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… have connected with more than 840 European electricity suppliers and more than 5,000 heat pump models. These are not things that can be caught up with in one or two years.
There is another point many people overlook: user stickiness. Our app’s DAU (daily active user) rate exceeds 50%, and users open it four times a day on average. They look every day at how much electricity they generated and how much money they saved. Once this habit is formed, the cost of switching to another brand becomes very high. So I am not too worried about competition. Instead, the more imitators there are, the more it means the sector has been validated. That is a good thing for us.
<h3>36Kr: What is your biggest judgment about industry development over the next two to three years?</h3>
LB: My biggest judgment is that only AI-driven balcony energy storage will be competitive in the future. Without AI, hardware alone has no differentiation.
Why? Because hardware will become increasingly homogenized. Core components such as batteries and inverters are similar across suppliers, and costs will become increasingly transparent. But AI capability is different. It is soft and invisible, and yet it is exactly what users can perceive most clearly: how much they pay for electricity each month. That number is the most honest.
So everything we are doing now is essentially building a decision engine with AI at its core. The stronger this is, the better the user experience, the more money users save, and the stronger the stickiness. This is a positive flywheel.
<h3>36Kr: In technology R&amp;D, what are Zendure’s key plans for the future?</h3>
LB: We mainly focus on several directions.
On hardware, the first is lowering hardware costs, the second is some unique thinking around inverter architecture design, and the third is improving efficiency. Hardware ultimately comes down to efficiency and cost. When efficiency rises, heat decreases. When heat decreases, fewer heat dissipation components are needed, and hardware costs naturally fall. So what we are working hardest on is efficiency and cost.
On software, the main focus is deep application of AI. We have already launched an internal strategy to transform into an AI-native organization.
At Zendure, AI is not just an internal efficiency tool. We will use AI from the bottom up to reconstruct our product architecture. Native AI hardware and software products will also be launched in the future.
<h3>36Kr: Beyond energy storage itself, is Zendure considering products for other scenarios?</h3>
LB: We are already doing this. Our electric cargo bike will launch in the second half of this year. We are the only company in the balcony energy storage industry doing this. We have expanded from the home to short-distance outdoor mobility in the yard.
Some European users have even asked if we will make electric vehicles. It is not very realistic for now, but it shows users’ high trust in the brand. If they like you, they hope you will make everything.
We are also exploring heat pumps and air conditioners, though nothing has been finalized yet.
<h3>36Kr: Will Zendure’s design direction change?</h3>
LB: Yes. Our user base is expanding from early technology geeks to mass market users. Especially when couples make purchase decisions together, women’s aesthetic requirements are much higher. So next, we will move in a more appliance-like direction, making the appearance more refined and closer to home appliances.
<h3>36Kr: What are Zendure’s goals for the next few years?</h3>
LB: To lead Europe's plug-in home energy management system market, reach one million users, and complete an IPO. Personally, I lean more toward a Hong Kong listing, because 99% of our revenue comes from overseas. A Hong Kong listing would benefit our overseas business and brand, and would serve as a concentrated brand upgrade for our channels, energy suppliers, and installer ecosystem partners in Europe and North America.
I have communicated with some European investors. Once our brand is mentioned, they all say they are very familiar with it. Because our strategic focus over the years has been overseas, we have kept a low profile in China, so China’s capital markets do not feel our brand as strongly.
KrASIA features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3804589375987204">article</a> was written by Xiao Xi for 36Kr.
Note: EUR figures are converted to USD at rates of EUR 0.86 = USD 1 based on estimates as of May 25, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.

