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Japanese Hygiene Giant Unicharm Bets on China’s Pet Food Growth

The company aims for pet products to reach 20% of China revenue by 2030
Japan
u 8113.TSE Mid and Small Cap 2000 Consumer 250
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Unicharm Corp. will commence full operations at its new Chinese pet food manufacturing facility this year, betting on a market that analysts project could reach $20.6 billion by 2030, Nikkei reported.

The Japanese personal care company constructed the Jiangsu province plant through a joint venture with local partner Jia Pets, where Unicharm holds over 40% ownership. The facility required approximately ¥10 billion ($67.6 million) in construction costs, with Unicharm shouldering roughly half the investment.

The ambitious expansion reflects Unicharm’s drive to transform its China business model. Pet-related products currently represent just 1% of the company’s revenue in the country, but executives target growing that figure to 20% within six years.

China’s pet food sector has attracted significant foreign investment as domestic production surged 9.3% in 2024 to 1.6 million tons. The market size is estimated at $12.65 billion in 2025 and expected to reach $20.61 billion by 2030, growing at a compound annual rate of 10.25%, according to industry research.

However, Unicharm faces intensifying competition from domestic manufacturers, which have been gaining market share against international brands. China’s total pet food imports declined 11.4% in 2024, reflecting consumers’ growing preference for locally-produced alternatives that often carry lower price points.

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