Tuesday, 02 January 2024 12:17 GMT

Emerging Market PR Agencies See Rise In Chinese Business


(MENAFN- PRovoke) SÃO PAULO - Having seen an 80% rise in inquiries from China over the past year, Sherlock Communications has launched a Mandarin-language page on its website, marking a new phase in how Latin American agencies are engaging with Chinese clients.

The page, written by a native Mandarin speaker, is designed to reach prospective clients on Chinese search engines and meet them in their own language, a direct response to growing inbound interest across corporate, product and investor relations briefs, partner Patrick O'Neill said.

Sherlock isn't alone. Agency leaders across emerging markets say Chinese companies are increasingly turning to local communications firms as political and economic tensions make US expansion more difficult.

What's new isn't the nature of the work, as much of it still centers on market entry, stakeholder engagement and investor relations, but where it's coming from. Agencies across Latin America and Africa report a clear uptick in briefs from China as organizations pursue growth in regions with fewer political risks.

Though Chinese companies have long done robust business in these markets - Brazil has been China's largest trading partner since 2009 - interest has intensified since Donald Trump launched the trade war during his first term.

In 2024, the Biden administration also imposed steep tariff hikes on Chinese goods, including 100% on electric vehicles and 50% on some semiconductors, with higher rates on batteries and steel taking effect that August and finalized the following month.

The confrontation deepened after Trump returned to office in 2025, intensifying the long-running trade dispute between Washington and Beijing. After threatening a 100% increase in tariffs on Chinese exports, however, the Trump administration this week reported a potential trade deal that could stabilize the relationship. Communications firms say the policy swings have created a lasting realignment of Chinese commercial activity toward regions perceived as more stable.

While US restrictions have tightened, China's engagement elsewhere has grown. In May 2025, President Xi Jinping announced a new $9 billion credit line for Latin American and Caribbean nations through the China–CELAC Forum, underscoring Beijing's push to expand its presence in the region. At a summit in Beijing in early September, Xi said China would provide about $51 billion in loans, investment and aid to African nations over the next three years and strengthen diplomatic engagement across the continent.

Sherlock's inquiries from China now include both direct corporate prospects and China-based marketing firms seeking Latin American partners. Many briefs involve investor-relations and cross-listing communications alongside traditional PR, signaling that financial strategy is part of expansion plans.“Many of the bigger marketing agencies in China are looking for partners,” O'Neill said, adding that the Mandarin site responds to visible demand rather than trying to generate it.

Brazil offers a clear read on how the trend is playing out. In 2024, China bought more than $94 billion in Brazilian goods - more than twice US purchases and has invested roughly $66 billion in the country, according to Weber Shandwick Brazil executive chairman Zé Schiavoni. Consumer and mobility brands such as Shein, Shopee, Temu, BYD and GWM are expanding locally, with communications work ranging from influencer programs to public affairs and policy engagement.“The impact on agencies has recently intensified,” Schiavoni said, as more Chinese companies scale operations in Brazil.

Industrial projects are following. BYD began car production in Bahia earlier this month after targeting assembly of around 50,000 vehicles this year, an investment that demands ongoing community and regulatory communications in addition to consumer marketing. In recent years, a growing number of Chinese manufacturers have opened operations in northern Mexico to be closer to the US market. Producing goods there reduces shipping costs and allows them to avoid US tariffs on Chinese imports.

A similar dynamic is unfolding across Africa, where Chinese investment has long been entrenched but is now evolving in scope and intensity.

Claudine Moore, who leads Africa work at Allison Worldwide, said Chinese activity there is long-standing but expanding as US aid becomes less predictable.“With USAID pulling out, there's a distinct void,” she said.“Private Chinese companies see markets, resources and the chance to build influence.”

Moore added that African organizations are also“looking east,” pursuing partnerships in healthcare, infrastructure, entrepreneurship and media - areas that require local media literacy and stakeholder engagement. Automotive investments show how that plays out: in South Africa, BYD plans to triple its dealer network to about 30–35 by 2026, and Chery has been in talks to share existing plants to localize production, both moves that call for policy-savvy messaging around jobs and industrial development.

In Uganda, Paul Mwirigi Muriungi, managing director of Capital One Group, said China's push has evolved over the past decade from“soft expansion” - loans, aid and grants - to“hard expansion” involving construction, energy and manufacturing.“Their expansion is not out of the recent situation in the US but rather their attempt for world dominance from trade to currency,” he said. Chinese investment in Uganda now exceeds $1 billion, largely through Belt and Road projects, and has created more than 40,000 jobs.

In Tanzania, industry veteran Loth Makuza said Chinese companies have entered the market“with significant force,” spanning everything from small businesses to large industries. Their presence is especially visible in Kariakoo, the largest commercial center in Dar es Salaam, where“they have often taken the lead and, in some cases, controlled entire sectors,” he said.

Beyond commerce, Makuza added, Chinese companies are also acquiring mining sites, farms, houses, buildings -“almost any asset that has long-term value.” The expansion, which has spread from the city to other regions, raises what he called a key question for leaders: how to balance the benefits of foreign investment with the need for local empowerment.

“The government's decision to reserve certain businesses for Tanzanians is more than just an economic change; it is a vital leadership move,” he said.“This approach aims to protect our sovereignty, create opportunities for citizens, and ensure that globalization supports rather than weakens local businesses.”

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