China’s canine population has reached 150 million; one in every nine Chinese households now owns a dog. In 2004, there were more than 500,000 pet dogs in Beijing alone, and the China Animal Agriculture Association National Kennel Club is confident that this trend will continue. Analyses show that Beijingers spend a total of 500 million yuan (over US $60 million) annually on their pets, and that in Shanghai a new pet shop opens every week. A pedigree dog sells for 1 million yuan (US $125,000), while the average mutt costs a few dozen yuan (less than US $ 10).

Veterinary clinics, grooming aids and pet food are becoming big business. Experts forecast a 6 billion yuan (US $725 million) market for pet food and accessories by 2008 and a pet economy amounting to an annual 15 billion yuan (US$1.8 billion).