The Surge of China’s Middle Class

China’s rapid economic growth over the past few decades has lifted hundreds of millions out of poverty and significantly increased the wealth of its citizens. According to data from McKinsey and other research firms, China’s middle class has grown from virtually nonexistent in 1990 to hundreds of millions of consumers today, with expectations to exceed 550 million by 2025. With higher disposable incomes, this demographic is increasingly driving consumption, a factor that has enabled China to transition from a manufacturing-based economy to one that also leans heavily on consumer spending.