Sino-UK ties 'optimistic': Chinese firms

A record 56 percent of Chinese companies operating in the United Kingdom were profitable last year, and many expect revenue to rise in the near term, according to an annual report released on Thursday by the China Chamber of Commerce in the UK.

The profitability rate among the 70 surveyed firms — representing a cross-section of the chamber's membership in financials, industrials, consumer goods, energy, and telecommunications — is the highest recorded since the survey's inception in 2020.

Furthermore, approximately 90 percent of respondents expect their UK revenues to remain stable or increase over the next two years.

Fang Wenjian, chairman of the CCCUK, who is also general manager of Bank of China London Branch, said that Chinese companies in the UK generated around 100 billion pounds ($134.56 billion) in 2025 and directly employed more than 60,000 people, citing figures from the tax consultancy Grant Thornton.

"People are making money, that means more tax contribution," said Fang at the report's launch event.

A drastic shift in business sentiment is another highlight from the survey. A total of 56 percent of responding senior executives said China-UK bilateral relations had improved last year, compared with only 7 percent in 2024. Additionally, half of the respondents reported feeling "optimistic" or "somewhat optimistic" about the future of the relationship.

Yu Benlin, minister and chief of the economic and commercial section at the Chinese embassy in the UK, said: "2025 has been a year of change and renewed hope. Our bilateral economic and trade cooperation has picked up steam and achieved steady progress."

Citing official statistics, Yu said the value of bilateral trade between the UK and both the Chinese mainland and Hong Kong exceeded 120 billion pounds, with a two-way investment stock standing at more than 140 billion pounds, and UK exports to China were up by 5.9 percent.

"These figures clearly show strong growth and a solid market confidence against a complex global backdrop," said Yu.

Business leaders attending the launch event emphasized that UK Prime Minister Keir Starmer's landmark visit to China in January consolidated positive momentum initiated by the resumption of the high-level Economic and Financial Dialogue, and the Joint Economic and Trade Committee.

Richard Burns, director of the Great Britain China Centre, highlighted the report's findings on domestic strategy convergence. Firms from both sides are increasingly collaborating in sectors where the UK's Modern Industrial Strategy intersects with China's 15th Five-Year Plan (2026-30), particularly in green technology, life sciences, advanced manufacturing, and clean energy.

"As we see Chinese companies go global, I hope that more and more of them will choose the UK over other markets," he added.

John McLean, chairman of the China-UK Business Development Centre, noted that the scope for cooperation extends far beyond bilateral trade.

"We can combine the UK's world-class expertise in professional services, law, and finance with Chinese capabilities in large-scale manufacturing, renewable energy, and electric vehicles," McLean said. "That is a very fertile ground for growth because it leverages what both sides do best. It is a genuine win-win."

xingyi@chinadaily.com.cn