Which Business Sectors Most Often Expand Beyond China and Start in Europe

Which Business Sectors Most Often Expand Beyond China and Start in Europe?

Over the last decade, Europe has evolved into one of the most strategically important destinations for Chinese businesses looking to expand globally. While the Belt and Road Initiative initially paved the way for cooperation and infrastructure development, the focus has increasingly shifted towards establishing a sustainable commercial presence and aligning with the regulatory framework of the European Union in recent years.

Chinese entrepreneurs, investors and corporations now recognise Europe as not only a lucrative market, but also a stable, rule-based environment in which credibility, compliance and transparency are key to long-term success. With a population of over 450 million and a unified single market, the European Union provides unparalleled access to consumers, financial institutions and a wide range of industry partners.

One of the main reasons Chinese businesses are attracted to the EU is the region’s well-developed legal and financial infrastructure. European jurisdictions are renowned for their predictable legal systems, transparent tax frameworks and clear licensing regulations, which provide a solid basis for setting up and expanding international operations. For businesses from fast-growing but highly competitive markets such as China, this stability is invaluable.

Furthermore, Europe boasts a reputation for quality, innovation, and ethical governance. A company operating under an EU licence or structure gains immediate recognition and trust in the global marketplace. For Chinese entrepreneurs, this translates into stronger relationships with European clients, investors and regulators, as well as an enhanced ability to expand their brand globally.

Which Business Sectors Most Often Expand Beyond China and Start in Europe?However, not every industry expands at the same rate. While sectors such as manufacturing and e-commerce were early adopters, today we are seeing a more diverse trend — technology, fintech, renewable energy, healthcare and creative industries are all finding fertile ground in various EU countries.

The motivations behind this diversification vary from sector to sector: some are driven by access to the European consumer base, while others are motivated by proximity to regulators, R&D ecosystems, or logistics hubs. Collectively, these developments signal a major transformation — from traditional export-based relations to genuine business integration between China and Europe.

The following sections explore which industries are at the forefront of this transition, and why Europe continues to be the preferred launchpad for Chinese enterprises seeking to establish a strong and reputable international presence.

Technology and fintech

Of all the sectors expanding from China into Europe, technology and financial technology (fintech) are leading the way. These industries embody the strengths of Chinese innovation — speed, adaptability and digital sophistication — while also seeking the reliability and credibility that Europe’s regulatory landscape provides.

Over the past decade, China has cultivated one of the world’s most dynamic technology ecosystems. From payment solutions such as Alipay and WeChat Pay, to major e-commerce platforms and blockchain innovators, Chinese developers have redefined how digital systems operate on a large scale. However, as domestic regulation becomes more stringent and global competition intensifies, many of these technology-driven companies are looking to Europe as the next logical step in their global expansion.

Why Europe?

It offers a combination of regulatory clarity, robust data protection standards and reliable licensing systems that make it an ideal location for fintech and tech companies. Unlike some regions where the rules are still emerging or uncertain, the EU has well-defined frameworks governing electronic money, digital banking, and payment processing.

Lithuania, Ireland and Estonia, for instance, have become recognised hubs for fintech licensing. Lithuania, in particular, stands out for its efficient and transparent licensing process, overseen by the Bank of Lithuania. It has already authorised a significant number of Electronic Money Institution (EMI) and Payment Service Provider (PSP) licences for international companies, including those from China and other parts of Asia.

Operating under an EU EMI licence enables companies to provide financial services throughout the EU’s 27 member states via the passporting mechanism. For Chinese fintech companies, this provides access to a large, diverse market and strengthens their brand reputation by association with a highly regarded European regulatory environment.

Bridging Two Digital Worlds

Chinese technology companies entering Europe often bring advanced expertise in mobile payments, AI-based analytics, blockchain technology and digital banking interfaces. However, adapting to the European market requires more than technological excellence — it demands a deep understanding of compliance requirements, cybersecurity standards (such as the GDPR) and anti-money laundering obligations.

For many firms, establishing a local EU entity is the first critical step. This ensures legal compliance, allows integration with local banking systems and opens up the possibility of applying for specialised licences or collaborating with European financial institutions.

By cooperating with EU partners, Chinese fintech firms can expand their market reach and gain exposure to Europe’s vibrant R&D ecosystem, which includes universities, innovation hubs, and digital sandboxes supported by regulators.

Real-world examples

There are numerous examples of Chinese tech firms succeeding in Europe. Some have set up local subsidiaries in Lithuania or Ireland to manage cross-border payment flows. Others have developed blockchain-based identity verification or remittance platforms designed for the European market.

An increasing number of technology service providers are offering white-label digital banking solutions and compliance automation systems, leveraging their expertise in high-speed innovation from China to support European financial start-ups and institutions.

RUE’s Perspective

From a legal and licensing standpoint, Chinese technology and fintech companies must navigate complex processes — from incorporation and regulatory approval to opening a bank account. This is where professional guidance becomes essential. With proper legal structuring, due diligence and compliance planning, however, the transition into the EU market can be smooth, efficient and strategically rewarding.

