At the 2024 Tokyo International Film Festival’s TIFFCOM (Content Market), I attended a seminar led by Mr. Cai Gongming, CEO of China’s Road Pictures. His presentation, “Intellectual Property and Content Strategy in China’s Rapidly Growing Market,” analyzed the current landscape and future developments in the Chinese film industry, supported by data from Road Pictures and its brand, GUGUGUGU.
Mr. Cai highlighted that the Chinese film market generated 37.77 billion RMB in 2023, projected to surpass 45 billion RMB by year’s end, though growth has significantly slowed. He attributed this to Hollywood’s waning appeal among young Chinese audiences, with its market share shrinking from 47% a few years ago to under 20%.
In contrast, Japanese animated films performed impressively in 2023, with titles like Suzume, The First Slam Dunk, Haikyu!!, and SPYxFAMILY boosting Japan’s market share in China. Suzume, in particular, emerged as a box-office dark horse, surpassing many Hollywood films. Mr. Cai believes that the film’s themes of “family unity” and “positive energy” strongly resonate with Chinese audiences.
Why is Japanese animation so well-received in China? Pandemic-driven shifts in viewing habits and supportive policies have made domestic films and Japanese animation increasingly attractive. Meanwhile, Hollywood’s reliance on sequels and reboots has led to viewer fatigue.
Japanese animation has leveraged social media to forge a deep connection with young Chinese audiences. With shared cultural values and similar social contexts between Chinese and Japanese youth, the characters and storylines in Japanese anime feel relatable. The diversity in genres—adventure, romance, sci-fi, sports—along with exceptional animation quality, has established Japanese anime as an irreplaceable part of the market.
Taiwan exhibits a similar yet distinct trend. Japanese animation enjoys a stable young audience and greater viewing freedom in Taiwan, with The First Slam Dunk topping the 2023 box office and Suzume following closely. This could be attributed to the “basketball craze” sparked by Slam Dunk in the 1990s. Conversely, in China, while Slam Dunk performed well, its box-office success did not match that of Suzume. As Mr. Cai observed, films emphasizing “positive energy” and “family values” currently enjoy a greater advantage in China.
Interestingly, Chinese audiences’ enthusiasm for Suzume mirrors Taiwan’s long-standing admiration for Hayao Miyazaki’s works. However, Taiwanese viewers’ long-term exposure to a broad range of Japanese content has cultivated a more diverse taste, increasingly similar to Japanese audiences, with interest extending beyond family-oriented themes.
Mr. Cai also noted another challenge: revenue is becoming concentrated in a few major productions. Chinese audiences tend to favor highly acclaimed, buzzworthy films, while smaller productions struggle due to limited promotion and distribution channels. Road Pictures has actively supported Japanese animation in China, bridging the gap through fan events, large screenings, themed merchandise, and pop-up cafes, strengthening its connection with Chinese viewers.
In my view, Taiwan has become a key launch and test market for Hollywood in Asia. Its diverse and open audience often serves as a valuable gauge for broader Asian market potential. As U.S.-China relations evolve, Taiwan’s status as a market with relatively low censorship pressure is gaining strategic importance.
In summary, changes in the Chinese market and Hollywood’s box-office decline have propelled Japanese animation to prominence in the region. Taiwan’s media freedom further positions it as a potential haven for global creators and audiences, potentially making it a key player in future global market competition.
I hadn’t anticipated the opportunity to participate in such an impactful forum at TIFFCOM during the Tokyo International Film Festival. This experience broadened my understanding of the international film industry, offering invaluable insights. I highly recommend visiting this event in the future if you get the chance.