The Rise of Chinese Brands in Southeast Asia

From bubble tea to electric vehicles, Chinese brands are redefining consumer trends in ASEAN through speed, digital innovation, and winning local strategies

By Tommaso Magrini

In recent years, Chinese consumer brands have been steadily transforming the ASEAN region, gaining ground on both Western giants and well-established local players. Initially rooted in low-cost segments, they have evolved into sophisticated and innovative competitors, thanks to strong digital strategies, rapid expansion, and a high degree of localization.

Nel campo degli smartphone, marchi come Xiaomi, Oppo, Vivo, Realme e Transsion dominano oltre il 60% del mercato locali. In ambito EV, BYD e SAIC/Wuling contano per oltre il 75% delle vendite in ASEAN. Grazie a prezzi competitivi e soluzioni innovative (come leasing batterie o cambio rapido), questi marchi sfidano anche i leader occidentali. 

Southeast Asia has become the number one destination for Chinese exports, totaling $587 billion in 2024—a 12% increase over the previous year. The region offers dynamic markets: over 650 million people, a median age of 31, with 63% under 40, increasing digital connectivity, and limited brand loyalty. This combination makes ASEAN the ideal ground for Chinese brand expansion, especially at a time of commercial uncertainty, exacerbated by rising U.S. tariffs.

In the smartphone market, brands like Xiaomi, Oppo, Vivo, Realme, and Transsion now command over 60% of local market share. In the electric vehicle sector, BYD and SAIC/Wuling account for over 75% of EV sales in the region. With competitive pricing and innovative solutions—like battery leasing and fast-swapping systems—these companies are challenging established Western leaders.

In the food and beverage sector, chains like Mixue, Luckin Coffee, and Chagee have won over Southeast Asian consumers with localized offerings, viral digital marketing, and low-cost franchising. Mixue alone has more than 2,600 outlets in Indonesia and over 45,000 worldwide, surpassing Starbucks and McDonald's in number of stores in ASEAN. Chagee, meanwhile, has opened more than 4,000 outlets globally, expanding in Thailand, Malaysia, and Singapore as a trendy tea-house brand.

Chinese companies have refined direct-to-consumer (D2C) business models powered by e-commerce, livestreaming, and platforms like TikTok/Douyin. Brands such as Florasis, Perfect Diary, YOU Beauty, and Judydoll release hundreds of products each year, combining traditional ingredients, local aesthetics, and cultural storytelling to attract younger generations who are highly responsive to trends. In ASEAN, this approach drives instant engagement, brand loyalty, and valuable data for product innovation. This wave of Chinese brands is putting pressure on both Western and regional competitors, which have traditionally relied on brand heritage and traditional retail distribution. Yet for ASEAN consumers, it translates into a broader range of choices—spanning affordable technology and quality lifestyle products. Brands like Haidilao (hotpot), Hey Tea, Pop Mart, and Miniso are redefining the retail and food landscape with design, experiences, and packaging that speak simultaneously to local cultures and global trends. The rise of Chinese brands in Southeast Asia is no passing fad—it is a structural transformation. Through digital-first logic, streamlined production, cultural storytelling, and strategic pricing, these brands are reshaping the meaning of “Made in China”: from cheap manufacturing to a symbol of efficiency, value, and innovation. In an ASEAN that is rapidly digitizing and opening to global commerce, consumers are regaining center stage—and Chinese brands are emerging not just as competitors, but as leaders in shaping the future of consumption. A quiet revolution that is expanding opportunities for all, from daily purchases to high-end lifestyle choices.