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This paper presents a comprehensive statistical report on China’s current apparel retailing environment, including the macro‐ (demographic, economic, political, cultural, technological and natural factors) and micro‐ (sourcing, garment manufacturing, marketing intermediaries and consumers) environments affecting foreign investments in China’s apparel retailing market. With an examination of China’s demographic and economic indicators over the past 20 years, and the changing pattern of other macro‐factors having typically influenced the foreign investments in China’s apparel retailing sector, the paper also investigates the prevailing micro‐factors facing foreign investors. The future prospects of the China apparel retailing industry were also discussed.

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