Chinese tutoring industry makes unexpected comeback as rules soften

Private education sector in China shows signs of revival about three years after strict regulations. Companies are now hiring thousands while parents notice more-open operations of tutoring schools

October 28 2024 , 12:39 PM  •  967 views

Chinese tutoring industry makes unexpected comeback as rules soften

Chinas private tutoring sector is getting back on its feet‚ as Beijing quietly steps back from its harsh 2021 restrictions (a shift that hasnt been officially announced yet)

The education industry – which lost billions in value after the so-called double-reduction rules – now sees fresh growth with companies like New Oriental and TAL Education leading the way. These edu-giants are now posting thousands of job-ads‚ while their learning centers operate more freely than before

Parents notice big changes too. “The schools dont hide behind closed curtains anymore like they used to‚“ says Michelle Lee who spends around 3‚000 yuan monthly on her kids after-school classes; her experience shows how the industry adapted and survived

The governmentʼs softer approach links to wider economic goals:

  • Youth employment boost
  • Consumer spending increase
  • Market stability support
  • Education sector revival

Recent data shows positive trends: tutoring centers got 11.4% more licenses in first-half of 2024‚ while schools found creative ways to keep teaching. Math classes become “logical-thinking“ courses; English lessons transform into science-taught-in-English programs

If double reduction continues the academic gap between rich people and everyone else will get worse

said Shanghai parent Yang Zengdong

The industry proves hard to eliminate – one-on-one home tutoring grew popular among wealthy families (costing up to 800 yuan per lesson). Meanwhile education companies stocks trade at their highest levels since the crackdown‚ though still below pre-2021 peaks