Zhongjin: In 2026, the young working class in the retail cosmetics industry will grasp the main line of emotional consumption, layout the bottom reversal, and catalyze new technologies.

The China Minmetals Corporation released a forecast for the light industry retail beauty industry in 2026, stating that in 2026, with consumers' continued pursuit of emotional and functional value, industry supply upgrades, and support from consumption policies, the narrative logic of the light industry retail beauty industry will further shift from "expansion" to "quality improvement." Investments should focus on three major directions: emotional consumption, fundamental reversal, and industry transformation catalyzed by new technologies. Industry outlook: 1. Beauty and medical beauty: The report predicts that the growth of the sector in 2026 will come more from the supply side driven by innovations in ingredients such as PDRN and upgrades in functionality, providing structural opportunities. At the industry level, leading domestic brands are still expected to increase their market share. 2. Trendy retail: The report predicts that trendy product categories will continue to maintain high popularity globally, with ongoing innovation in categories and products, deep operations of intellectual properties, and upgraded distribution channels expected to create new growth opportunities. International expansion is also on the rise. 3. Light industry manufacturing: The report predicts a weak recovery in industry demand but sees structural opportunities. It is optimistic about export-oriented companies with production and brand advantages, as well as companies seizing opportunities in industry transformations to develop new businesses and foster growth.