Europe is not just a “destination”; it is a partner ecosystem where innovation meets regulation and where Chinese technology companies can transform regional success into a sustainable global footprint.

E-commerce and logistics

E-commerce is one of the most powerful forces driving China’s outward economic expansion, and Europe has become one of the main destinations for this growth. What began as a movement led by large corporations has evolved into a widespread trend involving small and medium-sized enterprises, logistics operators and cross-border service providers.

The Growing Importance of the European Consumer Market

Europe is a vast and highly diverse marketplace of over 450 million consumers with strong purchasing power and an increasing appetite for online shopping. Unlike consumers in other regions, Europeans value quality, transparency, and reliability in online transactions — qualities that Chinese companies are increasingly able to deliver.

Chinese e-commerce platforms and brands have matured to the point where they can compete on factors such as customer experience, delivery speed, product quality and after-sales service, as well as price. Consequently, expanding into Europe enables these companies to establish more reputable global brands and transition from a “mass export” model to localized, customer-oriented operations.

Strategic Establishment of EU Entities and Warehouses

Historically, many Chinese companies have operated in Europe solely through online platforms or third-party distributors. Today, the strategy is much more advanced. Businesses are now establishing European entities to manage logistics, handle VAT compliance, and maintain a physical presence closer to the market.

Countries such as Poland, Germany, and the Netherlands have become central logistics hubs. Their proximity to major seaports, railways and road networks enables Chinese businesses to optimise distribution across the EU quickly and efficiently. The Netherlands, home to Europe’s largest port, the Port of Rotterdam, serves as the continent’s primary entry point for goods arriving from Asia. Meanwhile, Poland offers competitive labour costs and a strategic position connecting Western and Eastern Europe.

Warehousing and fulfilment centres established by Chinese companies in these locations enable faster deliveries, local returns and greater customer satisfaction. Furthermore, having an EU-based entity provides a compliant structure for collecting and remitting VAT, managing customs declarations and ensuring compliance with all product safety and labelling requirements.

The Evolution of Cross-Border Logistics

As e-commerce grows, cross-border logistics services are expanding too. Chinese logistics and supply chain operators are increasingly setting up subsidiaries or joint ventures in Europe to handle international shipping, last-mile delivery and warehouse management. This trend is transforming the entire logistics ecosystem — from shipping and customs clearance to warehousing automation and route optimisation. Many of these companies are introducing cutting-edge Chinese logistics technologies, such as real-time tracking systems, AI-driven warehouse management and predictive delivery analytics. These technologies are improving the overall efficiency of the European supply chain sector.

Integration with European regulations and consumer standards

For Chinese e-commerce companies, compliance is not just a legal requirement — it’s also a strategic advantage. Operating within the EU framework means adhering to consumer protection laws, environmental packaging standards, and data privacy regulations such as the GDPR. By doing so, companies can build long-term trust with European buyers, marketplaces and financial institutions. Furthermore, a compliant structure enables access to European payment systems, local banking and trade finance solutions, streamlining operations and promoting sustainability. This integration also enables companies to secure partnerships with European logistics providers and marketplaces such as Amazon Europe, Allegro, Bol.com and Zalando.

From Mass Export to Localised Presence

The most successful Chinese e-commerce companies are those that have embraced localisation, adapting product listings, customer service and marketing to local languages and cultural expectations. Some companies even open local showrooms or service centres in major EU cities to reinforce customer confidence. This approach marks a significant shift: rather than shipping directly from China, businesses now operate as European entities with Chinese expertise, combining global efficiency with local accountability.

The bigger picture:

The growth of Chinese e-commerce and logistics operations in Europe highlights a wider shift in trade relations. It’s not just about selling products overseas; it’s also about establishing infrastructure, creating jobs, and developing a sustainable presence within the European market. From fulfilment centres in the Netherlands to packaging facilities in Poland and customer support offices in Germany, Chinese enterprises are now fully integrated into the EU’s retail and logistics landscape.

Legally speaking, entering the European market through e-commerce requires proper company registration, VAT setup, EORI numbers and, often, a logistics partnership agreement. Our legal experts at RUE assist clients with these processes, ensuring full compliance with EU trade and customs regulations and helping businesses to establish scalable, tax-efficient corporate structures. Europe rewards those who plan strategically. For Chinese e-commerce and logistics companies, establishing a compliant and well-structured base in the EU is not just an option — it is the cornerstone of long-term growth and trust in the global marketplace.

Manufacturing and green technology

One of the most noticeable trends in recent years is the active expansion of Chinese manufacturing and green technology companies into the European market. This expansion represents more than just a search for new clients; it also signifies a strategic effort to align with global sustainability goals, access advanced R&D infrastructure and strengthen cooperation with European industries undergoing their own green transformation.

Shifting from traditional manufacturing to sustainable innovation

For decades, China has been known as the ‘world’s factory’, supplying a significant proportion of global industrial output. However, the new generation of Chinese manufacturers is embracing innovation, automation, and environmental responsibility as core business pillars, rather than focusing solely on mass production. Europe, a world leader in climate policy and green innovation, has become a natural destination for these companies. The European Green Deal, the EU’s roadmap towards achieving carbon neutrality by 2050, has created a huge demand for clean energy technologies, efficient manufacturing processes and sustainable materials — all areas in which Chinese firms have developed expertise at an astonishing rate.

