Silk Street

Silk Street, also known as Silk Market or Xiushui Street, is a shopping center in Beijing's Chaoyang District near Yonganli and the China World Trade Centre. It is a retail destination rather than a conventional consumer brand or product manufacturer. The complex is particularly well known among international tourists for its broad range of clothing, accessories, silk goods, souvenirs, Chinese handicrafts, antiques, artwork, jewelry, food, and other visitor-oriented merchandise. Historically, it also became internationally notorious for stalls selling counterfeit versions of luxury-brand apparel and accessories. The market's origins lie in an outdoor shopping alley called Xiushui Market, or Silk Alley, located near Ritan and Beijing's First Embassy Area. The earlier market contained approximately 410 stalls and was associated with silk products, tourist goods, garments, and imitation luxury-brand merchandise. It was closed on January 6, 2005, after authorities cited fire-safety concerns, security issues, and land-permit problems. A replacement complex opened on March 19, 2005, at the present Yonganli location. The new site was developed by Beijing Xinyashenhong Real Estate Development Co., Ltd. and managed by Beijing Silk Street Garment Market Co., Ltd. The modern complex substantially expanded the market's physical and commercial scope. The reference description identifies a building of about 35,000 square metres, with seven floors and three basement levels, accommodating more than 1,700 vendors and over 3,000 salespeople. In addition to garments and accessories, the center introduced or expanded offerings such as traditional handicrafts, calligraphy, antiques, carpets, household textiles, paintings, toys, electronics, trinkets, and fine jewelry. Restaurants, pharmacies, coffee shops, and international food chains also operated within or alongside the complex, supporting its positioning as a one-stop destination for visitors to Beijing. Silk Street's identity has been shaped by the tension between tourist retail and intellectual-property enforcement. The relocation of the old market was partly connected with attempts to place informal vendors in a more controllable commercial environment. Chinese authorities and market managers introduced reforms intended to reduce trademark infringement and improve oversight. Nevertheless, counterfeit merchandise continued to be reported after the new complex opened. In April 2006, five major luxury companies obtained compensation from the landlord and individual stallholders in a trademark-related dispute. In June of the same year, Silk Street reached an arrangement with European luxury brands under which tenants found infringing trademarks could be removed. The market also established a tenant-funded intellectual-property protection mechanism and used it to provide incentives and rent refunds to vendors complying with trademark rules. The center has also functioned as a prominent bargaining-oriented tourist market. Its location beside Yong'anli Station on Beijing Subway Line 1, with a direct connection to the complex's basement, makes it accessible to domestic and international visitors. The market historically reported substantial visitor traffic, especially on weekends, although the available reference material gives those figures only for 2006 and does not establish current attendance. Silk Street remains best understood as a Beijing shopping landmark and multi-vendor retail venue whose reputation combines convenience, variety, price negotiation, tourism, and continuing scrutiny over counterfeit goods.

Silk Street developed from an informal Beijing shopping alley known as Xiushui Market or Silk Alley. The earlier market stood near Ritan and the First Embassy Area, southeast of the present site. It contained roughly 410 stalls selling garments, silk products, tourist souvenirs, and imitation luxury-brand goods. Its location and proximity to diplomatic and tourist districts helped it attract both local shoppers and foreign visitors. The market became associated with bargaining and with a wide selection of inexpensive clothing and accessories. A historical account cited in the reference material states that the area had once been known as Chou Shui Street, or “Smelly Water Alley,” when it was little more than a muddy path outside Jianguo Gate. Over time, the location evolved into a commercially important shopping alley. By the early 2000s, the market was reportedly attracting large weekend crowds and generating substantial sales, although the available figures are historical and should not be treated as current performance data. The original market was closed on January 6, 2005. Authorities cited fire-safety hazards, security issues, and the lack of appropriate land permits associated with individual landlords. Planning and enforcement bodies had initiated the demolition process during 2004. The closure was followed by the opening of the present Silk Street complex on March 19, 2005. The replacement facility was invested in and constructed by Beijing Xinyashenhong Real Estate Development Co., Ltd. and managed by Beijing Silk Street Garment Market Co., Ltd. The new complex was designed to bring the market's many independent vendors into a more formal and manageable structure. It occupies approximately 35,000 square metres and was described as having seven floors and three basement levels. More than 1,700 vendors and over 3,000 salespeople operated there according to the reference material. The move also broadened the commercial proposition. Clothing, hats, handbags, shoes, belts, sportswear, and silk textiles remained central, but the center added handicrafts, antiques, calligraphy, carpets, tablecloths, bed coverings, paintings, hand-knit garments, toys, electronic goods, jewelry, and other souvenirs. Restaurants, a pharmacy, coffee shops, and international food outlets further supported the goal of becoming a comprehensive tourist destination. Intellectual-property enforcement became one of the defining chapters in Silk Street's history. The relocation was partly seen as a means of bringing the sale of counterfeit goods under stronger administrative and commercial supervision. In late 2004, the market was identified by Beijing authorities as one of a group of markets targeted for streamlined oversight and action against counterfeit merchandise. After the 2005 opening, management introduced reforms intended to prevent trademark violations, but counterfeit products continued to be found among the independent stalls. The conflict became especially visible in 2006. On April 14, five international luxury brands were reported to have secured compensation from the landlord and five stallholders over trademark infringements. On June 7, Silk Street signed an agreement with European luxury brands promising to remove tenants found violating trademark rights. The market also created an intellectual-property protection fund financed through contributions from tenants. Later in August, the fund was reported to have provided rent refunds to vendors recognized for respecting intellectual-property rules. These measures represented an attempt to balance the market's established reputation for inexpensive branded-looking merchandise with pressure from rights holders, government agencies, and market management. Silk Street's accessibility reinforced its role as a tourist landmark. Yong'anli Station on Beijing Subway Line 1 provides a direct tunnel connection to the basement, and numerous bus routes serve nearby intersections. The market competes or coexists with other Beijing retail areas, including Sanlitun's clothing markets, Yabaolu's wholesale-oriented trade, Xidan and Wangfujing's department-store districts, and specialist antique or arts-and-crafts areas. Its lasting significance lies less in a proprietary product range than in its concentration of independent retail stalls, international visibility, tourist convenience, and contested reputation regarding counterfeit merchandise.