Zendure aims to lead in AI-driven home energy management systems

Artificial Intelligence

Hardware

Deep Tech

Batteries

Energy

China

China's investment in Europe has reached its highest level since 2018 and surpassed other high-income economies for the first time, a new report shows, although exports remain Chinese companies' preferred means of doing business.
While Chinese foreign direct investment (FDI) in the US is flatlining at the lowest level in a decade amid geopolitical tensions, China has increased its share of total investment in the more open European market. The region accounted for around 25% of Chinese global investment in 2025, up from 17% in 2024, according to a joint report by Rhodium Group and the Mercator Institute for China Studies (MERICS), a Berlin-based think tank.
China invested EUR 16.8 billion (USD 19.5 billion) in Europe, including the UK, last year, according to the report. That was up 67% on the year, with 42% directed toward the electric vehicle supply chain. Mergers and acquisitions drove the growth, jumping 89% to EUR 7.9 billion (USD 9.2 billion), while greenfield investment—building facilities from the ground up—increased 51% to EUR 8.9 billion (USD 10.3 billion).
The growth comes as Chinese companies chase overseas opportunities to offset sluggish economic conditions at home and get around trade friction. Despite the rise in completed investments last year, however, the total in Europe was still less than half the peak in the middle of the last decade, as overall outbound flows remain far lower. The report also stresses that newly announced transactions were subdued in 2025, at EUR 5.2 billion (USD 6 billion), versus EUR 16.9 billion (USD 19.6 billion) worth of plant and equipment announcements in 2023.
"Beijing's focus on building up domestic industrial capacity and keeping core technologies and know-how at home will continue to weigh on outbound foreign direct investment," the report said. "Meanwhile, persistently weak domestic demand and low profit margins in China, as well as an undervalued yuan, will encourage Chinese firms to continue to use exports as the main channel for selling their goods abroad."
Chinese exports to Europe continued to climb, particularly in sectors that have also attracted major Chinese investment. Auto export volumes rose 15%, battery shipments increased 43%, and wind equipment exports surged 65%.
The report argues that even with the European Union's anti-dumping and countervailing duties, which the authors estimate only cover about 9% of China's exports to Europe, the European single market is still "a relatively open market for China."
"The key question is whether Chinese firms will continue to rely heavily on exports for their overseas sales, or whether we will see a steady increase in levels of outbound investment," the report said. "If economic, political and policy conditions do not change substantially, we expect Chinese firms to favor exports."
Chinese scholars complain that the EU is adopting decoupling policies toward China, and trade tensions are rising as the bloc considers a slew of measures to counter the influx of Chinese goods.
In December, the EU opened an in-depth investigation into security inspection products maker Nuctech over concerns that the partially state-owned company may have benefited from subsidies, giving it an unfair competitive advantage in Europe. Tensions intensified last week as Beijing ordered Chinese entities not to assist with the EU's probe, arguing that Europe's use of the Foreign Subsidies Regulation in the case constitutes "unjustified extraterritorial jurisdiction."
Scrutiny of FDI is growing as well. In December, the EU reached a provisional political agreement to revise its FDI screening regulation to enhance economic security, introducing mandatory national review mechanisms, broader scrutiny of indirect investments through EU subsidiaries, and unified baseline rules for critical sectors across member states.
Proposals to give the European Commission the power to override national screening decisions were dropped following opposition from the European Council.
The Rhodium-MERICS report said that high costs and regulatory barriers in Europe could limit its appeal to Chinese investors, while delays and political compromises may slow EU efforts to bring more production onshore.
At the same time, it says that Brussels may remain cautious about taking trade measures against China, wary of potential retaliation, particularly involving critical minerals, as well as uncertainty surrounding US tariffs. "This will leave European markets broadly open to Chinese exports in the medium term," while giving Chinese companies "fewer reasons to invest in the EU."
Hungary remained the top destination for Chinese investment in Europe, attracting EUR 3.9 billion (USD 4.5 billion), followed by Germany at EUR 2.5 billion (USD 2.9 billion) and France with EUR 1.9 billion (USD 2.2 billion). Three of the ten largest ongoing Chinese investment projects in Europe—by <a href="/company/catl">Contemporary Amperex Technology</a> (CATL), <a href="/company/byd">BYD</a>, and Sunwoda Electronic—are located in Hungary.
Hungary's share of total Chinese investment in Europe fell to 23% in 2025, from 32% a year earlier, as no new major projects were announced, according to the report. Instead, momentum has shifted toward Germany and Spain, where investment rose 88% and 147%, respectively. Germany ranked second after Hungary in EV-related investment, followed by Spain.
At a briefing to unveil the report, MERICS analyst Andreas Mischer acknowledged that Europe faces a dilemma over whether to seek more or less Chinese investment. "Ideally, we would still attract Chinese investments in the automotive sector and so on, but while at the same time making sure that local value and local spillovers are actually created."
That could require setting conditions like hiring quotas and technology transfers, without creating so many hurdles that investors "abandon the European market altogether."
Gregor Williams, associate director with Rhodium Group's China corporate advisory team, said that ultimately, "Europe needs to realize its advantage, which is access to its market."
This article first appeared on <a href="https://asia.nikkei.com/economy/china-s-investment-in-europe-hits-7-year-high-still-far-from-peak">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing partnership with <a href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/">Nikkei</a>.
Note: EUR figures are converted to USD at rates of EUR 0.86 = USD 1 based on estimates as of May 22, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.

