China's narrowing tech gap with US creates investment potential: global fund managers
China's emergence as a leader in renewable energy, electric vehicles and artificial intelligence (AI) will provide long-term investment opportunities for international investors, according to business leaders.
Advertisement
'For a long time, China was viewed as a copycat,' Fred Hu Zuliu, chairman and CEO of Primavera Capital, said during panel discussion at the first World Economic Forum event held in Hong Kong on Wednesday. 'But in the last decade, China has really emerged as the most economically innovative technology leader.
'While the US still leads the world, China is really closing the gap very rapidly, and DeepSeek is just one of the many examples. China has an enormous amount of data and a pool of talent, including engineers and scientists. All of these combine together. China really has potential.'
Stock markets in Hong Kong and the mainland have rallied since January after Hangzhou-based start-up
DeepSeek launched two powerful and cost-effective large language models. The Hang Seng Index has jumped more than 20 per cent this year, after 18 per cent growth last year.
Hu said the importance of
AI was that it will help not just big companies but also small and medium-sized enterprises, as well as consumers and retail investors, providing benefits across society and the real economy.
Advertisement
As an investment case, the benefits brought by DeepSeek would not be confined to the company alone, but would drive growth across a wide range of industries, including healthcare, consumer products and others, said Hu, whose company has mainland restaurant group Yum China, Swiss luxury watchmaker Breitling and green tech company Envision in its portfolio.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
South China Morning Post
a day ago
- South China Morning Post
Chinese AR glasses maker Rokid prepares for global launch on AliExpress during 618 event
Rokid, a Chinese maker of augmented reality (AR) glasses, is set to launch its latest AR Spatial eyewear globally through Alibaba Group Holding 's AliExpress e-commerce platform, as the company pushes into overseas markets amid rising competition in the industry. The Hangzhou-based company will debut the glasses overseas on June 16 during the AliExpress 618 summer sale period this month, leveraging the e-commerce giant's 'BigSave' programme to offer a nearly US$100 discount, bringing the cost down to US$568 for a limited time, Rokid announced on Thursday. Alibaba owns the Post. The AR Spatial frames themselves weigh just 75 grams, but powering the glasses requires a portable hub containing a battery and a Qualcomm chip for handling spatial computing. The product allows three desktops to be viewed side by side and a 'cinema mode' that provides an experience the company likens to viewing a 300-inch screen. The partnership will see Rokid open an official store on AliExpress, joining other Chinese tech brands such as robotics maker Unitree , consumer electronics firm Anker, Labubu retailer Pop Mart , computer maker Lenovo Group , and smartphone giant Xiaomi in the BigSave initiative. The programme, launched last year, aims to help 1,000 brands surpass US$1 million in overseas sales this year, according to Alibaba. Rokid AR Spatial glasses can display three desktop environments at a time. Photo: Rokid 'Chinese brands going global often face challenges such as low brand awareness and high marketing costs,' said Shao Huaqiang, international business head at Rokid.
South China Morning Post
a day ago
- South China Morning Post
China's Unitree eyes pre-IPO fundraising, valuing robot maker up to US$2 billion: report
Advertisement Hangzhou -based Unitree's latest financing initiative would value the company between 10 billion yuan and 15 billion yuan (US$1.4 billion and US$2.1 billion), Chinese digital media outlet Sohu Tech reported on Friday, citing sources. That would follow Unitree's restructuring last week, when it changed from a limited liability company into a joint stock limited firm, according to Chinese corporate database Tianyancha. A joint stock limited structure lets a company issue and transfer shares, allowing it to raise more capital as it scales up its operations. This move appears to put the firm another step closer to going public on mainland China's stock exchanges. In a letter to business partners, Unitree said the conversion into a joint stock limited company was done to address the firm's 'development needs', according to a report by the state-owned financial newspaper Securities Times. Advertisement Unitree did not immediately respond to a request for comment on Friday about its latest effort to generate new investment.
RTHK
2 days ago
- RTHK
Hang Seng Index ends day on a weak note
Hang Seng Index ends day on a weak note The Hang Seng Index ended trading for the day down 114 points at 23,792. File photo: AFP Hong Kong and mainland Chinese stocks ended slightly lower on Friday, as investors remained cautious after a call between President Xi Jinping and his US counterpart, Donald Trump, failed to provide clear signals of progress in easing trade tensions. Trump and Xi confronted weeks of brewing trade tensions and a battle over critical minerals in a rare leader-to-leader call on Thursday, leaving key issues unresolved for future talks. "If you look at the conversation between the Chinese and US presidents, there's nothing concrete that's positive. So little impact on stocks," said Guo Jianwen, partner at Shanghai-based hedge fund Haiyi Capital. In Hong Kong, the benchmark Hang Seng Index ended trading for the day down 114.43 points, or 0.48 percent, at 23,792.54. The Hang Seng China Enterprises Index fell 0.63 percent to end at 8,629.75 while the Hang Seng Tech Index fell 0.63 percent to end at 5,286.52. Across the border, the blue-chip CSI300 Index fell 0.1 percent. The benchmark Shanghai Composite Index ended up 0.04 percent at 3,385.36, while the Shenzhen Component Index closed 0.19 percent lower at 10,183.70. The ChiNext Index, tracking China's Nasdaq-style board of growth enterprises, lost 0.45 percent to close at 2,039.43. For the holiday-shortened week, the CSI 300 Index gained nearly 1 percent, while the Hang Seng Index rose 2.2 percent. (Agencies)
