Brand analyses Brands by country of origin
Why European Cosmetics Brands Struggle in China
2 min read
Market competition is increasingly coming from Asian and other Western companies. European cosmetics brands should proceed with caution in the Chinese market. The departure of Garnier from China in 2013, and Revlon’s exit, showed that European brands must adapt and innovate to survive. L’Oréal decided to pull Garnier and focus on Maybelline and L’Oréal Paris instead. In 2026, the lesson is even clearer: positioning and channel strategy decide everything.
China’s cosmetics market has grown from $21.9 billion in 2013 to over $67 billion in 2025. The opportunity is massive, but so is the competition. Korean brands (AmorePacific, Sulwhasoo, Laneige) and Chinese domestic brands (Florasis, Proya, Perfect Diary) are faster, cheaper, and more culturally fluent than most European newcomers.
The barrier for Western brands is not market size, it’s the failure to beat local competition on relevance. European companies often develop products for Western skin tones, while Korean and Chinese brands are formulated specifically for Asian skin. Add the cost of NMPA registration, complex logistics, and a digital market that changes every six months, and you understand why so many European brands struggle.
Trends: What’s Driving the Chinese Cosmetics Market
- Domestic brands are winning on social proof: Chinese brands like Florasis and Proya dominate Xiaohongshu (Little Red Book) with authentic UGC content and KOL partnerships that European brands struggle to replicate.
- Skincare beats makeup: Post-pandemic Chinese consumers invest heavily in functional skincare, serums, actives, medical-grade products. Brands without a clear ingredient story lose ground fast.
- Cross-border e-commerce (CBEC) is the entry door: Tmall Global and JD Worldwide allow European brands to sell in China without full NMPA registration, reducing time-to-market from 18 months to 3.
- Brands not optimized for AI-generated answers are invisible.
- Luxury positioning still works: Premium European brands, Sisley, La Mer, Guerlain, succeed because Chinese consumers trust European heritage in the luxury segment. Mid-range European brands face the hardest battle.