China's investment in Europe hits seven-year high, still far from peak

Europe

… potential users of coding,” Liu said.
At the end of 2025, Alibaba Cloud set a goal of capturing 80% of incremental growth in the AI cloud market in 2026. It is now concentrating its resources on coding. “In the first five months of this year, we can say Alibaba Cloud has already captured 80% of incremental growth in the LLM market,” Liu said.
To support that goal, Alibaba Cloud is changing how it evaluates sales teams. The question is no longer who sells the largest token volume, but who sells the most valuable tokens.
Put simply, Alibaba Cloud is not pursuing token consumption generated by basic chat. Prices for that type of model usage have already fallen sharply.
Instead, one of Alibaba Cloud’s key metrics is the number of customer core business systems its models are connected to. It wants tokens that customers use to write code, make decisions, and run processes. Once models enter enterprise production workflows, token consumption rises, unit prices are higher, repurchases are more stable, and the revenue is higher quality.
Coding-related token consumption differs from video. Video model consumption is one-off: a video is generated, and the task ends.
By comparison, coding is closer to a self-evolving process. A model writes code, the code becomes an application, the application is deployed to the cloud, the running application calls the model, and the model generates more code.
The large model race has become a systems engineering contest. The coupling of chips, infrastructure, and large models is now one of the most important factors shaping training and inference efficiency. Commercial competition is also accelerating, rapidly testing use case value and feeding intelligence back into models.
“Chips, models, and the cloud are now like gears that need to mesh together and spiral upward,” Liu said. If the future competition is about whether each chip can run more tokens, and higher-quality tokens, than competitors, “then we win.”
KrASIA features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3819955387371649">article</a> was written by Deng Yongyi for 36Kr.
Note: RMB figures are converted to USD at rates of RMB 6.80 = USD 1 based on estimates as of May 25, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.

Alibaba Cloud lifts MaaS revenue with deeper focus on AI coding

Alibaba Cloud

East Asia

Foundation and Large Models

… tenfold. This round of price increases is very severe. I think new smartphones will start to become more expensive, so anyone planning to replace a phone in the next year should do it earlier.
At the same time, we are using various internal methods to improve efficiency and see whether we can absorb as much of the cost increase as possible. But our ability is limited.
That is why the RMB 233,500 (USD 34,330.2) price for the YU7 standard version was a difficult decision. The earliest price was RMB 239,900 (USD 35,271.1). When we saw that people expected RMB 220,000, (USD 32,345.3) I thought they had no idea how much cost pressure exists today. Still, we tried to make the pricing fair and let people feel our sincerity.
KrASIA features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3817022407181188">article</a> was written by Xu Caiyu for 36Kr.
Note: RMB figures are converted to USD at rates of RMB 6.80 = USD 1 based on estimates as of May 25, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.

