- The Straits Times
For Chinese firms looking to expand overseas, it appears that Singapore may be at the top of the list.
Top Chinese companies like Baidu, Alibaba and Tencent often look to overseas ventures, and Singapore is at the top of the lists they consider, a report has found.
Professional services firm JLL said in its latest report that due to the strong links to China and its geographical location, Singapore is the most connected city in the world to China, followed closely by New York and Sydney.
The report, titled China12:China Cities Go Global is a report on the growth of the 12 leading cities in China, as well as the progress they have made and the countries that interact with them.
The transparent and stable market that Singapore is able to offer makes it an attractive destination for China’s firms, with Singapore having the largest presence of leading mainland Chinese companies.
JLL also identifies and ranks the seven biggest cities that have the “deepest concentrations of international capital, business and people” in the world, aptly named the “Big 7”. Singapore is part of this group, at 4th place, with London topping the group.
In terms of investments, Singapore also makes it into the top 10 countries that Chinese capital for real estate is invested into, sitting at 9th place.
Both Singapore and Johor Bahru are ranked 3rd and 4th respectively on the top 20 cities for land purchases by mainland Chinese buyers.
Together with Silicon Valley, Singapore also leads the list of places with the highest number of Chinese technology companies outside of China, and is also third in the list of countries with the most Chinese financial firms.
Jeremy Kelly, director of global research at JLL, said C hinese firms are targeting young and rapidly growing markets such as those in Southeast Asia in their overseas ventures.
“We’re already seeing a higher number of domestic brands, both established firms and new start-ups, enter the international market, with key targets in South and Southeast Asia,” he said.