China's film industry is making a strong comeback following the end of the country's zero-COVID policy, with box office sales hitting a record in January as moviegoers raced to see new blockbusters during Lunar New Year.
The industry slumped during the coronavirus pandemic, as cinemas were closed amid citywide lockdowns, Nikkei Asia reports. But theaters have reopened, and fans are coming back. Domestic box office revenue in January topped 10 billion yuan ($1.46 billion), industry oversight body China Film Administration reports.
Lockdowns vs movies
China briefly surpassed North America to become the largest movie market during the pandemic in 2020, but the market comprised of the U.S. and Canada reclaimed its crown in 2022. The Chinese industry is wondering whether it can be paramount again with strong 2023 ticket sales. "I saw two movies during the Lunar New Year holidays, and they were both very good," said a female office worker in the northeastern city of Dalian. She saw historical comedy "Full River Red," from internationally renowned director Zhang Yimou, and sci-fi sequel "The Wandering Earth II.пр" Both opened during the Lunar New Year holidays and became big hits. The woman had been unable to visit the theater for the past year due to fear of infection. "I want to see more and more movies this year, just like I did before the pandemic," she said.
Rapid market growth
During the Lunar New Year holiday period Jan. 21-27, ticket sales surged thanks to hits such as "Full River Red." Box office sales for that week reached 6.76 billion yuan, up 12% from a year earlier and 16% higher than in 2019, before the pandemic. The market's rapid recovery is raising expectations in the industry. Dalian Wanda Group, the country's largest cinema operator, said box office revenue at its theaters during the holiday was 1.04 billion yuan, up 6% from 2019.
"In February, new movies from China and overseas will be opening one after another, and we anticipate this level of ticket sales to continue,"
-a Wanda spokesperson said.
China movie market
The country's box office sales are of particular interest to the U.S. distributors that dominate the business. Hong Kong cinema research firm Artisan Gateway said China's film market grew 26% in the three years up to 2019 due to factors such as the country's economic growth. Though the market shrunk in 2020 during the pandemic, it surpassed North America that year thanks to infection control measures that were stricter than in other countries. But a highly contagious variant raged in 2022, forcing theaters across China to close under lockdowns again.
North America, where a sense of normalcy has returned amid efforts to live with the coronavirus, retook the top spot, ending China's reign after just two years. Chinese Health Ministry officials released an analysis on Jan. 21 showing that about 80% of the country's population had been infected with the coronavirus.
