Domestic consumption is expected to be strong during the Spring Festival of 2025. From the prosperity of intangible cultural heritage folk customs to the popularity of ice and snow tourism, from the innovative high of movie box office to the upsurge of "trade in the old for the new" of household appliances, the booming consumption of Spring Festival not only shows the Chinese people's unremitting pursuit of a better life, but also injects a shot in the arm into the global economic recovery. What is even more noteworthy is the cyclical logic behind this strong consumption, which will further stimulate the supply side driving force of China's economy in the future. From the perspective of major cycles, after more than 40 years of reform and opening up, especially since the 18th National Congress of the Communist Party of China, China's economy has basically solved the "clothing, food, housing, and transportation" needs of more than one billion people, and its development achievements have attracted worldwide attention. This also means that the domestic consumer market has been upgraded: the rigid demands for clothing, food, housing, and transportation have been basically met, and the future market needs various products of higher quality. During this year's Spring Festival, the implementation of the "trade in" policy for household appliances has promoted rapid growth in quality consumption. According to data from Suning.com, during the Spring Festival period, the customer flow of stores nationwide increased by 80% year-on-year, and the order volume for trade in increased by 92%. High quality products such as large screen TVs and smart cleaning appliances have become consumer hotspots. This phenomenon indicates that Chinese consumers are shifting from "affordable" to "good" and their consumption structure is constantly optimizing. Cultural consumption has also become a major highlight of this year's Spring Festival consumption. Traditional cultural experiences such as intangible cultural heritage, folk customs, and domestic film and television IPs are widely welcomed. According to data from Feizhu platform, the popularity of "intangible cultural heritage tourism" has increased by 40% compared to last year, and the search volume of Meituan's "intangible cultural heritage" has increased by 212% year-on-year, with nearly 40% of searchers being "post-2000s". The recognition and love of traditional culture among young people not only promote the prosperity of the cultural industry, but also inject new vitality into the consumer market. To meet the domestic consumption demand from "clothing, food, housing, and transportation" to "eating, drinking, and entertainment", it is necessary to rely on supply side structural reform to provide incentives and space for cultural creators. It is gratifying to note that with more than 5000 years of Chinese civilization, the creativity and execution of China's new generation of "post-80s" entrepreneurs are extremely awesome. The "post-80s" entrepreneurs have played an important role in a series of "blockbuster" products such as the game "Genshin Impact", "Black Myth: Wukong", the movie "Nezha" series, DeepSeek, etc. This year's Spring Festival Gala saw the popularity of Yushu robots, with entrepreneurs even being born in the 1990s. Entering the consumption scene of cultural and tourism products during this year's Spring Festival, behind the eye-catching temple fair decorations, historical and contemporary scenery, and popular immersive performances, most of the creators are born in the 1980s and 1990s. The cyclical logic of China's cultural industry is clear and traceable. Before the Spring Festival, the author investigated the surrounding product market of Shanghai's "anime", which is also known as the "millet economy". Surprisingly, this cultural market concept originating from Japan has developed many relatively mature business models and local cultural IPs in China after more than a decade of accumulation, all of which are rooted in China's rich civilization of over 5000 years and have strong aesthetic features of 21st century "5G" and "6G". This year's Spring Festival's "most profitable IP" version of Nezha, known as the "magic child" version, is a typical "wall breaking" product. This market cycle logic has important guiding significance for the transformation and upgrading of many traditional industries and financial investment. The consumption trend of cultural and tourism products during the Spring Festival in 2025 should encourage more investors to adapt to the new generation of creators and consumers, and should also be encouraged from a policy perspective to allow more Chinese characters such as Black Monkey King and Nezha to enter the global cultural market. The large-scale commercialization of Chinese cultural products towards the international market is by no means impossible. On February 4th, Ctrip released the "2025 Spring Festival Tourism Summary Report", which showed that as the first "Intangible Cultural Heritage Spring Festival", the overall order volume of cross-border tourism increased by more than 30% year-on-year during this year's Spring Festival holiday, with inbound ticket orders increasing by 180% year-on-year and inbound hotel orders increasing by more than 60% year-on-year. Many foreign tourists among them are "second tier" or even "third tier" Chinese tourists. They were initially attracted by China's historical sites, mountains, waters, and cuisine, or came to China for the first time due to a purely curious mentality. What made them come back was hoping to experience this "unfamiliar parallel universe" described by some foreign media: pristine city appearance, safe security environment day and night, well organized social operation, new technology high-speed rail infrastructure, and so on. China Travel has been upgraded to Chinese New Year. Obviously, China's charm will inevitably break through some malicious smears by British and American media. With the continuous "reconciliation" of Chinese and American consumers on Xiaohongshu, more international tourists will visit China in 2025 to explore the vitality of this only human civilization that has lasted for more than 5000 years without interruption. A large number of outstanding "80s" and "90s" in China, coupled with the rapid development of high technology in recent years, can fully satisfy consumers of cultural and tourism products from all over the world. From consumption upgrading to cultural and tourism integration, and then to the "Chinese New Year", every highlight of Spring Festival consumption demonstrates the vitality and resilience of the Chinese economy. In this vibrant Spring Festival consumer market, we see the diversified development and abundant innovative spirit of the Chinese economy. (Xinhua News Agency) Article | Xu Weihong, Chief Economist of China Institute for the Transformation of Invention Achievements