Market Pulse: APAC Leads Global Growth

The Asia-Pacific region continues to be the heartbeat of global pet industry expansion, driven by economic resilience, rising disposable income, and an evolving pet culture across both emerging and mature markets.

China’s Booming Market

China remains a powerhouse in global pet consumption and innovation.

• Senior dog food sales on JD.com jumped 67% in 2024, signaling rapid growth in specialized nutrition segments.
• Searches for smart pet products are soaring: Air Purifiers (+202%) and Smart Cameras (+128%) lead the way.
• According to the 2025 China Barometer, 66% of global pet companies are actively doing business with China—affirming its strategic importance despite ongoing trade complexities.

Southeast Asia’s Rapid Ascent

Southeast Asia is fast emerging as the next growth frontier:

• Thailand has become the world’s #2 pet food exporter, though new U.S. tariffs pose a looming challenge for 2026.
• India’s pet care market is forecast to reach $7 billion by 2028, powered by an expanding middle class and the explosive rise of q-commerce (quick commerce).
• Vietnam and Cambodia are witnessing a pet boom as premiumization gains momentum and consumer expectations evolve.

Product Innovation & Investment Hotspots

Innovation and strategic investment are reshaping the pet market, from protein alternatives to premium private labels.

The Rise of Private Label

Private label brands are no longer seen as low-cost alternatives—they’re setting new quality benchmarks.
In Portugal, Hungary, and Greece, private label now accounts for over 66% of pet food volume share, a reflection of growing consumer trust and brand sophistication.

For manufacturers and retailers, this trend signals a shift toward premiumization, custom formulations, and storytelling-driven branding. For The PET Pros looking to build or scale their own lines, private label strategies now represent one of the most profitable growth paths in the market.

Beyond Traditional Proteins

Insect Protein

The insect protein movement has gained strong regulatory and consumer traction.
Black soldier fly protein is now widely recognized for its digestibility, gut health benefits, and low environmental footprint. With EU approval, the category is poised for mainstream adoption across both pet food and treats.

Cultivated Meat

Following the UK’s approval of Meatly’s cultivated dog food, lab-grown protein has moved from concept to reality. While cost and scale remain barriers, cultivated meat offers a groundbreaking path toward sustainable, ethical nutrition for future pet food innovation.

Focus on Health & Wellness

Health remains at the core of consumer demand and M&A activity.

• Dental Chews & Treats are projected to reach $2.45 billion by 2033, with cat products emerging as the fastest-growing niche.
• Pet Insurance across APAC is expected to grow 18% over the next decade, driven by higher veterinary costs and rising pet parent awareness.

Capital Flows: Consolidation and Strategic Acquisitions

M&A momentum remains strong despite macroeconomic uncertainty.
In the first nine months of 2025, nearly half of all deals occurred within the pet food sector, signaling ongoing investor confidence.

Key focus areas attracting capital include:

• Fresh and functional pet food
• Veterinary services and pet healthcare
• Pet tech and digital platforms

These segments highlight a shift toward long-term, health-driven innovation, with investors prioritizing sustainable growth and technological integration.

Stay Informed with Petin.AI

In today’s fast-evolving pet economy, success depends on data-driven decisions.
At Petin.AI, we provide The PET Pros—from breeders and brand owners to retailers, manufacturers, and investors—with real-time insights, forecasts, and market analysis to help navigate change and seize emerging opportunities.

This article summarizes highlights from the PETS International October 2025 Issue.
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