As delegates from China’s film industry gathered in Bangkok for this year’s CineAsia (Dec. 8-11), they carried with them something that had been in short supply the past few years: momentum. A revitalized box office and an expectations-heavy holiday slate have given the sector reason to look ahead with something close to optimism.
Back home, headlines have been dominated for weeks by Disney’s Zootopia 2 and its record-breaking run, with around $430 million — and counting — in takings for a non-local animated film. China’s 2025 box office surpassed last year’s $5.8 billion total in early October, and the final tally is expected to far exceed 2024 once the performances of Zootopia 2 and the upcoming Avatar: Fire and Ash (December 19) are factored in.
Zootopia 2’s success is the latest boost to what has been a landmark year for animation in China. The trend was ignited in January by Beijing Enlight Media’s Ne Zha 2, now the highest-grossing animated film of all time globally with more than $2 billion. Other hits, including Shanghai Animation Film Studio’s Nobody ($215 million) and Light Chaser Animation’s Curious Tales of a Temple ($30 million), have further strengthened the sector.
Unsurprisingly, the mood around the China Film Pavilion at CineAsia has been upbeat. All three of those Chinese animated titles are among the 200 productions showcased this week as the pavilion makes its Bangkok debut, following similar showings at international festivals and markets from Cannes to Hong Kong throughout 2025.
The initiative, hosted by the China Film Co-production Corporation (CFCC) under the guidance of the China Film Administration, aims to highlight current trends in Chinese cinema — including the surge in animation.
“The Chinese film market has seen the steady and strong growth of animated films over the past decade, since Monkey King is Back in 2015,” explains Light Chaser Animation president and co-founder Yu Zhou. “These animated films have presented the audiences different story genres, various artistic styles and high production quality, appealing to all age groups. Thus, animated film has become a mainstream film category.”
The creative boom is only part of the story — demographic trends have played an equally important role.
“On the other hand,” adds Yu, “the main moviegoers [aged 20-35] have grown up watching Japanese, American and Chinese animation, so it’s a natural move for them to choose animated films. Also, animated films bring much stronger derivative business opportunities such as merchandising and even theme parks.”
Disney tapped into this potential early, opening a Zootopia-themed section at its Shanghai park in 2023— the only one of its kind — after the first film grossed more than $230 million in China in 2016. This year, Zootopia 2 has arrived to find a Chinese industry that has rapidly expanded its revenue streams in response to post-pandemic dips in audience numbers.
State media recently reported around 14,000 co-branded merchandising tie-ins for Zootopia 2, many of them linked to the booming “blind box” trend, in which consumers purchase sealed collectible toy boxes without knowing which item is inside.
Wanda Films has been deeply involved, building commercial tie-ins and promotions into its strategy to transform its roughly 700 Wanda Cinemas into full-fledged entertainment hubs. The global film industry is taking notice: Just last week, Wanda Film signed an MOU with Imax to “collaborate on merchandise development, brand-driven IP initiatives, and retail programs, leveraging their extensive nationwide networks as sales channels to connect with wider audiences,” according to state media.
Beyond animation, the China Film Pavilion is spotlighting major releases such as Shen Ao’s World War II drama Dead to Rights, the country’s international Oscar submission, and the musical drama A Tapestry of a Legendary Land. The latter is billed by Chinese film officials as an example of the nation’s increasingly diverse content, “adapted from a popular stage dance drama that showcases the poetic beauty of China’s traditional culture.”
More than 70 Chinese film companies are represented at the pavilion, including China Film Group Corporation, CMC Pictures, Lianray Pictures, the China Film Archive and the China Film Foundation. CFCC is also sharing updates on “import and co-production policies” and facilitating connections between international filmmakers and Chinese partners.
One promising area for collaboration is virtual reality. A dedicated VR zone within the pavilion features previews of productions including Journey to the Center of the Earth and Mulan 2125.
Officially, the pavilion aims to “facilitate international film transactions, solidify Sino-foreign cinematic partnerships, and boost cultural appreciation within the global industry.”
That mission, organizers say, is only the beginning.
“In the future, the pavilion will continue to widen international exchange and cooperation, supporting Chinese film companies and their works in becoming an integral part of global cinema,” a CFCC spokesperson said.
For Yu and the Light Chaser Animation team, the pavilion offers a chance to reach new audiences, just as it does for their peers across the global industry.
Curious Tales of a Temple — which weaves together six different supernatural stories based on the classic Qing Dynasty book Strange Tales from a Chinese Studio — continues the studio’s run of animated successes, including 2023’s Chang’an ($250 million). Light Chaser now plans to expand from releasing one feature annually to two—a shift Yu says reflects growing confidence across China’s film sector as it works its way back toward pre-pandemic highs.
“Curious Tales of a Temple was the 10th film of Light Chaser in its 10-year run with one film out each year since 2016,” says Yu. “2026 will be a milestone year for us as we start to release one film every six months and we think Chinese cinema will also grow stronger in 2026 after two challenging years.”
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