Renewable energy, electric vehicles (EVs), and battery production

Chinese enterprises in the renewable energy sector, including those producing solar panels, wind turbines, and electric vehicle components, are expanding across Europe. Companies such as CATL (Contemporary Amperex Technology Co. Limited) have already set up large-scale battery production facilities in countries like Germany and Hungary, showcasing the magnitude of this transformation.

These projects are strategic collaborations as well as commercial ventures. By setting up factories, R&D centres and assembly lines within the EU, Chinese firms can benefit from being close to European car manufacturers and energy companies. This ensures shorter supply chains, better compliance with EU environmental standards and faster product certification processes.

Lithuania, Poland and Slovakia have particularly emerged as key manufacturing destinations thanks to their skilled labour forces, competitive operating costs and strong government support for innovation and foreign investment. These nations are positioning themselves as the new industrial backbone of Europe — and Chinese companies are taking notice.

Green Technology and Circular Economy Solutions

Beyond manufacturing, an increasing number of Chinese companies are investing in green technology sectors, including waste recycling systems, water purification technologies, smart energy grids, and carbon reduction software.

Europe’s focus on the circular economy and sustainable urban development is a perfect fit for the expertise and scale that Chinese green tech firms offer. By establishing subsidiaries or joint ventures in Europe, these companies can collaborate on EU-funded projects, gain access to local markets and participate in public tenders that are only open to EU-based entities.

This cross-border cooperation is accelerating innovation on both sides, combining Chinese technological capabilities with European regulatory experience and environmental policy leadership.

R&D collaboration and knowledge exchange

European universities, innovation hubs and research institutes provide an ideal environment for collaboration. Many Chinese tech and industrial firms are setting up research and development centres in countries such as Germany, the Netherlands and the Nordic states, in order to co-develop advanced materials, energy storage solutions and AI-driven manufacturing technologies.

These collaborations benefit both parties: European partners gain access to rapid prototyping and large-scale implementation, while Chinese firms gain deeper insight into European standards, intellectual property frameworks and consumer expectations.

In several cases, these R&D partnerships result in joint patent development and technology transfers that strengthen global competitiveness with regard to sustainable production methods.

Overcoming Regulatory and Operational Challenges

Entering the European manufacturing sector is not without its challenges. Chinese investors must navigate complex environmental regulations, labour laws and local zoning rules, as well as understanding EU state aid policies and carbon reporting obligations.

However, when managed correctly, these challenges can present opportunities. Establishing a fully compliant European entity enhances trust among regulators, secures eligibility for local subsidies or innovation grants, and demonstrates a long-term commitment to sustainability – a key factor in European public- and private-sector cooperation.

The strategic advantage of a local presence

For Chinese manufacturers, establishing a production or R&D facility in Europe offers many advantages beyond merely gaining regulatory access. It shortens logistics chains, reduces import tariffs and enables direct communication with suppliers and clients. Products can also bear the ‘Made in the EU’ mark, which significantly increases consumer confidence and opens new trade routes to other Western markets.

At RUE, we frequently assist Chinese clients in setting up EU-based manufacturing and technology companies, guiding them through every step – from company formation and site acquisition to licensing, regulatory compliance and partnership negotiations.

Experience has taught us that the most successful newcomers view Europe not as a distant market, but as a strategic innovation partner that values environmental responsibility, transparency, and collaboration.

The ongoing transformation of the European industrial landscape presents a historic opportunity for Chinese companies to contribute to Europe’s sustainable future, and for Europe to benefit from the efficiency, innovation and ambition of China’s new generation of manufacturers.

Real Estate and Investment Management

Another significant area in which Chinese businesses have expanded into Europe is real estate and investment management. What initially began as large institutional investments in landmark properties has gradually evolved into a more structured and diversified presence, with Chinese companies now establishing regulated investment vehicles, holding companies, and property management firms across the European Union.

From Institutional to Strategic Investment

In the early 2010s, Chinese investors primarily focused on acquiring iconic buildings, hotels, and commercial assets in major cities such as London, Paris, Frankfurt, and Milan. These acquisitions were often motivated by long-term capital appreciation and prestige.

However, over the past five years, the strategy has shifted towards more sustainable and regulated models of operation. Rather than simply owning assets, many Chinese investors are now establishing EU-based holding and management companies to operate, lease and develop properties in accordance with European financial and tax regulations.

This evolution reflects a deeper understanding of the European business environment, recognising that long-term value lies not only in acquisition but also in professional management, diversification and integration with the EU’s transparent financial ecosystem.

Why Europe?

It remains one of the most secure and attractive regions for global capital due to its political stability, rule of law and mature financial markets. For Chinese investors seeking to preserve and grow wealth abroad, the EU offers a level of transparency and asset protection that few other jurisdictions can match.

