In this episode, Dr. Joseph Lai from Ox Capital joins Claudia Ramsey to discuss emerging market strategies for 2025. From the impact of geopolitical tensions and trade shifts to the rapid adoption of AI and the growth potential in markets like China, India, and Vietnam, this episode uncovers strategies for identifying tomorrow’s market leaders.

Joseph Lai recently joined Ausbiz to discuss how China is adapting swiftly to trade pressures while advancing its technology leadership, particularly in electric vehicles. He highlighted the significant role of companies like BYD, Xiaomi and Tencent in China’s evolving tech landscape and noted renewed global interest in the Hong Kong market.

China’s economy is undergoing a major shift from construction-led growth to one powered by innovation, advanced manufacturing, and private sector dynamism. Companies like BYD and Xiaomi are not only thriving in China’s competitive market but also reshaping global industries through innovation and scale.

Joseph Lai shares insights on the impact of tariffs on Asian economies. He suggests that the tariff chaos, reminiscent of post-Liberation Day calm, leads countries to negotiate moderate tariffs to rebalance trade and maintain supply chain efficiency.

Joseph Lai addresses the current state of Hong Kong and Chinese equities amidst global uncertainties. Joseph suggests a shift from a unipolar to a multipolar world, impacting market performance.

China is transitioning from a construction-driven economy to one focused on innovation and high-value industries, with global leaders emerging in sectors like EVs, robotics, and renewables. While the property market adjustment has been challenging, signs of economic recovery and sustainable growth are becoming evident.

While US equities stumble under the threat of tariffs and a record budget deficit, and the ASX pulls away from its highs, the Hang Seng has quietly staged returns of more than 25% year to date. So is the era of Chinese weakness over?

Joseph Lai says China has taken a ‘steady as she goes’ approach with its latest stimulus announcement aimed at boosting consumer spending and investment in innovation. He says at this stage it appears that China and the United States are still willing to sit down at the negotiating table to de-escalate the trade war.

Joseph Lai highlights China’s targeted tariffs on US farm goods, aiming to sway political outcomes in agricultural regions. He notes ongoing talks between the US and China, mentioning Trump’s history of collaboration.

The rise of Chinese innovation, exemplified by platforms like DeepSeek, TikTok, and Temu, highlights the country’s rapid technological advancements driven by intense domestic competition and a shift toward high-quality, sophisticated products. With a strong foundation in robotics, renewable energy, and AI, China is poised to extend its cost and quality advantages globally, reshaping industries and challenging traditional leaders in the tech and manufacturing sectors.