The market was established initially as a flea market run by small traders in a Chaoyang hutong in 1980, but moved to its present location in 1995.It is truly a market packed with Chinese traditional culture. Secondhand goods, arts and crafts and antiquities are the main transactions in the market. Also on offer are antique furniture imitations, what is known to the Chinese as the "Four Treasures of the Study" (writing brush, ink stick, paper and ink slab), old books and paintings, agate, jadeite, ceramics, ancient Chinese and foreign coins, bamboo and animal bone sculptures, leather puppets for shadow play and a wide range of Chinese opera masks. Buddhist relics, costumes of ethnic minorities, apparels, "Cultural Revolution" (1966-76) articles and daily necessities can also be found here.

Traders from 24 provinces, municipalities and autonomous regions in China have stalls in the market, as do several ethnic minorities. The market is now open for business seven days a week. However, Saturdays and Sundays are still the best days to go.

With so many stalls selling similar items, this is a great place for bargain hunters. And although there are genuine articles to be found here, it is hard to tell the real deal from the fake, particularly if you aren't an expert.

Whether you want to sightsee, window-shop or buy collectors' items, there really is something for everyone. Even Hilary Clinton has famously shopped at Panjiayuan.

Xidan Commercial Street

Xidan Street is one of the most famous traditional commercial areas in Beijing where companies in the general merchandise, food and beverage, entertainment and banking sectors can be found. A large number of merchants gather there, and the daily average volume of the flow of customers is more than 200,000. It is in a very important position in the commercial pattern of Beijing.

Xidan Street is located at the geometric center of Beijing, to the west of Tiananmen Square from Xuanwumen in the south and the east side of Heng’ertiao in the east to Xinjiekouhuokou in the north and the Second West Ring Road in the west. The length of the core section is 880 meters.

At present, there are many large modern shops in Xidan Commercial Area, such as Xidan Market, Xidan Shopping Center, Xidan Scitech Shopping City and Zhongyou Department Store, and some old shops of the capital, such as Guixiangcun food shop, Wanli shoes shop, Yuanchanghou tea house, etc.

Beijing Book Building is the place where book fans gather. Xidan Cultural Square with a floor area of more than 35,000 square meters is the largest venue for a variety of cultural activities with a good environment in the downtown area of the capital at present, integrating recreation, entertainment and shopping. The central area of the commercial street is the recreation square. Xidan Cultural Square with underground restaurants, markets, cinema, bowling alley, swimming pool, rock-climbing club and the largest mirror palace in the country has become the largest venue for cultural entertainment along Chang’an Street.