China’s education sector is vast, driven by a large number of students and growing demand for diverse educational services. It’s dynamic, witnessing continuous innovation and adaptation to address evolving educational needs and preferences.
Understanding China’s Education Market
China has the world’s largest state-run education system, with 293 million students and 18.8 million teachers in more than 518,500 schools as of 2022.
While the country mandates nine years of compulsory education – six years primary and three years secondary – access to higher education has become very common, with more than 10 million university graduates in 2022.
Impact of China’s Policies on Education Market: Tutoring Ban
In July 2021, the Chinese government launched a broad campaign against the tutoring sector, banning teachers from providing profit-making classes in school curriculum subjects. This policy called “Shuang Jian” (Double Reduction) sought to limit homework and tutoring.
Notable Trends in Education Sector:
- Technology Integration
China has led global investment in education technology since 2015. The pandemic accelerated digital changes as virtual classrooms and online learning quickly adapted to technology platforms, making China the largest education technology market with more than 400 million students. - STEM Learning
Driven by national policies, China has made significant efforts to promote STEM education. Recent years have seen a boom in K12 STEM programs nationally through new technologies and supplementary materials. - International Schools
In February 2023, New Oriental Education International published the Chinese International Schools Research 2023 White Paper, revealing a net increase of 19 international schools in mainland China in 2022 compared to 2021. - Vocational Education and Adult Education
Vocational education continues to be encouraged by the government. In April 2022, the Standing Committee of the National People’s Congress passed updated regulations, highlighting continued government support for vocational education. - Overseas Chinese Community
Facing the impact of the “Double Reduction” policy, Chinese tutoring companies are exploring new opportunities abroad. These companies, previously influential in preparing students for overseas study, are now shifting their focus to children of Chinese citizens residing abroad.
Business Prospects and How to Enter the Chinese Market
China’s education landscape is built on solid fundamentals: a large market and sustainable demand for good education at all levels. But entering or expanding in the sector presents challenges, especially for small institutions and new entrants.
High barriers include service experience requirements, technical expertise, and strong sales channels. The fundamental obstacle involves navigating a distinctive regulatory environment and adapting content and technology to local standards, language, and educational preferences.