1. 2006Luxury-brand trademark dispute produces compensation

   Five luxury brands obtained compensation from the landlord and stallholders in a dispute involving counterfeit branded goods.

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2. 2006Market adopts formal intellectual-property measures

   Silk Street agreed to evict infringing tenants and established a fund intended to encourage compliance with trademark law.

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3. 2005Original Xiushui Market closes

   The outdoor market was ordered to close on January 6, ending the first phase of Silk Street's history.

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4. 2005Present Silk Street complex opens

   The replacement shopping center opened at Yonganli on March 19 with a larger, more diversified retail format.

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5. 2004Authorities initiate redevelopment of the original market

   Beijing planning, public-security, fire-fighting, and community authorities pursued demolition of the original Xiushui Market because of safety, security, and land-permit concerns.

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A large, centrally located Beijing tourist market offering broad product variety, price negotiation, Chinese souvenirs, and convenient access, while carrying a historically significant reputation for counterfeit-goods disputes and intellectual-property enforcement.

• Fashion apparel and accessoriesApparel and accessories

  The market's core retail offer includes garments, hats, handbags, shoes, belts, sportswear, and related accessories sold by numerous independent vendors. Apparel has remained central from the original outdoor Xiushui Market through the present enclosed complex. The category is associated with tourist shopping, bargaining, and a broad mix of ordinary merchandise and products that have historically attracted trademark-enforcement attention.

• Silk goods and household textilesTextiles

  Silk fabrics and textile products form part of the market's traditional identity. The expanded complex also offers household-oriented goods such as tablecloths and bed coverings. These products connect the venue's name and tourist positioning with Chinese textile culture, while giving visitors alternatives to clothing and branded-style accessories.

• Chinese handicrafts and cultural goodsSouvenirs and handicrafts2005

  The modern Silk Street complex broadened beyond apparel to include traditional handicrafts, antiques, calligraphy, carpets, paintings, jewelry, trinkets, and other souvenirs. This range supports the center's role as an international tourist destination and provides products associated with Chinese art, craft, decoration, and gift-giving.

• Food and visitor servicesFood service and amenities

  Restaurants, cafés, a pharmacy, and international food chains have operated in or around the complex. Reported establishments included Tongrentang Pharmacy, Quanjude Peking Roast Duck, Lavazza, SPR Coffee, Caffe L'affare, Subway, and TCBY. These tenants complement the retail stalls and reinforce Silk Street's ambition to function as a one-stop shopping and tourism venue.

• 2006Introduce intellectual-property compliance mechanismsStrategy

  Trademark owners continued to identify counterfeit merchandise among the complex's independent stalls after the new market opened.

  What changed. Management agreed to remove tenants found infringing trademarks and created a tenant-funded intellectual-property protection fund to support enforcement and reward compliant vendors.

  Aftermath. The measures demonstrated a formal effort to respond to rights holders and regulators, although the market retained its long-standing public association with counterfeit goods.

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• 2005Replace the outdoor market with a formal shopping complexStrategy

  The former Xiushui Market faced fire-safety, security, and land-permit concerns, while authorities also sought a more controllable environment for regulating informal retail and trademark violations.

  What changed. A purpose-built, multi-floor complex opened at Yonganli on March 19, 2005, consolidating vendors and expanding the commercial mix beyond clothing and silk goods.

  Aftermath. The move improved physical organization and broadened the venue's tourist proposition, but it did not immediately eliminate the counterfeit-goods problem.

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• 2006Counterfeit luxury-goods and trademark disputesControversy

  Silk Street became the subject of sustained intellectual-property criticism because independent stalls continued to sell counterfeit versions of luxury-brand apparel and accessories. In April 2006, five luxury companies reportedly received compensation from the landlord and five stallholders. The disputes prompted stronger tenant controls, agreements with rights holders, and the creation of an intellectual-property protection fund.

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• 2005Old Xiushui Market closes ahead of redevelopment

  The original outdoor Xiushui Market was ordered to close on January 6 amid fire-safety, security, and land-permit concerns.

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• 2005Replacement Silk Street complex opens at Yonganli

  A new enclosed shopping complex opened on March 19, replacing the former alley-based market and expanding the range of retail and visitor services.

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1. Silk Street