Shenzhen Stock Exchange listed companies are accelerating their international expansion.
With innovative capabilities and product quality, China's advantageous product exports are expected to continue steady growth in the new year. In the future, import and export will focus more on "quality improvement," exploring diversified markets, and optimizing trade product structures as the main focus. Benefiting from proactive overseas market layouts, many Shenzhen-listed companies have made significant progress in their business performance in recent years. According to Wind statistics, Shenzhen-listed companies achieved operating income of CNY 2 trillion in 2022, a year-on-year increase of 7.14%. Among these, overseas business operating income reached CNY 3.50 trillion, a year-on-year increase of 18.95%, accounting for 17.51% of total operating income, an increase of 1.74 percentage points year-on-year.
As emerging industries such as new energy, future energy, and next-generation information technology accelerate their development, the export of "new three" (electric vehicles, lithium batteries, photovoltaic products) grew by nearly 30% in 2023. Specifically, the export of new energy vehicles increased by 77.6%, maintaining its position as the world's leading exporter, driving the overall new car export quantity to the top position globally. Taking Shenzhen as an example, the operating income growth rates of electric vehicles, lithium batteries, and photovoltaic products among the "new three" listed companies have consistently ranked at the forefront in recent years.
In the automotive sector, for instance, nine complete vehicle companies including BYD and Changan Automobile achieved operating income of CNY 675.362 billion in 2022, a year-on-year increase of 23.43%, with overseas business operating income reaching CNY 122.035 billion, a year-on-year increase of 49.25%. In the field of lithium batteries, 56 battery companies including CATL and EVE Energy achieved operating income of CNY 863.742 billion in 2022, a year-on-year increase of 96.29%, with overseas business operating income reaching CNY 187.499 billion, a year-on-year increase of 86.71%. Furthermore, in the photovoltaic industry, 25 photovoltaic companies including SUNGROW and JA Solar achieved operating income of CNY 333.973 billion in 2022, a year-on-year increase of 65.88%, with overseas business operating income reaching CNY 117.030 billion, a year-on-year increase of 67.42%.
This momentum continued into 2023. In the first half of 2023, nine complete vehicle companies such as BYD and Changan Automobile achieved overseas business operating income of CNY 84.331 billion, a year-on-year increase of 79.01%; 56 battery companies including CATL and EVE Energy achieved overseas business operating income of CNY 22.039 billion, a year-on-year increase of 81.72%; 25 photovoltaic companies including SUNGROW and JA Solar achieved overseas business operating income of CNY 66.915 billion, a year-on-year increase of 34.31%.
In addition to "new three" enterprises, Shenzhen-listed companies in various fields including equipment manufacturing, communications, and household appliances are also continuously expanding their presence in overseas markets.
Taking Zhongji Innolight as an example, the company's main business involves the research, development, production, and sales of high-end optical communication transceivers and optical devices. According to its performance report, the company is expected to achieve operating income of CNY 10.725 billion in 2023, a year-on-year increase of 11.23%, and a net profit attributable to shareholders of CNY 2.181 billion, a year-on-year increase of 78.19%.
As the first listed company in China's construction machinery industry, LiuGong Machinery is hailed as the "leader of China's construction machinery industry." In 2023, the company's international business maintained stable development, with rapid growth in over 30 product lines in international business. According to the performance forecast, the company is expected to achieve a net profit attributable to shareholders of CNY 809 million to CNY 959 million in 2023, a year-on-year increase of 35% to 60%. LiuGong stated that it will vigorously implement a "comprehensive internationalization" strategy, continuously enhance its market grasp, customer development capabilities, and risk resistance capabilities, further explore and expand high-end markets, and introduce 5-ton electric wheel loaders into the European and American markets. Meanwhile, the company has successively established new subsidiaries in Thailand, Central Asia, West Africa, and Australia.
Chinese companies continue to advance their "overseas strategies", with significant achievements evident in the layout of Jereh Group. The company anticipates a 21.94% year-on-year growth in operating income, reaching CNY 13.913 billion in 2023, with a net profit attributable to shareholders of CNY 2.461 billion, marking a 9.61% increase. Public data reveals that the company primarily engages in high-end equipment manufacturing, oil and gas engineering, technical services for oil and gas fields, environmental governance, and the new energy sector. Its products and services are primarily applied in the exploration and development of oil and natural gas, their collection, transportation, environmental governance, and new energy. As of the first half of 2023, the company's overseas business revenue accounted for 46.43%, showing a consistent upward trend.
Embarking on the new journey of 2024, the company continues to focus on its core business, constantly exploring innovation. Many Shenzhen-listed companies, including BYD, are steadily advancing their global layout while consolidating their domestic market base. In addition to the substantial investment in an international roll-on/roll-off fleet, BYD's pace of overseas factory construction is accelerating. Reportedly, in December of the previous year, BYD announced the establishment of a new energy passenger vehicle production base in Székesfehérvár, Hungary, becoming the first Chinese automotive enterprise to build a passenger car factory in the European Union. This facility is set to be completed and operational within three years, focusing on the production of passenger car models for sale in Europe. Furthermore, its Brazilian factory is also under construction. To date, BYD's footprint in new energy has extended to over 70 countries and regions across six continents and more than 400 cities, signifying a continuous deepening of its overseas layout.
Another automotive manufacturer, Changan Automobile, is actively pursuing international expansion. In October 2023, the company announced plans to invest 8.8 billion Thai baht in constructing a modern new energy vehicle production base in Thailand, with an initial capacity of 100,000 vehicles per year, increasing to 200,000 vehicles per year in the second phase. Changan Automobile has expressed intentions to meet domestic demand in Thailand while also exporting to global markets such as Australia, New Zealand, the UK, and South Africa, empowering the global industrial chain. Leveraging the momentum of intelligent new energy vehicles, Changan aims to use the Thai market as a foothold to achieve the overseas leap of Chinese enterprises.