Furthermore, the EU’s real estate markets are supported by stable demand, moderate price growth and robust rental yields in both the residential and commercial sectors. This provides investors with predictable returns and long-term capital security, which is particularly appealing in times of global economic uncertainty.

Establishing EU-based investment structures

For compliance and operational reasons, many Chinese investment groups now choose to set up special purpose vehicles (SPVs) or holding entities in countries such as Luxembourg, Cyprus, the Netherlands and Malta.

Luxembourg is widely recognised as Europe’s leading hub for investment funds and cross-border holdings. Its clear regulatory framework, double taxation treaties and investor protection mechanisms make it the preferred jurisdiction for structuring real estate portfolios and collective investment vehicles.
Cyprus and Malta are popular due to their flexible corporate laws, English-based legal systems and advantageous tax regimes, and they often serve as bridges between Europe, Asia and the Middle East.
The Netherlands offers a sophisticated financial environment and an extensive network of tax treaties, making it ideal for large-scale, multinational investment operations.

Through these entities, Chinese investors can purchase, manage and resell properties while enjoying access to European banking services, investment protection and transparent reporting standards.

Diversification beyond real estate

This trend also extends beyond property. Many Chinese investors are setting up family offices, asset management firms, and private equity funds in Europe to oversee portfolios that are not only diversified in terms of asset class, but also geographically. These portfolios include not only real estate, but also equities, renewable energy projects, technology ventures, and green bonds.

This diversification reflects a more strategic approach, focusing on long-term value creation, capital mobility and intergenerational wealth management.

Europe’s growing emphasis on ESG (environmental, social, and governance) criteria also strongly resonates with modern Chinese investors, who are increasingly seeking to align their portfolios with sustainability principles and responsible corporate conduct.

Compliance, licensing and transparency

While the European investment environment offers numerous opportunities, it is also highly regulated. Depending on the scale and nature of their operations, investment firms may require authorisation as Alternative Investment Fund Managers (AIFMs) or registration with national supervisory authorities.

Adherence to EU Anti-Money Laundering (AML) directives, beneficial ownership disclosure regulations, and tax transparency obligations (e.g. DAC6) is paramount for ensuring seamless operations and fostering investor confidence.

Professional legal structuring is therefore crucial, not only for regulatory compliance, but also for optimising taxation, managing risks and ensuring that investments can operate efficiently across borders.

Market Trends and Emerging Opportunities

In recent years, there has been growing Chinese interest in commercial properties, logistics parks, renewable energy facilities and student housing projects — all sectors supported by solid demand and long-term growth prospects in Europe.

Additionally, the rise of digitalisation has led some investors to turn towards data centres and energy-efficient smart buildings, thereby aligning their portfolios with Europe’s ongoing green transition.

Countries such as Portugal, Spain, Greece and the Baltic states have also attracted attention through their real estate residency programmes and growing markets for sustainable construction and infrastructure projects.

At RUE, we assist Chinese investors in structuring their real estate and investment management operations across Europe, from establishing corporate entities and obtaining the necessary licences to coordinating legal due diligence and asset acquisition.

Our experience shows that success in the European investment landscape hinges on three factors: regulatory clarity, local presence and professional management.
By combining these elements, Chinese investors can transform their European expansion from a capital allocation exercise into a sustainable, reputable and long-term business strategy.

Europe is not just a property market; it is a platform for building financial legacy and global credibility. For Chinese investors, establishing a solid and transparent presence within the EU is a defining step towards international recognition and long-term prosperity.

Education, consulting and cross-cultural services

Beyond the traditional sectors of trade, manufacturing, and investment, one of the fastest-growing areas of Chinese business expansion into Europe is education, consulting, and cross-cultural services. This field reflects economic strategy and social transformation, as more Chinese entrepreneurs, professionals and families seek to connect with Europe for business, study or relocation. The demand for trusted intermediaries and specialised service providers continues to rise.

The human dimension of global expansion

Chinese companies expanding into Europe often require much more than just registration documents and business licences. They also require local insight, language support, legal expertise, and cultural interpretation – all of which are vital for successful integration into the European environment.
Consequently, an increasing number of Chinese service providers have set up consulting and advisory firms within the EU to bridge the gap between Eastern and Western business practices.

These firms typically specialise in areas such as business incorporation, immigration and residency assistance, investment consulting, education placement and corporate communication. Their goal is to make Europe more accessible and understandable for Chinese clients, while ensuring that all operations comply with EU standards and local laws.

Education as a Gateway Between China and Europe

Education is one of the strongest links between China and Europe. Every year, thousands of Chinese students choose to study at European universities, attracted by the region’s high academic standards, more affordable tuition fees than in the US, and globally recognised qualifications. This growing academic exchange has led to the creation of education consultancy firms and student advisory services run by Chinese entrepreneurs across Europe. These agencies assist students with university applications, visa processes, accommodation arrangements and long-term residency planning. Many also act as cultural mediators, offering guidance on adapting to European academic and social life. Meanwhile, European universities are increasingly open to partnerships with Chinese educational platforms for joint degree programmes, exchange initiatives and research collaborations, further strengthening bilateral academic and business ties.