Xiaomi widens YU7 lineup to take on more of China’s EV market

Transportation

Electric Vehicles

Mobility

… aired in 2025, the series had reportedly secured partnerships with more than 30 brands.
The sequel built on the first season’s appeal by expanding the workplace setting beyond power struggles inside a television station. Its story moved into a three-way contest among traditional media, online media, and a government information department. Real-world issues, including AI-driven content piracy and labor disputes, gave the series more topical weight, while its Douban score pointed to continued audience recognition.
The series’ independent, career-focused female characters also resonated with viewers, making it a useful vehicle for brands seeking to reach high-net-worth female consumers. It attracted partnerships with brands including Feihe and Nivea.
Last year, the collaboration between Ant Group’s AQ and The Vendetta of An won one of the overall grand prizes during the “Cool Awards” segment of Hujing’s latest launch. After The Vendetta of An aired, it ranked first on the platform in total number of ads and total ad duration for drama series in 2025. As the series’ title sponsor, AQ was promoted through a series of placements involving one of the show’s main characters.
The serialization of top-tier content from this slate, including Legend of Zang Hai 2, Regeneration 2, and Blood River 2, combined with Youku’s mature marketing capabilities, may further multiply marketing effects and help clarify the IP route.
“Serialization means this content world will continue growing, and brands do not have to start from zero every time,” the general manager of Hujing’s commercialization platform said. “The latest slate alone contains nine second-generation series across drama series. Among them, Legend of Zang Hai 2 and Blood River 2 quickly topped Weibo’s trending list as soon as they were launched, rapidly attracting massive attention and discussion. It can be seen that the commercial value of serialization continues to expand.”
<h3>Threading online and offline channels together</h3>
At Hujing, IP capabilities may also be amplified by the group’s marketing capabilities, including its “all-scenario” ecosystem.
In the content segment, fellow Alibaba subsidiary Damai Entertainment has continued to deepen its presence in real-world entertainment segments, including concerts, music festivals, stand-up comedy, comedy, and exhibitions. Traditional longform video marketing often stops at online exposure, while Hujing extends content IP value offline.
In 2025, box office revenue from commercial live performances in China exceeded RMB 60 billion (USD 8.8 billion) for the first time, while attendance reached 194 million, according to the China Association of Performing Arts. Riding this trend, Hujing built a film and live entertainment position through Taopiaopiao and Damai, creating a chain from online drama watching to offline experiences. Around a single IP, brands can obtain compound marketing resources including theater title sponsorship, character derivatives, and offline film and live entertainment tie-ins, rather than relying on one-off placements.
Take the Xiami music and arts festival as an example. Held for four years so far, the festival has worked with 27 partner brands, while sponsorship revenue has grown several dozenfold. It has become a scenario in which brands, content, and music fans can all benefit. On-site, several brands completed content co-creation with the music festival, connecting with music scenarios, lifestyles, and the emotions of music fans.
According to Hujing, this year’s Xiami festival will expand into a matrix that includes a large festival and midsize outdoor “outing,” complemented by a smaller indoor component.
Damai’s offline exploration also follows an IP-driven approach. It has previously promoted the offline implementation of classic IPs such as Yao-Chinese Folktales, which became an art exhibition.
The general manager of Hujing’s commercialization platform said:
<blockquote>“All-scenario does not mean filling every channel. It means allowing the same emotional thread for a brand to run through the user’s complete journey from reach to conversion.”</blockquote>
To this end, Hujing’s approach has three layers of integration:
<ol>
<li aria-level="1">Online-offline scenario integration: Youku’s premium content provides immersion, Damai’s offline performances provide implementation, and brands establish a presence across more spaces in users’ lives.</li>
<li aria-level="1">Cross-category IP integration: Drama series, variety shows, animation, and offline performances circulate around the same IP, with all touchpoints conveying a consistent brand narrative and ensuring continuity of experience.</li>
<li aria-level="1">Data integration: Personal, household, and public screens are connected, moving audiences from content reach to brand experience and e-commerce conversion. Precise retargeting enables full-chain attribution, a capability that pure content platforms may find difficult to replicate.</li>
</ol>
This integration of online content and offline emotional engagement forms Hujing’s core barrier, setting it apart from other platforms and supporting long-term commercial monetization of its IP.
KrASIA features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3805664792157960">article</a> was written by Xiao Xi for 36Kr.

