Increase in Brand Strength of Chinese Companies
The overall brand strength of Chinese companies increased by 17% from 18,035 to 21,150 year-on-year in the first half of 2024, according to the Kantar BrandZ 2024 Chinese Global Brand Builders report. This significant growth highlights the global vitality and competitive strength of Chinese brands, driven by innovation and strong industrial ecosystems.
Foreign Companies Boost Investment in China
Foreign companies are ramping up investments in China, reflecting growing optimism about the country's economic prospects. Key investments include Audi's pre-mass production base for electric vehicles, a Mercedes-Benz and BMW joint venture for supercharging stations, and ZEISS' largest Quality Centre of Excellence in Dongguan. Surveys show increased confidence among German and American businesses, with plans for further investment driven by China's vast market and innovation capabilities.
Steady Growth of State-Owned Enterprises
China’s state-owned enterprises (SOEs) reported steady growth in the first five months of 2024, with operating revenues reaching 32.85 trillion yuan (approximately $4.61 trillion), up 3.1% year-on-year. Profits rose by 2.3% to 1.71 trillion yuan. The SOEs' debt-to-asset ratio stood at 64.9% at the end of May, indicating financial stability and ongoing expansion.
Encouraging Vehicle Purchases and Innovation
Chinese cities are encouraged to ease vehicle purchase restrictions and offer additional quotas to stimulate consumer demand. The government also supports vehicle replacement and the commercialization of autonomous driving. Efforts will be made to promote advanced smart driving scenarios and enhance the trading of used cars, fostering a dynamic automotive market.
Support for High-Tech Electronics and Smart Devices
China will boost the consumption of high-tech electronics, including smart wearables and AI-powered humanoid robots. The National Development and Reform Commission (NDRC) announced measures to enhance human-computer interaction and promote technologies such as flexible displays and AI assistants. The initiative aims to expand the application of smart devices in various sectors and encourage innovative production models.