Sun Tzu China headhunter updates:According to the 2024 Fortune Global 500 list, the rankings of Shenzhen-based companies are as follows:

• Ping An Insurance (Rank 53): With a revenue of $145.8 billion, it has maintained its position as the world’s leading insurance company for six consecutive years, and it tops the list of Shenzhen companies.
• Huawei (Rank 103): As a global leader in Information and Communication Technology (ICT) solutions, its revenue reached 417.5 billion RMB in the first half of 2023, marking a 34.3% year-on-year growth.
• Tencent (Rank 141): A major player in the internet and software sectors, with a market capitalization exceeding 3.5 trillion HKD.
• BYD (Rank 143): Sold 3.024 million vehicles in 2023, generating a revenue of $85.082 billion, becoming a key driver of Shenzhen’s automotive industry.
• China Merchants Bank (Rank 179): With a net profit of approximately $20.7 billion in 2023, it is the most profitable company in Guangdong.
• Vanke (Rank 206): The only real estate company in Shenzhen’s top 10, despite facing industry challenges, supported by the Shenzhen State-owned Assets Supervision and Administration Commission (SASAC).
• Shenzhen Investment Holdings Co., Ltd. (SIHC) (Rank 370): A state-owned capital investment company focused on technology finance, tech parks, and industrial technology.
• SF Express (Rank 415): The largest integrated logistics service provider in China and Asia, and the fourth largest globally.
• China Electronics (Rank 435): The largest state-owned IT enterprise in China, whose headquarters relocated to Shenzhen’s Nanshan District, strengthening Shenzhen’s IT sector.
• Luxshare Precision (Rank 488): A well-known electronics component manufacturer, often referred to as the “King of the Apple Supply Chain.”

In the list of Shenzhen’s top 10 enterprises, Ping An Insurance, headquartered in Futian District, continues to lead, not only as a prominent company in Shenzhen but also as a flagship enterprise in Guangdong Province. In 2023, the company achieved a revenue of $145.8 billion, ranking first in the global insurance industry for six consecutive years.

Huawei and Tencent follow closely behind Ping An Insurance, representing Shenzhen’s technological prowess. Huawei, as a global leader in ICT solutions, founded in Longgang District by Ren Zhengfei in 1987, remains a symbol of Shenzhen’s hard technology capabilities. In the first half of 2023, Huawei’s revenue reached 417.5 billion RMB, a year-on-year growth of 34.3%.

Tencent represents Shenzhen’s achievements in the internet and software industries, and it is the most valuable publicly listed company in Shenzhen, with a market capitalization of 3.5 trillion HKD. Nanshan District, where Tencent is located, has ranked first among China’s top 100 districts for seven consecutive years.

In terms of rising rank, BYD has shown the fastest growth. Located in Pingshan District, BYD sold 3.024 million vehicles in 2023, generating $85.082 billion in revenue. This achievement has significantly contributed to the development of Shenzhen’s automotive industry and to the growth of large-scale industries in Shenzhen.

In terms of profitability, the top five most profitable companies in Shenzhen are China Merchants Bank, Tencent, Huawei, Ping An Insurance, and BYD. In 2023, China Merchants Bank’s net profit was approximately $20.7 billion, making it the most profitable company in Guangdong Province. Although its revenue is less than BYD’s, its net profit is nearly five times that of BYD.

Vanke is the only real estate company in Shenzhen’s top 10. Although the real estate sector was once a pillar of the local economy, it has faced liquidity crises in recent years, leading to a slowdown in industry growth. Vanke has received support from the Shenzhen SASAC, with Shenzhen Metro being its largest shareholder, making it part of Shenzhen’s state-owned enterprises. The Shenzhen SASAC has stated on multiple occasions that Vanke is an important part of Shenzhen’s state-owned assets and has pledged to fully support Vanke when necessary.

However, the Shenzhen SASAC is also facing challenges. Despite Shenzhen Metro’s unwavering investment in Vanke, from a financial performance and asset value perspective, Shenzhen Metro’s persistence appears quite difficult. In the first half of 2024, Vanke reported a net loss of 9.85 billion RMB, compared to a net profit of 9.87 billion RMB in the same period last year, leading to a significant decline in the net profit of Shenzhen’s state-owned assets in the first half of the year.

Shenzhen Investment Holdings Co., Ltd. (SIHC), established in 2004, is another star in Shenzhen’s state-owned enterprise system, having developed into a state-owned capital investment company focusing on technology finance, tech parks, and industrial technology. It has been listed on the Fortune Global 500 for five consecutive years, with an annual revenue of approximately 290 billion RMB.

China Electronics is China’s largest state-owned IT enterprise and a central government-owned enterprise. Its headquarters moved from Beijing to Shenzhen’s Nanshan District at the end of 2021, boosting Shenzhen’s overall strength in the IT industry. China Electronics currently has 189,000 employees, 24 listed companies, and 663 member enterprises, with total assets of 433.6 billion RMB. Its business spans over 60 countries across six continents, and it has been listed on the Fortune Global 500 for 14 consecutive years.

SF Express and Luxshare Precision are both registered in Shenzhen’s Bao’an District. SF Express has become the largest integrated logistics service provider in China and Asia and ranks fourth globally, while Luxshare Precision is a well-known electronic components manufacturer, often referred to as the “King of the Apple Supply Chain.” Although Luxshare Precision is registered in Shenzhen, its headquarters is actually located in Dongguan.

On the other hand, the once-prominent Zhengwei International Group, which ranked 38th on last year’s Fortune Global 500 list, has disappeared from the list this year. This may be due to questions about its performance and asset transparency. In 2022, Zhengwei International had replaced Huawei as the leading private enterprise in Guangdong Province with an annual revenue of 722.754 billion RMB, but since 2023, Zhengwei International’s fortunes have declined, with multiple equity freezes on its subsidiary companies and consumption restrictions imposed on its founder, Wang Wenyin, known as the “Copper King.”

Among them, BYD’s success in the new energy vehicle sector has had a positive impact on both Shenzhen and China’s automotive industry:

BYD’s success in the new energy vehicle sector has not only solidified its leadership position in China’s automotive industry but has also had a profound impact on the global automotive industry. Through continuous technological innovation and market expansion, BYD has brought positive changes to the automotive industry both in China and globally.

BYD’s technological breakthroughs, such as the Blade Battery, DM-i Super Hybrid, and e-Platform 3.0, have not only enhanced product competitiveness but have also driven technological advancements across the industry. The application of these technologies has given BYD a significant competitive edge in the global market while providing other companies with a reference for technological development.

In 2023, BYD’s annual sales reached 3,024,417 vehicles, a year-on-year increase of 61.9%, making it the world’s leading new energy vehicle manufacturer. This achievement not only showcases BYD’s brand strength but also raises the global profile and influence of Chinese automotive brands.

Additionally, BYD’s industrial chain upgrades have had a positive impact on China’s automotive manufacturing sector. Through vertical integration, BYD has actively expanded into areas such as power batteries, semiconductors, electronics, and automotive components, achieving cost control and efficiency improvements. This vertically integrated model provides an example for other automakers to optimize their industrial chains.

In terms of international cooperation, BYD has actively expanded its overseas markets and established partnerships with various countries and regions. This global strategy not only provides BYD with new growth opportunities but also promotes the internationalization of China’s automotive manufacturing industry.

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