TikTok’s explosive success has propelled Zhang Yiming, co-founder of its parent company ByteDance, to the top of China’s rich list. Zhang’s net worth has soared to $49.3 billion (£38 billion), an increase of 43% from last year, according to the latest rich list from the Hurun Research Institute.

Although he left his executive role at ByteDance in 2021, the 41-year-old entrepreneur retains a roughly 20% stake in the company, benefiting from TikTok’s unprecedented global rise.

TikTok, known for its powerful influence on youth culture around the world, continues to grow in popularity, despite security concerns from some countries.

ByteDance and TikTok have long asserted their independence from the Chinese government, although regulatory pressure has intensified in the United States, where a potential ban on TikTok is planned for January 2025 unless ByteDance divests the platform .

ByteDance’s success has proven resilient, even in the face of growing challenges from U.S. regulators. The company posted a remarkable 60% increase in profits last year, largely thanks to the global growth of TikTok, which significantly enriched Zhang’s fortune.

“Zhang Yiming is the 18th new number one we have in China in just 26 years,” said Rupert Hoogewerf, director of the Hurun Institute.

For comparison, Hoogewerf noted that the United States has only four high-profile billionaires – Bill Gates, Warren Buffett, Jeff Bezos and Elon Musk – reflecting the dynamism and rapid evolution of China’s economy-driven economy. on technology.

Zhang is joined on the list by other prominent figures in China’s tech sector, including Tencent CEO Pony Ma, who is in third place with a net worth of £44.4 billion. Yet the overall picture for China’s wealthiest individuals is less rosy, as economic pressures weigh heavily on many sectors.

The Hurun China Rich List saw an unprecedented decline for the third consecutive year, Hoogewerf noted. Economic headwinds, including a sluggish stock market, caused a 12% drop in the number of people registered, falling to fewer than 1,100, a 25% reduction since the list peaked in 2021.

Only about 30% of people on the list experienced an increase in wealth; the remaining 70% saw a decline.

Despite the challenges, some sectors have thrived, notably among smartphone makers like Xiaomi, while the green energy sector has seen a significant slowdown.

Hoogewerf explained that fierce competition and market oversupply have created difficulties for the solar power, lithium battery and electric vehicle (EV) sectors.

“Solar panel makers have seen their wealth decline by up to 80% compared to the 2021 peak, while battery and electric vehicle makers have fallen by half and a quarter respectively,” he said. declared, highlighting an oversupply in the green energy sector and the further complication of the situation. potential prices.

If Zhang’s rise illustrates the meteoric success of China’s tech industry, the challenges faced by many of his peers underscore the changing realities of China’s economy.

As ByteDance’s global influence grows, so does regulatory scrutiny from international powers, serving as a reminder of the complexities facing Chinese tech giants on the global stage.

Chioma Kalu

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