Retail and foodtech trends in China: what's happening on the market right now

Launching a regular column on retail and foodtech trends in China — short and fact-based, no generic talk about "digital transformation." First issue: what's happening on the market right now.

Unmanned stores are growing faster than it seems

The global unmanned-store market is valued at $1.06 billion in 2026 and is projected to reach $21.37 billion by 2035 — a compound annual growth rate of nearly 40%. Asia-Pacific already accounts for roughly 61.6% of the market, and China is the main driver of that growth, not a side observer.

Technically it isn't one technology but a combination: about 63% of automation in unmanned stores runs on POS terminals, RFID tags, and cameras working together. A shopper picks an item off the shelf — computer vision and shelf sensors register the pick, payment happens by face or QR code on the way out, no cashier involved.

A shelf that sells for itself

In some AI-shelf stores, picking up a product triggers a digital display that immediately shows its features — a sales assistant essentially built into the shelf. Separately in food service, AI inspection tools automatically check whether kitchen staff washed their hands and track inventory in real time — that's not about checkout, it's about kitchen operational control.

Hybrid formats instead of purely unmanned

A fully unmanned store isn't the only format scaling. Hybrid models with minimal staffing plus AI systems are growing in parallel, including AI kiosks in cinemas and tourist spots built for upselling through an interactive experience rather than a live salesperson.

Why this is backed by policy, not just the market

The growth isn't only market-driven — China's Ministry of Commerce digital trade plan and the "Data Elements × Plan" (2024-2026) directly incentivize automation rollout, platform integration, and data infrastructure upgrades nationwide. That means this trend isn't a local experiment by a few chains — it has institutional backing, so it won't stall on its own over the next year.

What this means if you're looking at the market

If you're evaluating a partnership or a technology purchase for retail in China, this is the moment where you can still see these solutions working across several formats at once on the China's Grocery Retail & Instant Delivery tour — unmanned stores, hybrid points, AI-run kitchens — rather than only in a supplier's deck. Future issues of this column will break down specific formats and venues in more detail.