Debt-ridden children’s hospital gains strong public support, but future still uncertain

A children’s hospital specializing in cleft lip and palate surgeries faces an uncertain future despite an extraordinary public response to its financial crisis. Beijing SmileAngel Children’s Hospital, co-founded by actor Li Yapeng, has accumulated over 26 million yuan ($3.5 million) in unpaid rent and operational fees, threatening its ability to continue providing free and subsidized surgeries.

The situation reached a turning point when Li Yapeng addressed the hospital’s financial struggles earlier this month, triggering an overwhelming response from the public. Hundreds of thousands of donors contributed more than 23 million yuan through the Smile Angel Foundation, a separate legal entity under the Chinese Red Cross Foundation that finances surgeries. The fundraising target was met ahead of schedule, prompting the closure of donation channels.

In a strategic move to maintain momentum, Li launched a dedicated Yunnan Pu’er tea livestream on his Douyin account Friday evening. The event attracted tens of thousands of viewers, with products selling out within minutes. Platform data revealed Li’s livestream dominated the sales chart, generating 16.84 million yuan ($2.42 million) in revenue—nearly quadruple the earnings of the second-ranked broadcaster.

During the broadcast, Li advocated for rational consumption, stating, ‘I know why everyone is here. Only buy if you drink tea—using this tea to boil tea eggs would be too luxurious.’ The overwhelming response forced Li’s tea partner in Yunnan province to temporarily suspend upcoming livestreams to address the massive order backlog.

Despite this demonstration of public support, the hospital’s fundamental financial challenges remain unresolved. Donations to the Smile Angel Foundation legally cannot be applied toward the hospital’s rent arrears, as the foundation operates as a separate legal entity. Negotiations between hospital management and their landlord continue, with no final decision reached regarding potential relocation or lease renewal.