China’s domestic brands boom, fuelled by nationalism, with Li-Ning, Anta standing out from the crowd
- Domestic brands like Li-Ning and Anta have benefited, boosted by rising nationalism, improvements in quality and a multimillion dollar live commerce sector
- Tensions with many Western countries, including the United States, have also driven some consumers to turn to national brands
For Chinese director Zhang Yimou and well-known actor Ni Dahong, track suits were the attire of choice for a red carpet premiere in late April, although as this came just a month after a nationwide boycott of H&M, Adidas and Nike, the decision behind the wardrobe selection was viewed as more than just a fashion statement.
With fellow cast members from the sky thriller Cliff Walkers choosing for more traditional suits, blazers and ties, Zhang opted for an Anta track suit with the Chinese flag appearing on the left chest. The distinctive five golden stars on a red background was also found on Ni’s baseball cap, while he was wearing a tracksuit from another domestic sportswear brand, Li-Ning.
Users on Douban, one of China’s most influential social networking websites which has seen a rise in nationalist sentiment over the past few years, responded positively to the choices of attire with “support national brands!” and “good, very conscious” among the messages, while one said Zhang was worthy of his “national teacher” nickname “on all levels!”.
It is quite similar to the consumption change that has occurred in Japan, where consumers at first preferred to buy high-end foreign brands to establish their social image, but now are favouring national brands
Since March, the share prices of Li-Ning and Anta have doubled, with Li-Ning expecting net profits for the first half of the year to be “no less than 1.8 billion yuan (US$278 million)”, more than three times that of the same period last year, while they could even exceed the net profits for the entire 2020.
Anta, meanwhile, is expected to record a year-on-year increase of not less than 110 per cent in net profits in the first half of the year.
