According to Xinhua News, Xi Jinping, General Secretary of the Communist Party of China, President of the People's Republic of China, and Chairman of the Central Military Commission, attended a symposium for private enterprises in Beijing on the morning of February 17, 2025.
After listening to the speeches of representatives from private enterprises, Xi delivered an important address. Li Qiang and Ding Xuexiang also attended the symposium, with Wang Huning presiding over the meeting.
The private entrepreneurs attending the symposium included Zeng Yuqun (Contemporary Amperex Technology), Jack Ma (Alibaba), Nan Cunhui (Zhejiang Chint Electrics), Wang Xingxing (Yushu Technology), Liu Yonghao (New Hope Group), Ren Zhengfei (Huawei), Wang Chuanfu (BYD), Yu Renrong (Weir Shares), Lei Jun (Xiaomi Group), and Ma Huateng (Tencent).
This meeting provided a shot of reassurance for the global expansion of Chinese enterprises.
In 2024, Wang Xingxing's Yushu Technology robot became the best-selling humanoid robot globally, surpassing Boston Dynamics. Liang Wenfeng's DeepSeek captured global attention in the last week of 2024, causing Nvidia to lose 100 billion in a single day. The world suddenly realized that the story of Chinese tech companies expanding overseas is no longer just a "Copy from China" game, but a new experiment in technology beliefs and business philosophies.
TikTok users in the U.S. flocked to Xiaohongshu to explore the daily lives of Chinese users, while traders on Wall Street began using China's AI model DeepSeek to predict business trends. Chinese-backed e-commerce companies like TikTok Shop started turning a profit in Southeast Asia. These unprecedented events in late 2024 have sparked curiosity about the new developments awaiting us in 2025.
What new shifts in the global business landscape should we pay attention to in 2025? A single DeepSeek or Yushu Technology might not fully capture it. This year, the global tech sector's business landscape has undergone profound changes, from breakthroughs in emerging AI technologies in China and the U.S. to shifts in global political and economic markets. Tech-driven innovation has become the core force driving industrial development, while global political turbulence has created new opportunities and challenges for businesses, shaping the forward-looking business landscape of 2025.
EqualOcean analysts conducted in-depth interviews with six investment partners from Capital Nuts, Jiacheng Investment, Weizhi Capital, Xingna He Capital, Huoshui Capital, and Haoshu Capital, specializing in the fields of overseas expansion and technology. They offer readers a first-hand market perspective on the global tech landscape of 2024, summarizing opportunities in technology, business models, talent teams, and capital financing, while providing business insights and recommendations for Chinese companies’ continued overseas expansion in 2025.
Key Trends in the Global Market: Be Both a Pioneer of Technology and a Bridge Builder in Business
Guo Xin from Weizhi Capital: With the rapid iteration of global technology and the acceleration of digital transformation, more and more companies are relying on tech services to improve efficiency and competitiveness. Chinese companies, with their advantages in AI technology, practical implementation, sensitivity to application scenarios, and excellent customer service, are able to offer more competitive solutions than companies from Europe, the U.S., and India.
In 2024, Chinese companies entered the second year of their full-scale overseas expansion. Driven by both technological innovation and global positioning, Chinese firms have demonstrated strong market competitiveness in areas such as smart hardware, supply chain optimization, and international strategies, advancing the global expansion of China’s tech industries. However, it is important to note that Chinese companies must not only break into overseas markets with cutting-edge technologies but also continue to play the role of a bridge builder in emerging markets, expanding their business territories with mature business models.
So, what progress has been made in the past year regarding the overseas expansion of Chinese businesses? Smart hardware, supply chain upgrades, and the practical application of AI large models have become new highlights in the business landscape of 2024.
Calvin from Capital Nuts: The upgrade of smart hardware and supply chains has become a major highlight driving the overseas expansion of Chinese companies. The smart hardware market saw strong growth in areas such as consumer electronics, wearables, and smart home devices, thanks to technological innovation and product iteration. AI-driven hardware companies like Cambrian, iFlytek, Huawei, and Xiaomi achieved notable growth in 2024. Through continuous product design optimization and technological enhancement, Chinese companies have made significant achievements in the global market. Meanwhile, strategic shifts in supply chain management have also occurred. Moving from simple cost-driven strategies to higher-level strategic planning, more and more companies are enhancing their competitiveness by localizing production and innovating in overseas markets, especially in emerging markets. This strategy has helped Chinese manufacturing further solidify its global influence.
