Asia’s Silver Economy | Japanese Companies Bet on China’s Ageing Market

By Kelly in Tokyo

Japanese companies are accelerating their expansion into China’s fast-growing silver economy, moving beyond product sales toward elderly-care services, retail networks and integrated health solutions.

At a Northeast Asia silver economy event held in Shenyang in June 2026, more than 400 companies from China, Japan, South Korea and other countries participated, with JETRO organizing a dedicated Japanese business delegation.

The momentum continued in July, when Panasonic signed a strategic partnership with two Chinese companies to develop projects combining longevity medicine with health-oriented communities. Japanese elderly-care supplier YAMASHITA also joined CHINA AID 2026, China’s largest care and welfare exhibition, where it held around 100 franchise-related business discussions.

These moves suggest that Japanese companies no longer see China’s ageing market as a testing ground. They are beginning to treat it as a long-term growth market.

YAMASHITA and Welfan: A 100-Store Target

YAMASHITA and wholesaler Welfan plan to expand their elderly-care retail network in China to around 100 directly operated and franchised stores by 2030.

YAMASHITA has been developing elderly-care businesses in China since 2012. In 2025, the two companies jointly established a Shanghai-based business, followed by a new company in Wuxi in April 2026.

The companies are targeting China’s more than 323 million people aged 60 and above, using the “Shanyuelunqiu” brand to build a nationwide sales network for elderly-care products.

Their expansion is also tied to the broader rollout of China’s long-term care insurance system, which is expected to increase demand for professional care products and services.

Panasonic: From Products to Solutions

Panasonic is taking a broader approach.

After decades in China, the company is shifting from selling individual products toward integrated elderly-care and wellness solutions.

In 2026, Panasonic again used the silver economy as a key theme at the China International Supply Chain Expo, highlighting its Wellness Smart business, which combines Japanese elderly-care experience with China’s manufacturing and supply-chain capabilities.

In July, Panasonic signed a three-party agreement with Beijing-based partners to develop projects combining longevity medicine, health communities and wellness-oriented urban planning.

The company is also drawing on experience from its smart-town projects in Japan, including Fujisawa and Osaka, as references for its China strategy.

From Individual Companies to Regional Cooperation

Japanese participation is also becoming more institutionalized.

During the Shenyang event, industry organizations from Liaoning, Heilongjiang, Jilin, Inner Mongolia, Japan and South Korea established a Northeast Asia Silver Industry Cooperation Network.

The initiative aims to promote policy dialogue, mutual recognition of elderly-care standards, technology sharing and joint training.

For Japanese companies, such platforms could lower barriers to entering China and make cross-border cooperation more systematic.

The Real Challenge: Localization

The opportunity is large, but success is far from guaranteed.

Japanese elderly-care companies have entered China before, and many earlier projects struggled because services designed for Japan did not always match Chinese consumer habits, pricing expectations or local policy conditions.

That remains the central issue today.

China does not simply need Japanese-made elderly-care products. It needs solutions that work in Chinese cities, communities and households.

For Panasonic, YAMASHITA and other Japanese companies, the real test is therefore not whether China’s silver economy is large enough.

It is whether Japanese experience can be successfully adapted to Chinese demand.

As China’s ageing market continues to expand and long-term care insurance moves toward wider coverage, Japanese companies are positioning themselves for a new phase of growth.

Their biggest advantage may be decades of experience in an ageing society. Their biggest challenge will be making that experience local.