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Daisy Wu

Escalating US-China trade friction has failed to dampen corporate activity between the two economies, with Citi reporting steady revenue growth on its North America-China corridor as Chinese companies aggressively deploy risk-hedging strategies to protect their global market share.
Instead of retreating from the US market, mainland Chinese firms had leaned heavily on global institutions to navigate financial friction and complex supply chains, Citi’s Greater China executives said at a media briefing in Hong Kong.
“Our revenue has not decreased – there has been growth,” the bank’s China CEO Zhang Wenjie said, noting a 44 per cent year-on-year revenue surge across the bank’s China-US corridor in the first half of the year.
Geopolitical headwinds boosted demand for cross-border financial services, he said.
Because North America remained a vital market, Chinese enterprises increasingly turned to international banks to execute foreign exchange hedging, manage trade exposure and reconfigure capital flows, Zhang said.
Chinese firms are exporting advanced technology, localised supply chains and high-value innovations that contribute to the development of host countries
Zhang Wenjie, Citi
The resilience comes as Chinese corporate expansion enters what Citi describes as a “Going Global 3.0” phase.
Moving beyond low-cost manufactured exports and cross-border acquisitions, Chinese firms are now deploying entire hi-tech supply chain ecosystems abroad, with focus shifting towards green energy, electric vehicles, consumer electronics and artificial intelligence infrastructure.
“We are seeing Chinese firms move away from competing strictly on cost,” Zhang said. “Today, they are exporting advanced technology, localised supply chains and high-value innovations that actively contribute to the economic development of host countries.”
To manage global operations, mainland Chinese parent companies are adopting a “dual-hub strategy,” retaining domestic headquarters while establishing regional treasury centres in Hong Kong to orchestrate international capital.
The shift has turned the Hong Kong-mainland China corridor into Citi’s largest and most active international banking route globally.


Revenue from mainland clients’ cross-border business through Hong Kong ranked first among all of Citi’s corridors in the first half of 2026, rising 20 per cent year on year, according to Citi Hong Kong CEO Aveline San.
“Mainland enterprises use Hong Kong to centralise treasury operations, manage multicurrency liquidity and raise international capital,” San noted.
The corridor’s momentum was on full display on August 23, when Alibaba Group Holding priced a HK$80 billion (US$10.2 billion) share placement to fund its AI buildout – the largest primary follow-on share sale ever by a Hong Kong-listed company.
Citigroup served as one of three co-bookrunners on the transaction. Alibaba owns the South China Morning Post.
While traditional corridors remain robust, Chinese corporate footprint is also diversifying rapidly across emerging markets.
Citi’s business tied to Central Asia had doubled over the past six months, driven by expanding trade and corporate activity between China and the region’s nations, according to bank executives. Strong activity was also surging across Southeast Asia, the Middle East and Latin America.
Chinese companies were evolving from “Made in China” to “Created in China”, Zhang said. “Today, they are competing on innovation and technological leadership, enabling them to compete with global peers at a higher level.”
To support this footprint, Citi is expanding its network of dedicated “China desks” – hubs staffed by senior Chinese-speaking bankers. The bank is adding locations in Brazil and Europe to complement existing centres in Hong Kong, Singapore, Dubai, London, New York and South Africa.
Financial technology is expanding in tandem. CitiToken Services – the bank’s blockchain-based platform enabling 24-7 real-time liquidity transfers across global time zones – had drawn strong demand since its 2025 launch, San said.
Total capital raised year to date for mainland clients from global capital markets reached US$30 billion as of August, according to the bank.


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Chinese firms lean on global banks to manage trade friction and expand supply chains, keeping corporate activity resilient, Citi says


Chinese firms lean on global banks to manage trade friction and expand supply chains, keeping corporate activity resilient, Citi says.


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Citi’s China-US corridor thrives as mainland firms hedge risks amid trade turbulence

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}Chinese firms lean on global banks to manage trade friction and expand supply chains, keeping corporate activity resilient, Citi says

Chinese firms lean on global banks to manage trade friction and expand supply chains, keeping corporate activity resilient, Citi says