In recent years, Chinese industrial automation companies have been actively expanding their global footprint, deepening partnerships with countries like the United States and enhancing their international competitiveness through strategic investments and technological innovation.
SUPCON Accelerates Global Investments
In September 2023, SUPCON Technology announced the establishment of four wholly-owned subsidiaries under its overseas investment platform, SUPCON International Holdings, with a total investment of ¥1.744 billion RMB (approximately $240 million USD).
This strategic move is aimed at strengthening SUPCON’s presence in global markets and boosting its international influence. By investing in overseas subsidiaries, SUPCON seeks to solidify its leadership in industrial automation and broaden its reach across diverse industries worldwide.
EASTSOFT and Intel: Driving Industrial Innovation
As early as September 2019, Beijing EASTSOFT Technology Co., Ltd. forged a strategic partnership with Intel in Yichang, China.
The collaboration integrates EASTSOFT’s INTEWELL Smart Industrial Operating System with Intel’s CPU chips to co-develop software-defined industrial and edge servers. This joint effort focuses on advancing applications in smart manufacturing, industrial robotics, smart grids, process industries, and the future of intelligent vehicles.
This partnership not only highlights the potential of Sino-U.S. collaboration in technology innovation but also contributes to the development of cutting-edge industrial automation solutions for global markets.
Rockwell Automation’s Commitment to China
Rockwell Automation, a leading U.S.-based industrial automation company, has been deeply engaged in the Chinese market. The company has actively participated in events like the China (Guangdong)-U.S. Investment Cooperation Exchange Conference.
Rockwell advocates for enhanced collaboration between Chinese and American enterprises in intelligent and digital technologies. The company aims to drive Guangdong’s manufacturing sector toward higher value in the global supply chain, boosting competitiveness while promoting sustainable development for enterprises and cities.
Trends in Chinese Overseas Investments
According to the EY Overview of China’s Overseas Investments for the First Half of 2024, Chinese outbound direct investments (ODI) across all sectors reached $85.3 billion USD, marking a 13.2% year-on-year growth.
Non-financial ODI accounted for $72.62 billion USD, reflecting a significant 16.6% increase. These figures underscore the growing momentum of Chinese enterprises in global investment activities, with an increasingly sophisticated overseas presence.
Challenges and Opportunities in Overseas Expansion
Despite positive progress, Chinese industrial automation companies face numerous challenges in international markets. Factors such as shifting U.S. policies, ideological differences, and geopolitical uncertainties pose risks to overseas investments.
However, initiatives like China’s Belt and Road Initiative have opened new opportunities in emerging markets. These regions offer fertile ground for Chinese companies to expand their global operations and strengthen their presence in industrial automation.
Looking Ahead
Chinese industrial automation companies are poised to continue deepening partnerships with the United States and other countries while aggressively pursuing overseas market opportunities. By prioritizing technological innovation and strategic investments, these companies aim to enhance their global competitiveness and achieve breakthroughs on the international stage.
