8 High Potential Chinese Industries

by | May 4, 2017

8 High Potential Chinese Industries

by | May 4, 2017

China is a country of great opportunities. By phrasing it as the Chinese dream, many link the numerous amounts of opportunities to the situation of the United States (US) in the past. This flattering comparison sells both China and the United States short on some fronts.

The US was the land of opportunity through open chances for all. People, who immigrated to the US with nothing but their suitcases, had the chance to build multimillion-dollar companies. Failure through trying was something to be proud of. Stories like the lives of Andrew Carnegie or Elon Musk tickle the imagination of the possibilities.

Such stories also exist in China, with of course the prime example of Mr. Jack Ma, the founder of Alibaba. Jack Ma struggled to pass school and had over thirty failed job applications. When he became aware of the internet in the late nineties, he started his own company, and the rest is history. Stories such as the story of Jack Ma are widely spread. But what is the difference between the US and China’s success stories?

In China, the opportunities for foreigners and foreign companies are more limited to certain industries. China has clearly defined in which industries foreigners are allowed to do business. An industry can be allowed, restricted or prohibited. Looking at the preferential policies of the government can help you discover high potential Chinese industries. Here are 8 high potential Chinese industries, according to 1421:


E-commerce is hot and booming business in China. The trust of the Chinese government in e-commerce is high and locals are very willing to buy products online. By using their handheld devices, they order everything from everywhere. Through (onmi) channels, Chinese can buy global, imported products online. Examples are infant formula from the Netherlands, handbags from France and a new Xiaomi wristband from China. Besides being one of the high potential Chinese industries, it is also a very innovative industry from which the West can learn a lot! For more information, please request our China E-commerce White Paper.

Clean energy

Renewable and clean energy is high on the agenda of the Communist Party and Xi Jinping. China is looking to become a leader in the struggle towards clean air and clean energy. Driven due to polluted cities and a clear vision for the future, the Chinese government wants to make sure they reach the goals set in the Paris Agreement. To realise their goals, China is rapidly innovating their energy sources and is still looking for innovation and technologies from the West.

Health Care

Another focus in China is the healthcare industry. China is a country with a need for solutions to many challenges for the future. Because of the one child policy, China is now facing a rapidly greying population. This elderly generation needs to be taken care of. Take Alzheimer’s: Currently China counts more than 10 million Alzheimer patients, over 6 million more than in 1990.


The growing Chinese population in combination with the growing middle class, made sure Agrifood became a vital industry for the Chinese government. Sustainable and healthy food is increasingly important for the Chinese government and for Chinese food companies. Feeding the largest population on earth will require the smartest and most efficient techniques.

Electric vehicles

With increasingly strict regulations on polluting engines, China is pushing for electric motoring. They are, for example, used to power electric bikes, but now they also would like to push for driving cars electric. Companies operating in this industry have potential in China. But be quick, the amount of good functioning China-made vehicles grows day by day!


Challenges breed opportunities and China is a country with a lot of water challenges for the future. They are in need of solutions ranging from cleaning water to distributing water amongst the vast amount of people. Their need for innovative technologies and ideas is crucial to tackling this challenge of the future. This industry is important for both drinking water and water used for agriculture.


Transportation is still one of the high potential Chinese industries. China is not only investing in the “new silk road”, but is also investing in new airports, expansion of harbours and of railway infrastructure. The need for better infrastructure in the coming years will still be high. Solutions from software to technology are all welcome in tackling China’s growth challenges.

Luxury goods

With a surging middleclass, luxury goods market is a high growth industry in China. Many Chinese are now in a position where they can buy themselves quality products. Western products with a heritage story are very popular to the Chinese. If you have a luxury brand, be sure to register you IP in China and look for opportunities in the Chinese market.

Over the past 6 years, we assisted more than 120 clients from all kinds of different industries. We have experience in supporting companies from all above-mentioned high potential Chinese industries. To see how we support our clients, please check out our service page.

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