Deep in the humid forests of Hainan, Li Jian, the founder of Mubo Agarwood, is personally inspecting trees to secure raw materials for a surging digital audience. This hands-on approach is a far cry from the traditional image of agarwood as a static, dust-covered artifact found only in high-end antique shops. Today, the industry is undergoing a radical transformation as it moves from the periphery of elite hobbyists into the mainstream of China’s livestreaming economy.
Agarwood, known in China as 'Chenxiang,' has been venerated for over 2,000 years for its medicinal properties and its unique, time-crystallized fragrance. For decades, however, the market was plagued by extreme information asymmetry and rampant counterfeiting. Li Jian himself recalls an early career setback where a high-priced piece of wood turned out to be filled with cement, a testament to the industry's notorious lack of transparency and standards.
The tide began to turn around 2020 as the 'Guochao' or 'China-chic' movement took hold of younger consumers seeking cultural identity through traditional goods. According to data from the Qianzhan Industry Research Institute, the agarwood market has now ballooned into a 30-billion-yuan ($4.1 billion) industry. More than 60% of these sales now occur online, a shift driven by the rise of interest-based e-commerce platforms like Douyin.
Li Jian’s success stems from bridging the gap between ancient tradition and modern aesthetics. By integrating agarwood with gemstones like turquoise and silver, his firm created a 'Wood-plus-Jewelry' line that appeals specifically to Gen Z and millennial women. In just a few years, the demographic of agarwood consumers under 35 has jumped to 34%, with female buyers now making up the vast majority of some digital storefronts.
Beyond just sales, livestreaming has acted as a critical tool for consumer education and trust-building. Teams now broadcast directly from plantations in Hainan or incense markets in Dubai, showing the entire process of harvesting and processing the resinous wood. This radical transparency has lowered the entry barrier for the public, turning what was once a suspicious 'black box' market into a structured, standardized retail sector.
The maturation of artificial cultivation and inoculation technologies has finally provided a stable supply chain to meet this mass demand. Regions like Hainan and Guangdong are now home to industrial belts that ensure agarwood is no longer just a luxury for the ultra-wealthy. As supply chains stabilize and digital platforms provide a steady flow of 'traffic,' this ancient fragrant wood has successfully found its place in the modern Chinese lifestyle.