Another thriving segment is business and legal consulting for Chinese entrepreneurs entering the European market. These firms assist with company formation, licensing, taxation, and residency acquisition. Acting as one-stop advisory partners, they understand both Chinese expectations and European administrative procedures, helping clients to avoid cultural and legal misunderstandings. As more Chinese high-net-worth individuals and business owners seek EU residency permits or citizenship-by-investment options, these firms play a crucial role in guiding them through the complex compliance processes in countries such as Portugal, Greece, Spain and Malta. Establishing such companies within the EU ensures that all operations are conducted under European regulatory supervision, providing clients with greater confidence and ensuring alignment with local transparency standards.

Cultural Integration and Corporate Communication

Cultural differences can pose hidden challenges to business success. What works in Shanghai or Shenzhen may not resonate with partners in Berlin or Paris. Recognising this, many Chinese-owned service firms in Europe now specialise in cross-cultural communication, brand localisation and marketing adaptation. Their services range from translating corporate materials and websites into local languages to restructuring marketing campaigns to suit European consumer expectations. Some also provide training for Chinese executives in areas such as European business etiquette, negotiation styles and corporate culture, ensuring smoother communication and facilitating long-term cooperation.

Social and community services

With an increasing number of Chinese professionals, students and families relocating to Europe, there is a growing demand for community-oriented services such as translation assistance, legal help, housing searches and relocation management. Many Chinese entrepreneurs have recognised this opportunity, opening service centres and community networks that cater to the growing Chinese diaspora in major European cities such as London, Paris, Berlin, Vilnius and Amsterdam. These businesses create local employment and strengthen the social and cultural bridge between China and Europe, fostering mutual understanding and long-term partnerships.

Professional standards and compliance

Setting up consulting or education services in Europe requires careful consideration of local regulations. Depending on the business model, firms may need to comply with GDPR, data protection and consumer rights laws, and, in some cases, licensing or professional certification requirements.

For instance, education agencies that collect or process student data must maintain rigorous information security protocols, while immigration or legal consultancies must adhere to ethical and transparency standards.

Operating through an EU-registered company ensures accountability and helps build trust with clients and European institutions alike.
At RUE, we often assist Chinese entrepreneurs entering the consulting and education services sector by helping them to establish compliant entities, draft service agreements and align their business models with EU legal frameworks.

We also assist consulting firms that support investors, families and students in transitioning from China to Europe, ensuring that every step – from incorporation to licensing – is transparent and secure.

The growth of education and consulting businesses reflects a deeper shift in the relationship between China and Europe: it is no longer defined purely by trade or investment, but by people, knowledge, and long-term cooperation.
Through these people-focused industries, Chinese enterprises are expanding into Europe and becoming an integral part of its social and intellectual landscape.

Healthcare, biotechnology, and pharmaceuticals

The healthcare and biotechnology sector is one of the most promising and strategically significant areas for Chinese business expansion into Europe. This field is at the intersection of science, innovation, and regulation, where quality, compliance, and collaboration are essential for success. As China continues to make rapid progress in medical research, biotechnology, and pharmaceutical development, European markets are becoming vital partners and testing grounds for Chinese innovation.

The new era of global health cooperation

Over the past decade, Chinese biotech and healthcare companies have undergone a remarkable transformation. No longer solely focused on domestic supply, they now aim to bring advanced solutions to international markets, including innovative drugs, medical devices, AI-driven diagnostic tools, and biotechnology platforms.

Europe, with its highly developed medical infrastructure, well-established regulatory systems and strong culture of research collaboration, is a natural partner in this global health evolution. Chinese companies recognise that operating within the European Union gives them access to a vast healthcare market and allows them to align with the world’s highest standards of medical regulation and patient safety.

Why Europe?

Europe’s medical ecosystem is one of the most sophisticated in the world. The European Medicines Agency (EMA) provides a unified regulatory pathway for pharmaceuticals, while national health authorities in countries such as Germany, France and the Netherlands offer additional research incentives and support programmes for clinical development.

For Chinese pharmaceutical companies, setting up a subsidiary or R&D branch in the EU enables them to participate directly in these programmes, access research grants and become eligible for cross-border partnerships under EU-funded initiatives such as Horizon Europe.
Furthermore, operating within the EU enhances credibility and facilitates the obtaining of globally recognised certifications, such as CE marking for medical devices or EMA approval for new drug applications. This can subsequently facilitate market entry into other regions, including North America and the Middle East.

R&D partnerships and technology transfer

One of the most attractive aspects of the European healthcare environment is its openness to joint research and innovation. Chinese biotech firms often collaborate with European universities, hospitals, and research institutions to co-develop new therapeutics, vaccines, and biotechnological solutions. Such partnerships often focus on precision medicine, regenerative therapy, biotechnology engineering, and AI-driven healthcare analytics. Europe’s emphasis on clinical trials, ethical standards, and data transparency complements China’s technological efficiency and ability to scale perfectly. This synergy produces mutual benefits: Chinese companies gain credibility and access to EU expertise, while European institutions benefit from additional funding, talent, and innovative technologies.

