Unilever sees China as vital hub for consumer trends

With China's evolving consumer demand and innovation ecosystem playing an increasingly prominent role in its global strategy, Unilever Plc sees China as a strategic source of innovation within its global research and development network, said a senior executive.

The United Kingdom-based consumer goods company draws on China's consumer insights, scientific talent and innovation ecosystem while sharing expertise across its global R&D network, and bringing global capabilities to opportunities in China.

Hanny van Amerongen, chief R&D officer for personal care at Unilever, said Chinese consumers are placing greater emphasis on product performance, scientific credibility and user experience, driving demand for products that combine scientific innovation with consumer appeal.

Unilever aims to respond to this demand through its "Desire at Scale" ambition, turning fast-evolving consumer insights into products with broad appeal.

"China is shaping both what we innovate and how we innovate," said Van Amerongen.

Speaking at an innovation open day marking the 30th anniversary of Unilever's China R&D Center in Shanghai earlier this month, she said the combination of scientific talent, digital capability, speed, consumer understanding and a strong innovation ecosystem has made China an important hub within Unilever's global R&D network. The country's rapidly changing consumer preferences can reveal emerging trends with relevance beyond the domestic market.

For example, as Chinese consumers increasingly expect body wash to deliver benefits beyond cleansing, Unilever has developed skincare technologies that allow active ingredients to continue penetrating the skin after rinsing, reflecting its efforts to translate scientific research into products with enhanced performance and consumer benefits.

Van Amerongen said Unilever's long-term innovation strategy focuses on developing scientific technologies that can be applied across different brands, product categories and markets, rather than concentrating solely on individual product launches.

Artificial intelligence is also becoming a key part of this transformation. In its Shanghai R&D center, Unilever is applying AI across scientific discovery, product development, packaging innovation and science communication to improve efficiency and accelerate innovation. In packaging, for example, digital platforms have shortened the design cycle by 50 percent while expanding design possibilities.

Van Amerongen said that China's strengths in scientific research, digital technologies and industrial collaboration are enabling the company to develop and test new approaches that can subsequently be adopted across its global innovation network.

Shen Jun, vice-president of R&D at Unilever China, said the company will continue working with Chinese universities, technology companies, suppliers and manufacturing partners to accelerate innovation and strengthen the connection between local research and global product development.

Shen said the Shanghai center has evolved from conducting basic scientific research to undertaking end-to-end product development for global markets, supported by its multidisciplinary research teams. Today, the center is home to nearly 300 scientists working across fundamental research and product development, with more than 2,000 active patents.

"Looking ahead, we will build on 30 years of R&D strengths and leverage AI to turn consumer needs into products faster and more effectively," Shen added.

Guan Lixin, a researcher specializing in marketing and consumption at the Chinese Academy of International Trade and Economic Cooperation in Beijing, said China's growing role in global innovation reflects a shift from local product adaptation to developing original technologies for international markets.

Boosting consumption remains a policy priority for China this year. The government unveiled a five-year plan for expanding consumption in July, with measures to upgrade consumer goods, encourage innovation and expand the supply of quality products and services, according to information released by the Ministry of Commerce last month.