The Impact of Demographic Change on Consumer Market and Production Sectors in China

Currently, the global birth rate is generally showing a downward trend. China had faced the first negative population growth in the past 61 years in 2022. These demographic phenomenons make the government concerned and attract a number of economists and demographers to do researches on them. After learning some former studies, this article is based on data from China Statistical Yearbook(www.stats.gov.cn), CHFS and CFPS to figure out the trend of consumption with the background of aging population and sub-replacement fertility in China. The result shows that the trend of aging population has a positive effect on living consumption, but has a negative effect on the aggregate consumption. There is still a large amount of domestic savings of families with aging population not released to the market since the lack of financial knowledge. The generation Z tend to show their loyalty to the brand who owns the brand culture approved by generation Z. To sum up, the government have to focus on the upgrading of living consumption and the popularization of financial knowledge. Meanwhile, the enterprises have to cultivate their own brand culture to attract and retain the generation Z consumers.