Nut Capital Calvin: In the home and consumer tech product sectors, Chinese brands have successfully entered the European and American markets through technological innovation and high-quality service. They no longer rely solely on price advantages, but instead win market recognition through unique product value and user experience. With continuous technological and service innovation, Chinese companies have made significant progress in their transformation towards higher-end products. High-tech Chinese home brands such as Ecovacs, Tineco, Dreame Technology, and Roborock are becoming leaders in the high-end home market in Europe and the U.S. Meanwhile, Chinese companies are also actively expanding into emerging markets, especially Southeast Asia and the Middle East. By combining price advantages, market gaps, and localized strategies, these regions’ vast growth potential is gradually being unleashed, making them key breakthrough points in the global expansion strategy of Chinese companies.
Xingna He Capital Yuan Linjie: Indonesia's consumer market has huge potential, with the quality of life improving for ordinary people. However, foreign companies from Japan, Korea, the U.S., and Europe dominate but still fail to meet demand in daily consumer goods like food, clothing, housing, and transportation. Take diapers, for example: Indonesia sees over 4.5 million newborns each year, but most of the diapers used by infants still rely on China's 15-year-old wood pulp core technology. In contrast, China has long adopted high polymer core technology. This technological gap is the key factor behind the rapid rise of the MKK diaper brand in Indonesia, which we have incubated. Additionally, the low degree of chain development in the foodservice, hotel, and other markets presents further opportunities for Chinese companies to expand their presence locally.
Jiacheng Investment Jack Wang: The deep integration of AI and hardware has not only driven the intelligence of hardware products but has also greatly enhanced the consumer experience, particularly in the fields of new energy and consumer electronics. Technological progress has also deepened the trend of "software-defined hardware" in 2024. Leveraging their technological accumulation and keen market insight, Chinese companies quickly seized opportunities in the smart hardware market and achieved significant returns in the global market with innovative products and solutions.
MicroVenture Capital Guo Xin: With the rapid iteration of global technology and the acceleration of digital transformation, more and more companies are relying on tech services to improve efficiency and competitiveness. Against the backdrop of globalization reversal, the traditional software industry has encountered new development opportunities, especially in Europe, the U.S., and emerging markets. Software companies using China's leading AI application technology are expanding into overseas markets, driving industry innovation and providing new growth opportunities for other Chinese companies globally. The deep integration of technology and services has become a key factor in determining business success.
As the overseas expansion strategies of Chinese companies continue to deepen, the trend of industrial upgrading in 2024 has become more apparent. Guo Xin of MicroVenture Capital analyzes that while some industries are starting to show signs of a bubble, it is important to understand the bubble rationally, as appropriate bubbles are an inevitable phase in industry development. Overall, China's overseas expansion strategy is shifting from the export of low-end products to the R&D and production of high-end products. This transformation has not only enhanced the international competitiveness of Chinese companies but has also driven the upgrading of the entire industrial chain, allowing Chinese companies to gradually transition from being a "manufacturing powerhouse" to an "innovation powerhouse" in the global market.
The Unexpected Surprises of 2024: Emerging Technologies Expand Across the Board, Traditional Industries Actively Transforming
Jiacheng Investment Jack Wang: We believe the era of software-defined hardware has already arrived. Compared to the U.S., China has an advantage in AI-powered hardware because China's manufacturing landscape is more diverse, allowing AI to be applied to specific use cases more quickly. In contrast, the U.S. lacks the foundational environment for hardware development.
One of the most unexpected surprises in the global business landscape of 2024 is the unprecedented real-world applications of numerous AI large models. At the same time, traditional Chinese companies are actively embracing these new changes, driving further industrial transformation. With the deeper integration of AI in the hardware sector, the industry has undergone an unexpected transformation, fueling rapid market development and presenting Chinese companies with unprecedented opportunities for innovation.
On December 26, 2024, DeepSeek launched its new series of models, DeepSeek-V3, which garnered widespread global attention.