Alibaba’s Hujing sees longform IP as a counterweight to short-form content

Entertainment

Video

Creative

Content

The global <a href="/industry/ai">artificial intelligence</a> boom has boosted electronics shipments from Southeast Asian technology hubs, pushing their overall exports to historic highs despite the supply chain shock emanating from the Middle East.
According to data released on May 20 by Malaysia's Ministry of Investment, Trade and Industry, the country's exports of electrical and electronic goods in April climbed 46.4% year-on-year to a record MYR 88.16 billion (USD 22.2 billion).
The spike was "primarily supported by strong demand from the artificial intelligence and automotive electronics segments," the ministry said in its statement.
Malaysia is known for semiconductor packaging processes. With the electrical and electronics segment accounting for 48% of its total exports, overall shipments jumped 36.9% year-on-year, the fastest pace of growth in nearly four years, to MYR 182.74 billion (USD 46.1 billion), a record for any month.
Since the US war with Iran broke out in late February, the effective closure of the Strait of Hormuz has pushed up oil prices, clouding global logistics. But the latest trade data suggests the recent technology upcycle, which has already benefitted leading chipmakers, is outweighing the impact of the Middle East shock.
"Malaysia's trade maintained its stellar performance" despite higher logistics costs, supply chain disruptions, and commodity price volatility, the ministry said.
By destination, Taiwan, Asia's leading semiconductor production hub, grew fastest, up 86% from a year earlier, thanks to strong exports of electronics as well as optical and scientific equipment.
Malaysia also expanded its exports to the US and China, each up 39%, and to Vietnam, by 65%.
Southeast Asian manufacturing hubs like Malaysia have increased their presence in recent years, particularly as the trade rivalry between the US and China intensified.
To circumvent US tariffs, Chinese companies in sectors such as batteries, semiconductors, and solar energy have sought alternative production and export channels in Southeast Asia, which may be one factor supporting Malaysia's increased exports to the US
Apparently reflecting these moves, Malaysia's trade data showed that re-exports in April doubled from a year earlier, contributing to the overall growth.
In neighboring Singapore, April exports also grew strongly. The city-state's benchmark nonoil domestic exports surged 24.5%, Enterprise Singapore announced on May 18, marking the fastest pace since February 2012.
Electronic exports rose 66.7%, "supported by robust AI-related demand," the statutory board said. Shipments of integrated circuits jumped 82.7% year-on-year, disk media products increased 2.5-fold and personal computer exports rose 35.7%.
Electronics shipments to the US increased 224% from a year earlier, those to South Korea gained 214% and to Taiwan 118%.
"Robust global AI demand should continue to underpin electronics exports, particularly in semiconductors," Mohamed Afham Zulghafir, an economist at CGS International, said of Singapore's outlook.
Likewise, in Thailand, which is expected to release its April trade data in the next week or so, electronics are expected to lead exports in the coming months.
In Thailand's <a title="" href="https://asia.nikkei.com/economy/thailand-s-q1-gdp-growth-picks-up-bucking-trend-among-asean-peers" target="_blank" rel="noopener">first-quarter gross domestic product</a> announcement on May 18, the National Economic and Social Development Council revised up its full-year export growth projection in dollar terms to 9.6% from the previous 2%, citing "increasing demand for advanced technology-related products, which is expected to support continued expansion in exports of electronics and electrical appliances."
However, economists are cautiously monitoring the impact of the crisis in the Middle East.
CGS International's Zulghafir pointed out that lingering tensions in the Middle East may lead to more cautious inventory restocking and softer trade-financing flows.
Meanwhile, Julia Goh, a senior economist at United Overseas Bank, said operating conditions in the manufacturing sector are expected to worsen due to logistics disruptions. "Although firms are sourcing alternatives," she said, "substitutes may be delayed or fail to meet required specifications."
This article first appeared on <a href="https://asia.nikkei.com/economy/trade/malaysia-singapore-exports-surge-on-ai-boom-defying-mideast-shock">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing partnership with <a href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/">Nikkei</a>.
Note: MYR figures are converted to USD at rates of MYR 3.96 = USD 1 based on estimates as of May 22, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.