Establishing a presence in Europe

Chinese healthcare companies entering Europe typically follow a structured approach:
1. Establish an EU-based company, often in jurisdictions such as Ireland, Germany or the Netherlands, which provide favourable regulatory environments and skilled labour markets.
2. Registering products with local or EU authorities to ensure compliance with medical device or pharmaceutical directives.
3. Setting up R&D and testing facilities to collaborate with European laboratories and medical institutions.
4. Building partnerships with distributors and hospitals to create supply and service chains within the European healthcare system.
Many firms also invest in clinical trial networks, data centres and biotechnology hubs to accelerate product validation and regulatory approval.

Compliance and regulatory excellence

Unlike in less regulated regions, the European healthcare and biotech industries are subject to strict oversight, including Good Manufacturing Practice (GMP), Good Clinical Practice (GCP) and pharmacovigilance requirements. For Chinese companies, aligning with these standards presents a dual challenge and opportunity: it demonstrates a commitment to transparency, quality and patient safety.

Compliance with EU regulations such as the Medical Device Regulation (MDR) and the In Vitro Diagnostic Regulation (IVDR) also serves as a strong credential in the global market, significantly improving competitiveness.

The Role of AI and Digital Health

A rapidly growing sub-sector is digital health, where Chinese innovation in artificial intelligence, telemedicine and data-driven diagnostics meets Europe’s structured regulatory frameworks. Chinese companies specialising in medical imaging AI, wearable devices, and telehealth solutions are increasingly partnering with European hospitals and clinics to introduce advanced digital tools that improve patient outcomes and efficiency. These collaborations are transforming healthcare delivery across the continent, particularly in remote care, early diagnosis, and personalised medicine.

Long-Term Vision and Investment

Chinese investors are showing a long-term interest not only in operational expansion, but also in Europe’s biotech investment funds, pharmaceutical start-ups, and healthcare infrastructure projects. Through mergers, joint ventures and strategic acquisitions, they are providing Europe’s health innovation ecosystem with capital and technology.  At the same time, European governments — recognising the importance of global cooperation in health innovation — are becoming more open to Chinese participation, provided it adheres to European transparency and compliance principles.

At RUE, we support Chinese healthcare and biotech clients in establishing compliant EU-based entities, obtaining regulatory approvals and structuring joint research collaborations. We also help to draft cross-border agreements, intellectual property protection measures and partnership frameworks to ensure smooth cooperation between Chinese innovators and European institutions. In healthcare, trust and compliance are paramount. By establishing a legitimate and transparent presence in Europe, Chinese biotech and pharmaceutical firms can expand their commercial footprint, elevate their credibility, contribute to scientific advancement and play a meaningful role in the global pursuit of better health.

Media, gaming and creative industries

In the global digital economy, few sectors have grown as dynamically as the media, gaming and creative industries — and Chinese companies are increasingly finding Europe to be both a receptive audience and a valuable partner. This expansion goes beyond simple content export; it represents a deeper integration into Europe’s cultural, technological and regulatory environments.

The global rise of Chinese creative enterprises

Over the last decade, China has evolved into a global powerhouse of digital entertainment. From video games and animation to film production, digital platforms and social media ecosystems, Chinese creative industries have achieved an unprecedented level of technological and artistic sophistication. Now, many of these companies are taking the next logical step by establishing a direct presence in Europe to reach new audiences, build partnerships and ensure regulatory compliance in one of the world’s most culturally diverse and mature media markets. Unlike other sectors, creative industries rely heavily on cultural understanding, intellectual property protection, and local adaptation — all areas in which Europe offers exceptional frameworks and opportunities for collaboration.

Why Europe?

It offers a rare combination of robust IP protection, significant creative diversity, and substantial financial backing for media innovation.
Established institutions such as Creative Europe and the European Film Commission Network, as well as national funds supporting gaming and cultural production, provide a fertile environment for creative enterprises to thrive. For Chinese studios, game developers and content producers, setting up an EU base provides access to funding opportunities, co-production agreements and participation in cultural initiatives requiring a European corporate presence. Furthermore, Europe’s regulatory landscape, guided by principles of data protection (GDPR), consumer safety, and ethical advertising, provides a transparent framework that enables foreign creative companies to operate with legitimacy and credibility.

Gaming: A key driver of expansion

The gaming industry is one of the most visible and successful examples of Chinese creative expansion into Europe.
Chinese developers have introduced globally popular titles and platforms, and many now operate European publishing subsidiaries or R&D studios to localise content, manage compliance, and interact directly with European gaming communities. Germany, France and Poland are renowned for their robust gaming markets and highly skilled workforces. Chinese companies often collaborate with local studios to co-develop games that appeal to European audiences, blending Chinese storytelling and design aesthetics with local cultural preferences.
This two-way collaboration has given rise to cross-cultural gaming projects, in which creative and technical expertise flow freely between China and Europe, thereby strengthening both markets.

