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Why are American films no longer popular in China? Is Hollywood losing its appeal to the Chinese market? This has been a topic frequently discussed by many American media and professionals for some time.

In 1994, The Fugitive, as the first American film introduced to China, shocked Chinese audiences and the low-lying Chinese film industry, ushering in a good time for Hollywood in the Chinese market. In the following years, many Hollywood films, including True Lies, Titanic, and Transformers, once occupied half of China's annual box office list. The box office revenue of a movie can easily reach hundreds of millions or even billions of RMB, making China the largest overseas market for Hollywood. In 2019, Avengers 4 set a record for the highest box office of Hollywood films in China with more than 4.2 billion RMB.

On April 19, 2018, the main creators of the film "Avengers 3: Infinity War" appeared in Shanghai. Photo by Xinhua News Agency reporter Ding Ting

However, in 2023, Hollywood was surprised to find that its speed of decline in China, the world's second largest film market, was beyond imagination. There was no Hollywood film in the top ten of China's box office in 2023. According to US media reports, the share of Hollywood films in China's box office fell to about 12% in 2023. Since 2024, among the top ten of China's box office, only "Godzilla vs. Kong 2: Rise of an Empire" is currently ranked eighth.

After 30 years in the Chinese market, the film industry has gone from being very popular to losing its popularity. American media and professionals believe that one of the important reasons is that Hollywood has been lacking in innovation and aggressiveness in recent years, and the films have left audiences feeling bored.

Hollywood movies have been indulging in stereotyped and doll-like IP development for many years, and there is a serious shortage of original films with innovative vitality and imagination, which has caused many vigilant voices in the United States. Among the Hollywood films entering China in 2023, the one with the highest box office ranking is "Fast and Furious 10" ranked 12th, and other films such as "Avatar: The Way of Water", "Transformers: Rise of the Power Warriors" and "Guardians of the Galaxy Vol. 3" are among the top 30 in the Chinese box office ranking; the films entering China in 2024 include "Godzilla vs. Kong 2: Rise of an Empire", "Deadpool and Wolverine" and "Despicable Me 4". These films can be roughly classified as sequels or derivative films, which are difficult to arouse the audience's freshness and enthusiasm.

The US NBC Financial Channel pointed out that Chinese audiences seem to be getting more and more tired of the formulaic Hollywood film narratives. The Hollywood industry magazine Variety stressed that it is difficult for Hollywood to replicate its previous popularity in China, and if it still expects its sequels and superhero movies to continue to appeal to the Chinese market, it may be greatly disappointed, "Chinese audiences seem to have gotten rid of American series movies and 'Tom Cruise'-style' individualism."

Another important reason why the appeal of Hollywood movies has waned is the competition brought about by the rapid development of China's domestic film industry.

If the "catfish effect" inspired by "The Fugitive" in 1994 forced Chinese films to strive for self-help and self-improvement and embark on the road of rapid development of film industrialization, then after 30 years of accumulation, the Chinese film industry has finally made great progress, not only catching up in film content and production standards, but also making great progress in different film types. In recent years, various themes of films including animation, action films, suspense films, and science fiction films have exploded, resulting in the box office success of domestic film masterpieces such as "Nezha: The Devil Child Comes into the World", "The Wandering Earth", "Operation Red Sea", and "Hot and Scorching".

On October 24, 2019, the opening ceremony of the 32nd Tokyo International Film Festival Chinese Film Week was held in Tokyo, Japan. During the film week, 10 Chinese films were screened, including "Nezha: The Devil Child Comes into the World" and "The Wandering Earth". Photo by Xinhua News Agency reporter Ma Caoran

Lance Bao, head of the American film research and consulting agency Atisengwei, analyzed that many well-received Chinese local films are adapted from real stories or the lives of ordinary people, which are close to real life and easy to resonate with the audience. He said that the recent rise of crime/suspense films in China has the characteristics of unpredictability and clever narrative, which has aroused the audience's interest in watching movies. In contrast, many Hollywood sequels have become predictable from beginning to end.

Stanley Rosen, an American scholar who studies Chinese films and a professor at the University of Southern California, told the media that the gap between Chinese films and Hollywood films is getting smaller and smaller. The Chinese film industry first learned from Hollywood and then defeated Hollywood in the competition in the Chinese market.

In addition, the development and growth of Chinese films also reflects the Chinese audience's recognition of their own culture and values. As the American magazine National Review said, as the Chinese film industry becomes strong enough to meet the needs of the domestic market, cultural differences begin to play a more important role.

Some American media are accustomed to wearing tinted glasses and double standards to accuse China of so-called "nationalism" and "patriotism". On the one hand, they feel helpless about Hollywood's increasing loss of the lucrative Chinese market, but at the same time they have to admit that the Chinese film industry is producing more high-quality films that resonate with domestic audiences. As American cultural columnist Stephen Kent said, "China is actively seeking to shape its cultural narrative and unite its people."

US media pointed out that China will continue to be an important overseas market that Hollywood cannot give up, but Hollywood may have to adjust its mentality and strategy to face the fierce competition in this market. It is unlikely that Hollywood will be able to "stand out alone" in the Chinese market again.