Malaysia, Singapore exports surge on AI boom, defying Middle East shock

Singapore

Malaysia

Southeast Asia

… speakers first. They have to consider other important parts of the car first,” a Sonavox R&amp;D staff member told 36Kr. Speakers therefore must become increasingly invisible.
Discussing the competitive direction over the next three to five years, Sonavox management’s overall view is that the marginal utility of hardware stacking is diminishing. “We focus more on optimization from the software perspective, the algorithm perspective, and the soft power perspective,” a Sonavox staff member said. Another member of the Sonavox R&amp;D team added that the acoustic foundation of the speaker unit remains the premise, but on top of that, “whoever controls autonomy and AI across the entire chain will see the value-added change.”
This creates new opportunities and problems for suppliers such as Sonavox. The opportunity is that automotive acoustics increasingly requires system solutions, which could amplify domestic suppliers’ advantages in development speed, cost control, and scenario understanding. The problem is that system capabilities must be recognized by automakers, while brand mindshare must be built gradually. In the past, suppliers could hide behind finished vehicles. In the future, the industry will need to know what problems they have solved.
In terms of specific moves, Sonavox will continue advancing technology and commercializing nanomaterials, digital speakers, and multichannel amplifiers. It will also accelerate product-side innovation and cross-sector cooperation in embodied intelligence acoustics, extending automotive-grade acoustic capabilities into more scenarios and seeking a second growth curve.
At the same time, Sonavox will continue binding itself closely with new energy vehicle makers in the Chinese market, participating in the smart cabin industry’s growth while using refined cost control and digital manufacturing to improve delivery quality.
Overseas, it will continue investing in local R&amp;D, manufacturing, and delivery. While defending its advantages in Europe, the US, and China, it will also accelerate expansion into regional markets such as Japan, South Korea, and Southeast Asia.
From a township factory to a listed company in the top tier of the global automotive acoustics industry, Sonavox has spent 50 years growing. As automotive acoustics becomes more deeply integrated into vehicles, and more invisible within them, the people who have spent years working on sound systems have reached the moment when they need to be seen.
KrASIA features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3789207177141249">article</a> was written by 36Kr Brand.
Note: RMB figures are converted to USD at rates of RMB 6.81 = USD 1 based on estimates as of May 21, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.