Source: Peninsula News
In 2024, the rapid progress of AI technology in hardware applications demonstrated unexpected potential, becoming one of the major surprises in the global tech market.
HaoShu Capital’s Rong Jun: As the market cools down, investors are no longer solely focused on funding and profit returns but are placing more importance on a company’s intangible assets, including supply chain innovation, brand value, and the organizational capabilities of founding teams. This shift reflects the maturation of business models, particularly in how companies, while emphasizing hard skills, have increasingly valued the accumulation of soft skills. Along with the new trends in AI within the tech market, the perspective on valuing corporate assets has also shifted.
At the same time, traditional industries have shown strong potential for automation transformation, especially in manufacturing. Rong Jun further analyzes that while many traditional industries are relatively slow in their digitalization and AI transformation, the automation sector, particularly in manufacturing, still demonstrates huge room for growth. For example, AR technology is driving the development of the manufacturing sector. A key aspect of manufacturing’s overseas expansion is its service and remote support capabilities. Although technology has yet to fully break through due to high costs, this technology is still helping boost China’s manufacturing global expansion. Chinese senior engineers no longer need to travel long distances to repair and inspect products worldwide; they can now directly guide local engineers through AR devices, which significantly reduces costs.
Huoshui Capital Xu Lejia: Chinese companies have made significant breakthroughs in sectors such as chain operations and AI marketing robots in Southeast Asia. In manufacturing powerhouses like Malaysia, the market offers a better foundation for supporting Chinese manufacturing, and Chinese companies have more opportunities to establish a presence there. In terms of overseas expansion strategies, Chinese tech companies have also made remarkable progress, showcasing strong potential in emerging markets. These overseas expansions in specific fields not only enrich the international development paths of Chinese companies but also demonstrate the diverse space for growth within global markets.
Xingna He Capital Yuan Linjie: Opportunities in the Indonesian Consumer Market = Clothing + Food + Housing + Transportation + Daily Use. Indonesia's consumer market holds enormous potential, primarily in five sectors: The blank market for affordable clothing provides significant growth space for clothing brands; the low degree of chain development in the restaurant market offers opportunities for chain operations and branding in the foodservice industry; the lack of budget hotel options creates expansion opportunities in the accommodation sector; meanwhile, the soaring demand for new energy vehicles and electric motorcycles further drives growth potential in the transportation sector. The continuous increase in the supply of household goods is also meeting growing consumer demand, and people no longer have to compromise on their lifestyles.
On the value of AI, MicroVenture Capital’s Guo Xin believes: Chinese companies often hit walls when competing for traditional IT projects globally, particularly traditional ERP and CRM projects, which have been largely dominated by Indian firms. However, Chinese companies, with their advantages in AI technology, scenario implementation, sensitivity to application cases, and outstanding customer service, are able to offer more competitive solutions compared to European, American, and Indian companies. Indian IT professionals may be traditional "coders" who can write code but have limited knowledge of new technologies like AI. The Indian market also lacks AI application scenarios like those in China, Europe, and the U.S., and its industry structure is quite thin. Therefore, while India is strong in traditional IT, it is unable to make significant progress in emerging fields like AI.
ConclusionA single DeepSeek model may not fully capture the political, business, and technological changes of 2024, but one thing is clear: the global tech industry's business landscape is undergoing profound transformation. From breakthroughs in emerging AI technologies in China and the U.S., to Europe's policy shifts on digital sovereignty and privacy protection, and the accelerating digitalization of Southeast Asian markets, technology-driven innovation has become the core engine of industrial development. At the same time, global political and economic uncertainty is intensifying. Geopolitical conflicts, trade barriers, and the reshaping of international relations are not only affecting the layout of global supply chains but also providing companies with new opportunities and challenges.
What prospects will the global business landscape hold in 2025? From which perspectives will investors offer advice and guidance for Chinese companies’ overseas expansion? What is the universal formula for expanding into Southeast Asia? "Witnessing History: The New Globalization Landscape of 2025 (Part II)" will analyze the overseas opportunities in 2025 from the perspectives of growth space in consumer sectors, market gaps in Southeast Asia, and the building of overseas teams. Stay tuned for more.