Film, animation and digital media

Beyond gaming, Chinese enterprises are investing heavily in film co-productions, animation and online content platforms.
Europe’s cultural institutions encourage international collaborations, offering co-production treaties and tax incentives that make joint projects creative and economically viable. Chinese animation studios, for example, have enjoyed success working with European partners on projects intended for global streaming services such as Netflix, Disney+ and Amazon Prime, which actively seek multicultural content.
Meanwhile, digital media companies — including streaming services, social platforms, and video-sharing start-ups — are establishing regional offices and licensing divisions in Europe to handle content moderation, advertising, and user engagement in compliance with EU legislation.

Intellectual Property and Legal Considerations

In the creative sector, intellectual property protection is essential for success. Europe’s robust legal framework provides robust safeguards for copyrights, trademarks, and patents, establishing it as a secure jurisdiction for creative investments. This ensures that Chinese studios and media companies’ content and technologies — from animation scripts to gaming engines — are legally safeguarded and can be monetised through licensing and distribution agreements. However, complying with EU content standards, such as advertising restrictions, consumer protection laws and data use regulations, is also essential. Operating through an EU-registered company enables Chinese creators to manage these obligations directly, thereby avoiding the reputational and operational risks associated with cross-border compliance.

Building Cultural Bridges

The expansion of Chinese media and creative firms in Europe also contributes to greater cultural dialogue and understanding. Through art, film, design, and gaming, Chinese creators share their perspectives with European audiences while adapting to local cultural sensibilities. Events such as film festivals, gaming expos, and art fairs provide platforms for collaboration and exchange, helping to reshape global perceptions of Chinese creativity, moving them away from being purely commercial and towards being innovative and artistically and globally relevant.

Opportunities in the Future Economy

As technology continues to converge with creativity through virtual reality (VR), augmented reality (AR) and artificial intelligence (AI), Chinese and European companies are collaborating more and more to develop immersive content experiences. These collaborations are particularly prevalent in the metaverse, digital fashion, and educational gaming sectors, where the strengths of both markets — China’s technological agility and Europe’s cultural heritage — combine to create products with global appeal. At RUE, we assist clients in the media and creative sectors with establishing EU-based entities, registering trademarks, securing IP rights, and ensuring compliance with European audiovisual and digital content laws. We also guide gaming and film production companies through licensing, data protection, and cross-border distribution matters. For Chinese media and creative entrepreneurs, Europe is not just a market — it is a stage of opportunity where innovation meets culture and where international recognition can be built on a foundation of trust, creativity and compliance.

Europe as the New Chapter for Chinese Global Expansion

The steady and diverse expansion of Chinese businesses into Europe is one of the most significant developments in modern international trade and investment. What began as selective market exploration has now evolved into a broad, structured and strategic presence across almost every major industry, including fintech, manufacturing, healthcare, education and creative technologies. This evolution reflects more than just business ambition; it illustrates a deeper alignment of values and opportunities. Chinese enterprises, renowned for their innovation, adaptability, and entrepreneurial spirit, are now combining these strengths with Europe’s hallmarks of stability, regulatory transparency, and quality assurance. Together, these two economic forces are creating a balanced and forward-looking partnership that supports sustainable global growth.

A partnership built on trust, transparency, and mutual benefit

Europe’s business environment rewards compliance, professionalism, and long-term planning — qualities that many Chinese companies are now embracing as part of their global identity.

By operating under European standards, they gain access to new markets and trust — the most valuable asset in international business.
This trust extends across all levels:

  • Regulatory trust, through adherence to EU laws and licensing frameworks.
  • Consumer trust, through reliable quality, transparent practices, and strong after-sales support.
  • Partner trust is built through long-term collaboration with European firms, institutions, and professionals.

In this way, Chinese businesses are reshaping perceptions and positioning themselves as contributing members of the European business community, rather than foreign entrants.

The New Model of Expansion: Integration, not just presence

Unlike the earlier phase of globalisation, which focused on exporting goods and capital, today’s Chinese expansion into Europe emphasises integration. Companies are no longer content to simply sell to European markets; they are establishing local offices, factories, research centres and service networks. They are hiring local professionals, participating in European innovation programmes and adapting their brands to local cultures. This new model creates deeper economic value for both sides. Europe gains investment, technology and job creation, while Chinese companies gain credibility, regulatory experience and a sustainable international foundation.

The strategic role of legal and compliance support

Behind every successful international expansion lies a robust legal framework. The establishment of a European company, the acquisition of the necessary licences, the fulfilment of tax and regulatory obligations, and the maintenance of full transparency are not merely bureaucratic steps – they are the mechanisms that transform ambition into legitimacy. Professional legal guidance enables Chinese entrepreneurs entering Europe to prioritise growth while maintaining full alignment with EU standards. This approach reduces risk, strengthens investor confidence and enables companies to establish solid, long-term reputations.

Europe: A Platform for Global Recognition

Operating within the European Union offers Chinese enterprises more than just business advantages – it provides them with global legitimacy. Companies licensed, incorporated or regulated in the EU gain recognition not only within Europe, but also in international markets that view European oversight as a mark of integrity and reliability. In this way, Europe becomes a destination for business and a launchpad for global credibility – a place where Chinese innovation meets Western governance to result in sustainable international growth.

