:

1. Diversifying outdoor recreational activities: Efforts are made to incorporate additional outdoor sports and recreational activities near camping sites. This involves developing hiking trails, walking paths, biking routes, and other facilities that allow campers to engage in various outdoor pursuits.

2. Enhancing camping facilities: The Chinese government encourages local authorities and park management teams to improve camping facilities in suburban parks. This includes creating designated camping areas, installing necessary amenities, and ensuring adequate security measures for camper safety.

3. Accelerating infrastructure development: There is a focus on expediting the construction and maintenance of essential facilities. This includes upgrading roads, improving access points, establishing information centers, and implementing waste management systems to promote environmental sustainability.

4.      Collaboration with outdoor equipment companies: The government encourages outdoor equipment companies to design and manufacture camping gear that caters to different user preferences and demographics. This ranges from high-quality tents, sleeping bags, and cookware to innovative camping technologies that enhance the overall camping experience.

In the years ahead, government agencies will likely intensify efforts to establish and enforce standardized norms for the construction and operation of camping sites. This will enhance regulatory oversight, boost consumer confidence in camping sites, unlock market consumption potential, and generate tangible returns on investment for stakeholders.

Developing regulations for camping sites.

Since May 2023, major cities in China like Beijing, Shanghai, and Guangzhou have progressively introduced comprehensive regulations for managing camping sites. These regulations outline specific guidelines regarding site selection, safety measures, environmental hygiene, and facilities and equipment.

In Beijing, the "Opinions on Standardizing and Guiding the Development of Camping Sites" document presents 20 safety requirements. These include criteria for selecting camping locations, standardized construction practices for safety production, risk identification, personnel registration, fire and flood season safety, emergency management, and more.

Shanghai's "Opinions on the Management of Camping Sites in Shanghai" provide management requirements such as site selection, operation, safety management, and ecological and environmental protection. It also encourages the integration of camping with rural resources, outdoor sports, nature education, leisure, and wellness activities to create high-quality camping experiences.

In Guangzhou, the "List of Open and Shared Areas in Guangzhou’s Parks and Green Spaces" identifies 82 designated lawns and shaded areas where tents can be pitched, expanding the availability of shared spaces and open areas in parks.

These developments highlight the growing recognition of the need to regulate and promote safe and sustainable camping practices. Other cities may take inspiration from these regulations and develop their own in the future.

Various business models for camping sites.

Currently, the integration of camping with various cultural and entertainment industries has become a major trend. In addition to traditional camping combined with natural scenery, a wide variety of innovative camping and leisure activities are emerging. 

• Camping + adventure sports: Integrating activities such as skydiving, rock climbing, kayaking, and other extreme sports to attract outdoor sports enthusiasts to campsites. 

• Camping + children’s education: Camping sites offer a series of parent-child educational activities aimed at fostering children’s connection with nature, developing their understanding of the natural environment, and enhancing their outdoor survival skills. 

• Camping + artistic performance: Camping site operators collaborate with cultural and art institutions to combine camping experiences with art events, music festivals, and sports competitions. 

Investment prospects for international investors

As China's camping industry continues to expand rapidly, foreign investors have the chance to tap into specific market segments, develop unique products and services, and take advantage of the enormous potential within China's camping market.

According to the latest Catalogue of Encouraged Industries for Foreign Investment (2022 Version), there are numerous sectors related to camping products and services that foreign investors are encouraged to invest in. These include the development of tourism infrastructure, provision of tourism information services, construction and operation of outdoor sports facilities and fitness venues like sports campsites, and research, popularization, and promotion of sports products and services.

To succeed in this market, foreign investors should adopt a differentiated approach by targeting emerging market segments such as glamping and focusing on research and development of camping-related products that cater to diverse camping scenarios. Leveraging available campsite resources to provide distinctive services is also crucial to avoid offering redundant and low-value options. For example, embracing the "camping +" concept can create economic synergies and facilitate the creation of unique campsites and innovative camping projects.

In summary, with the rapid growth of China's camping industry and increasing demand for camping products and services, there are lucrative opportunities for foreign investors. By strategically investing and leveraging campsite resources, foreign investors can establish a strong presence in this thriving market. Adapting to emerging trends and meeting the evolving needs of Chinese campers will be key to achieving success and capitalizing on the immense potential of China's camping industry.