In the 2021 Hurun Report, Sichuan native Zhao Changpeng topped the list with a value of 100 billion US dollars, becoming the richest man in China. But just as his career was taking off, he suffered a serious blow from the American justice department.
Main content: As a real estate tycoon in Sichuan Province, Changpeng Zhao has owned many real estate projects across the country through years of operation. His company, Evergrande Group, quickly developed into a giant in China's real estate industry. And Changpeng Zhao himself became the richest man on the Hurun Report in 2021.
However, just when Changpeng Zhao's career was at its peak, the U.S. government suddenly launched a fierce attack on him. The U.S. Department of Justice charged Changpeng Zhao and his company with money laundering and securities law violations and imposed sanctions on him. For a time, Changpeng Zhao and Evergrande Group fell into an unprecedented predicament.
In fact, the reason why the United States used force against Changpeng Zhao was to a large extent because of the fierce game between China and the United States in the economic and trade fields. As one of China's richest people, Changpeng Zhao is seen as a symbol of China's economic power. Suppressing him is undoubtedly a heavy blow to China's overall economic strength.
Following Changpeng Zhao's heavy blow by the U.S. justice department, the situation of Chinese tycoons suffering a "catastrophe" in the United States has further escalated.
Qin Hui, once China's representative of the U.S. real estate industry, is also in prison. In 2022, a U.S. court sentenced Qin Hui to a prison sentence on charges of money laundering and tax evasion. The Chinese tycoon, who had lived in the United States for decades, was eventually expelled from the United States and was no longer allowed to enter the land.
Qin Hui's bad luck has caused strong unease in China's wealthy circles. They realized that it was already untenable in the United States, and that it was better to return to the bosom of their homeland. Pan Shiyi, a well-known real estate tycoon, is one of them.
Pan Shiyi has worked hard in New York, USA for many years, and is now over the age of sixties. In the face of all kinds of unfair treatment from the United States, he resolutely chose to return to China for development. "The Chinese market is the most potential market in the world, and I want to put everything I have into this hot land." Pan Shiyi said.
Pan Shiyi's choice represents a kind of national sentiment that returns to the roots. In the United States, once considered a "land of opportunity," China's wealthy have had to confront the grim reality of racial discrimination and unfair treatment. Rather than being looked down upon in a foreign country, it is better to return to your home country and make a difference.
This kind of national sentiment is also reflected in Changpeng Zhao. Despite the devastation, he still shouted to defend the dignity of Chinese companies. Although Qin Hui was in prison, he did not give in. In contrast, the Chinese plutocrats, who are hiding in the United States, appear even more pathetic and helpless.
The experiences of Qin Hui, Pan Shiyi and others have triggered more Chinese billionaires to re-examine and rethink overseas investment.
For a long time, many Chinese billionaires have seen overseas as a hot spot for investment, hoping to get a piece of the pie there. However, the reality is far from so rosy. Racial discrimination, unfair treatment, and many pitfalls are just the tip of the iceberg when they encounter overseas.
In the face of such a grim situation, more and more Chinese billionaires have begun to change their mindset and re-examine their overseas investment plans. For example, Mr. Zhang, who has worked in New York for decades, has decided to shift his investment focus to China. "In the eyes of people abroad, I would rather show my strength in my own country." Mr. Zhang said.
There are many others who have similar thoughts to Mr. Zhang. In the past year or two, many Chinese billionaires have announced that they will withdraw their investments from overseas markets and repatriate their funds to China. According to some data, between 2021 and 2022, the total amount of investment withdrawn from overseas by Chinese private enterprises exceeded 10 billion US dollars.
This trend of "internal circulation" is the inevitable result of China's economic take-off and huge market potential. More and more entrepreneurs are realizing that it is better to go back home and do it than to be treated unfairly overseas. The favorable domestic market environment, strong policy support, and unlimited prospects are all important factors that attract them.
However, some experts warn that overseas investment is not a smooth road to achieve overnight, and it is necessary to be vigilant against risks and challenges. The repressive attitude of some Western countries towards Chinese enterprises has escalated in recent years, which requires the attention of Chinese enterprises. At the same time, cross-border investment itself has many obstacles such as cultural differences, differences in laws and regulations, and enterprises need to be prepared to deal with them.