30/10/2025
China’s “Silver Economy” Booms: One-Fifth of the Population Over 60, Kindergartens Turn Into Nursing Homes, and Milk Powder Now Made for the Elderly
China’s so-called “silver economy” is booming, as one in every five citizens is now over 60 years old.
The decline in the number of children meant fewer enrollments in Mrs. Li’s schools. Then, when the COVID-19 pandemic hit, she realized she had overlooked a vast potential customer base — the elderly.
So, Mrs. Li decided to convert her preschools in Jinan into nursing homes, offering singing, dancing, music, and art classes for senior citizens.
According to Mrs. Li, unlike schools for children that close during summer or winter breaks, her elderly classes are always full and operate year-round. The elderly’s desire for social interaction — combined with the fact that their children and grandchildren are often too busy to care for them — has made her services highly sought after.
China’s rapidly aging population is expected to have a profound impact on the world’s second-largest economy, and businesses like Mrs. Li’s are already transforming to adapt.
400 Million Seniors by 2035
In 2022, China’s population declined for the first time since 1961, meaning deaths outnumbered births. The number of people aged 60 and older reached 290 million, equivalent to one in every five citizens.
The National Health Commission of China (NHCC) estimates that the elderly population will exceed 400 million by 2035.
In a 2021 directive, the State Council of China called for a strong push to develop the “silver economy”, targeting the nation’s rapidly growing elderly demographic.
In response, entrepreneurs like Mrs. Li have shut down kindergartens and opened fashion and performance training classes for seniors. These programs teach older adults how to dress, walk, and speak confidently — even becoming social media influencers (KOLs).
Meanwhile, state-owned Xinjiang Tianrun Dairy has acquired a competitor and shifted its production to milk products for the elderly, abandoning its former focus on children’s milk.
Similarly, Nestlé has announced plans to expand its elderly-focused dairy line in China, emphasizing products that help prevent muscle loss, improve sleep, and support digestion.
Other major Chinese dairy companies, such as Yili Group, have begun advertising milk as a perfect Lunar New Year gift for parents and grandparents, rather than focusing solely on infants as before.
The cybersecurity firm 360 Security Technology, known for its smartwatches for children that allow parents to track location and online activity, has since pivoted to elderly care wearables. Since 2019, it has developed smartwatches for seniors with blood pressure and heart rate monitors, GPS tracking for family members, and one-click emergency calling.
According to Associate Professor of Economics Ling Shi He at Monash University (Australia), the elderly market in China is expanding so rapidly that even companies once focused solely on children and their parents are now being forced to adapt.
“Businesses simply have no other choice,” Mr. Ling said.
A Booming Sector
Data from China’s Ministry of Education shows that the number of newborns fell 6% year-on-year to just 9 million in 2023, while preschool enrollments dropped nearly 12%.
This demographic shift has led to some ironic situations.
In 2023, teacher Zhang Youlan applied for a job at a kindergarten in Xi’an — only to discover the facility had been converted into a nursing home, which then offered her a position there instead.
Ms. Zhang said nursing homes still hire preschool teachers because the roles are similar: guiding seniors in singing, dancing, arts, and crafts.
According to the Ministry of Education, over 20,000 kindergartens closed in China between 2022 and 2023, and the number of preschool teachers fell by 5% last year.
In contrast, elderly care services are booming — the number of nursing homes in China has doubled since 2018.
“The future of this industry looks brighter than that of preschools,” Zhang lamented. “There are more and more elderly people, and fewer and fewer children.”
Another example is Cai Hao, the owner of a maternity and baby products store in Shijiazhuang. As the birth rate fell and the population aged — worsened by the COVID-19 pandemic — his business struggled.
“Without babies, customers have no reason to shop here,” Cai said.
Then, when a customer asked if he sold milk powder for seniors, Cai decided to give it a try — and it became his lifeline.
Ironically, sales of elderly-related products surged, prompting him to stock more items for older customers.
“I never intended to target the elderly,” Cai admitted. “But now, 10% of my store’s sales come from senior milk products.”
He added with a smile:
“Who wouldn’t want to sell more?”
Source: The New York Times
Translated by Băng Băng — Nhịp Sống Thị Trường
from: https://cafef.vn/nen-kinh-te-dau-bac-bung-no-o-trung-quoc-1-5-dan-so-tren-60-tuoi-nha-tre-chuyen-thanh-vien-duong-lao-sua-bot-san-xuat-cho-nguoi-gia-188241002200148337.chn