Sonavox makes a loud case for audio as part of the smart cabin stack

Family-owned Mayer &amp; Cie is not only a giant in the German textile industry. Over 80,000 of the circular sewing machines it has manufactured are used throughout the world to make clothes for global brands like H&amp;M, Uniqlo, and Decathlon.
In April, the 120-year-old company became yet another German entity to fall into the hands of a Chinese buyer, Huixing Machinery in this case, after it declared bankruptcy last year and laid off nearly all of its over 200 staff. It blamed a raft of reasons for its failure, including an inability to compete with Chinese rivals on price, a predicament European industrial companies are all too familiar with.
"State-subsidized manufacturers from China offered their textile machines at low prices on the world market," Mayer &amp; Cie wrote in its insolvency filing in September. European machines are usually at least 20% more expensive than Chinese ones.
For four generations, the company supplied the world with circular-knitting machines from its base in Germany's southwestern town Albstadt. They make tube-shaped fabric for collars, socks, hats and mattresses, to name some items and are much more productive than flatbed machines. Each Mayer &amp; Cie machine manages over 12 million stitches per minute, which equates to around 380 T-shirts per hour.
Huixing has now taken over the Albstadt site and a subsidiary in the Czech Republic and one in Jintan, China, for an undisclosed sum. Apart from Chinese competition, Mayer &amp; Cie also blamed its collapse on the US-China trade war and the Ukraine war, both of which led to inflationary pressure. At the same time, Turkey, a major importer of textile machines, was struggling with hyperinflation, in part brought on by its own unconventional economic policy before June 2023.
An arranger of the Mayer &amp; Cie deal said the German company can benefit from the reach of Quanzhou-based Huixing in China, a key market for the industry.
Wang Jiawei, head of consultancy Roedl's China practice, further explained that the deal was waved through by authorities because it was about vertical integration to expand market share and not aimed at technology transfer.
Huixing's commitment to gradually rehire the employees who had been laid off would have helped its case with German authorities. It will also keep key functions, such as manufacturing, research, and development, in Albstadt.
An analyst said Mayer &amp; Cie could thrive under the new leadership, citing the 2005 takeover of industrial sewing-machine maker Duerkopp Adler. The company that was established in 1860 became the first German-listed company to come under the control of a Chinese shareholder, Shanghai-listed ShangGong Group.
"At the time, the news was treated across Europe as a sensation, but 20 years on, Duerkopp Adler still operates from its plant in Bielefeld-Oldentrup, employs more than a thousand people, has materially improved its margins under Chinese ownership, and runs the German sister brand Pfaff Industrial within the same group," said Anton Schumann, partner and CEO of textile consultancy Gherzi Germany.
Schumann also cited the 2023 acquisition of the bankrupt, Stuttgart-based Terrot, one of the oldest names in circular knitting, by Santoni Shanghai Knitting Machinery, an Italian-Chinese group. The company continues to trade under the brand, with an intact workforce.
Germany's Machinery and Equipment Manufacturers Association (VDMA) observed that European textile machinery manufacturers are operating in a challenging market environment that has changed noticeably since 2022. Orders have declined, particularly for clothes. At the same time, the Ukraine war and subsequent sanctions on Russia have pushed up energy and regulatory costs in Europe.
"Chinese textile machinery manufacturers benefit from several advantages, including government support measures for financing, energy, and infrastructure, and as a result, they are increasingly penetrating market segments that were long dominated by European manufacturers," said Nicolai Strauch of VDMA's textile machinery division.
Strauch said that European machines, however, have longer lifespans, higher performance rates and are more technologically advanced.
"European textile machinery manufacturers also possess extensive expertise in energy saving, emission reduction, recycling, and circular economy solutions, as well as regulatory compliance to EU regulations," he added.
Schumann also urged European textile machinery makers to specialize in niche products with markets either too small or too complex for Asian volume manufacturing, such as nonwovens for filtration or medical knit.
Another option is to focus on tapping nearer markets such as Morocco, Tunisia, Jordan, Turkey, southern Spain, Portugal, and parts of central Europe that are yet to be fully served by Asian volume producers or suppliers of premium machines.
This article first appeared on <a href="https://asia.nikkei.com/business/markets/commodities/china-investor-gobbles-up-120-year-old-german-sewing-machine-maker">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing partnership with <a href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/">Nikkei</a>.

China investor takes over 120-year-old German knitting machine maker

… AI code generation rate to 80% from 30% currently.
ZKH has built an integrated AI application system covering core business processes including products, sales, operations, and customer service. It has also formed a portfolio of AI agents, including an inquiry and quotation tool, a materials manager, and a product recommender. The company said these tools are beginning to show commercial value.
This <a href="https://xueqiu.com/2854806290/390246013">article</a> was adapted based on a feature originally written by Stone Jin and published on IPO Zaozhidao. KrASIA is authorized to translate, adapt, and publish its contents.
Note: RMB figures are converted to USD at rates of RMB 6.81 = USD 1 based on estimates as of May 22, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.

ZKH’s Q1 GMV growth accelerates as efficiency push lifts profit