China's global expansion drives domestic office demand

Chinese companies are expanding globally faster than ever as global economic dynamics shift. This ongoing wave of globalisation is creating a new development framework, supported by stronger policy and strategic value chain upgrades. The wave is defined by a more diverse base of participants, a clear commitment to building a connected ecosystem and a global mindset embedded from day one. This is all grounded in glocalization, the practice of adapting global strategies to local markets. The shift reflects a fundamental transformation of China’s outward investment strategy.

Figure 1: Six key trends shaping the new wave of Chinese companies going global

Source: JLL Research

As they scale globally faster, Chinese companies are also transforming their domestic headquarters into global operation hubs. This global expansion is driving stronger demand in China’s office market. Globally expanding companies have maintained strong leasing momentum over the past three years, particularly in sectors leading overseas expansion. Based on office leasing transactions tracked across China's key Grade A office markets, globally expanding companies account for over 40% of total leasing volume within their respective sectors, including TMT, retail, manufacturing, life sciences and energy. In high-growth subsectors including automotive, integrated circuits, gaming, consumer electronics and e-commerce, these companies account for over 60% of total leasing volume, making them the main driver of office leasing demand.

Figure 2: Share of leased area by globally expanding companies in key sectors and subsectors

(Grade A office market in major Chinese cities, 2023-2026 Q1)

Note: Major cities include Beijing, Shanghai, Guangzhou, Shenzhen, Hong Kong, Chengdu, Nanjing, Hangzhou, and Wuhan.
Source: JLL Research

Clear sectoral trends are emerging in this leasing demand. In 2025, globally expanding companies in sectors such as new media, consumer electronics and gaming tripled their domestic office footprint compared to 2023 levels. Meanwhile, companies in sectors such as integrated circuits, internet platforms and cross-border e-commerce continued to expand steadily, despite already occupying substantial space. While office leasing demand from life sciences and energy companies has slowed due to market cycles and their earlier rapid expansion, overall demand has continued to rise.

Figure 3: Domestic Grade A office leasing growth by Chinese companies expanding globally across different subsectors (2023 vs 2025)

Note: Circle sizes represent the leased Grade A office area of globally expanding companies within each subsector across major Chinese cities; major cities include Beijing, Shanghai, Guangzhou, Shenzhen, Hong Kong, Chengdu, Nanjing, Hangzhou, and Wuhan.
Source: JLL Research

As Chinese companies scale their overseas operations, the ecosystem of professional services supporting this expansion is also growing. This, in turn, drives increased leasing demand for higher-quality space from these service providers. Within this changing landscape, Hong Kong is strengthening its role in providing Chinese companies with easy access to professional services that support their international expansion. Meanwhile, multinational corporations are expanding their presence in China and increasingly positioning the country as a key hub for global innovation and operations. This evolution is fostering a new dynamic of collaborative growth between multinational corporations and Chinese companies.

As Chinese companies scale their global footprint, they are also transforming their domestic headquarters into global operation hubs. Strategic corporate real estate (CRE) planning will fuel high-quality, sustainable overseas expansion and shape the next chapter of Chinese companies’ ascent on the global stage.