Updated
Updated · Global Times · Jun 28
McKinsey's Joe Ngai Says China Has No Equal as 8 of 16 New Lighthouse Firms Land There
Updated
Updated · Global Times · Jun 28

McKinsey's Joe Ngai Says China Has No Equal as 8 of 16 New Lighthouse Firms Land There

1 articles · Updated · Global Times · Jun 28

Summary

  • Joe Ngai, McKinsey's Greater China chair, said multinationals cannot find a true "next China" as they diversify supply chains, calling the country "the world's toughest gym" for companies.
  • 8 of 16 newly added World Economic Forum Lighthouse Network enterprises came from China, underscoring Ngai's argument that the country still pairs manufacturing depth with fast innovation.
  • Ngai said China's full-chain industrial system, efficient closed-loop production and scale in AI infrastructure, electrification, smart hardware and digitalization remain hard for other economies to replicate.
  • Huawei, BYD and miHoYo were cited as examples of intense local competition pushing foreign companies toward an "in China, for China" strategy and deeper integration with domestic supply chains.
  • The remarks frame China as a still-indispensable market for multinationals despite de-risking efforts, because its combination of manufacturing, consumption and innovation continues to offer long-term growth.

Insights

With China's supply chain dominance deepening, are companies finding growth opportunities or walking into a strategic dependency trap?
Can foreign firms truly win in China's 'toughest gym,' or are they just training their future state-backed rivals?
As China's new policies curb AI-driven layoffs, will this social safeguard blunt the very innovation that makes it irreplaceable?