RUE’s commitment to supporting Chinese businesses

At RUE, we have witnessed and actively supported the increasing number of Chinese entrepreneurs in Europe. Through our legal, regulatory and corporate advisory services, we help clients identify the right jurisdiction, obtain the necessary authorisations and build structures that comply with European law while aligning with their commercial goals. Our mission is to facilitate a smooth, transparent and strategically rewarding transition into Europe, enabling our clients to focus on their core strengths: innovation, growth and shaping the future of global business. As the world’s economic centre of gravity continues to evolve, Europe remains a vital anchor for global credibility and long-term stability. For Chinese companies ready to take the next step, Europe is not just a market to enter – it is a growth partner. By embracing professionalism, compliance and genuine collaboration, Chinese enterprises are expanding beyond their borders and helping to define the future of international cooperation in an interconnected world.

FREQUENTLY ASKED QUESTIONS

The region offers stability, transparency and access to one of the world's largest unified markets, making it an attractive destination for Chinese businesses. The European Union provides a predictable regulatory environment, robust consumer protection and advanced infrastructure — all of which are vital for long-term growth.
Furthermore, Europe’s demand for innovation, sustainability, and digital transformation is perfectly aligned with the strengths of Chinese industries, including fintech, green energy, and e-commerce.

While opportunities exist across many fields, the most dynamic sectors include technology, fintech, e-commerce, logistics, renewable energy, manufacturing, healthcare, biotech and creative industries such as gaming and digital media.
These sectors demonstrate consistent demand in Europe and provide opportunities for innovation and collaboration. Sectors related to green technology, electric mobility, and digital finance are particularly promising, as they align with the EU's sustainability and modernisation goals.

The key challenges typically involve regulatory compliance, taxation, data protection, and cultural adaptation.
Europe has strict anti-money laundering (AML) and data privacy (GDPR) frameworks, as well as robust consumer rights and environmental protection legislation.
For Chinese companies unfamiliar with these systems, the process can be complex. However, with the right legal and administrative guidance, these challenges can be overcome and often present opportunities to strengthen credibility and operational transparency.

The process generally involves:
1. Selecting the most suitable EU jurisdiction, such as Lithuania, Ireland, Cyprus or Luxembourg, depending on the company’s activity and goals.
2. Registering a legal entity, such as an LLC or UAB.
3. Opening a corporate bank account and fulfilling compliance checks.
4. Obtaining the necessary licences or authorisations, particularly for regulated sectors such as fintech, investment management and healthcare.
5. Setting up local operations, including accounting, compliance monitoring and reporting.
Professional assistance ensures that the process is handled efficiently and in full alignment with EU regulations and the company’s strategic direction.

RUE provides comprehensive legal and corporate support for Chinese entrepreneurs and enterprises entering the European market.
Our services include:
- Company incorporation and structuring in all major EU jurisdictions;
- Licensing and regulatory compliance (for fintech, investment, and other regulated industries).
- Due diligence, document preparation and representation before financial regulators.
Strategic consulting on market entry, tax efficiency and operational setup.
- Ongoing legal and administrative support to ensure long-term compliance and stability.
With our in-depth knowledge of European law and cross-border operations, RUE acts as a trusted bridge between Chinese innovation and European regulation, helping our clients to build legitimate, sustainable and globally recognised businesses within the European Union.

Chinese businesses most frequently expand into Europe in sectors such as e-commerce, consumer electronics, manufacturing components, new energy / EV related products, cosmetics, medical-tech, and various digital / software services — due to EU demand, strong purchasing power, and stable cross-border regulation. Regulated United Europe is a highly professional corporate advisory firm, and we can fully support such market entries — including EU company formation, licensing where required, product conformity (CE / labelling), VAT/EORI, customs and ongoing accounting. Our professional assistance fee for expansion into the EU market starts from 1,500 EUR (approx. ¥11,700 CNY) depending on the chosen Member State, the business model and the compliance scope needed.

RUE customer support team

CONTACT US

At the moment, the main services of our company are legal and compliance solutions for FinTech projects. Our offices are located in Vilnius, Prague, and Warsaw. The legal team can assist with legal analysis, project structuring, and legal regulation.

Company in Czech Republic s.r.o.

Registration number: 08620563
Anno: 21.10.2019
Phone: +420 777 256 626
Email:  [email protected]
Address: Na Perštýně 342/1, Staré Město, 110 00 Prague

Company in Lithuania UAB

Registration number: 304377400
Anno: 30.08.2016
Phone: +370 6949 5456
Email: [email protected]
Address: Lvovo g. 25 – 702, 7th floor, Vilnius,
09320, Lithuania

Company in Poland
Sp. z o.o

Registration number: 38421992700000
Anno: 28.08.2019
Email: [email protected]
Address: Twarda 18, 15th floor, Warsaw, 00-824, Poland

Regulated United
Europe OÜ

Registration number: 14153440
Anno: 16.11.2016
Phone: +372 56 966 260
Email:  [email protected]
Address: Laeva 2, Tallinn, 10111, Estonia

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