TikTok, the popular video-sharing app, has helped its parent company’s co-founder, Zhang Yiming, become the richest person in China.
A report from the Hurun Research Institute says Zhang is now worth $49.3 billion. This is an increase of 43% since last year. Zhang, who is 41 years old, stepped down as head of the company in 2021 but still owns about 20% of it.
TikTok is one of the world’s most-used social media apps. However, some countries worry about its connection to China.
Though both TikTok and its parent company ByteDance claim they operate independently of the Chinese government, the U.S. plans to ban TikTok in January 2025 if ByteDance doesn’t sell it.
Even with mounting pressure in the U.S., ByteDance saw its global profits soar by 60% last year, boosting co-founder Zhang Yiming’s personal wealth.
#TikTok founder Zhang Yiming becomes China's richest man with a $49.3 billion fortune. Zhang stepped down as CEO of the parent company ByteDance in 2021, but is said to own around 20% of the firm. pic.twitter.com/Dtz7REtoBI
— The Asian Chronicle (@AsianChronicle) October 29, 2024
“Zhang Yiming is the 18th new Number One we have had in China in just 26 years,” said head of Hurun Rupert Hoogewerf.
“The US, by comparison, has only four Number Ones: Bill Gates, Warren Buffett, Jeff Bezos and Elon Musk.
“This gives an indication of some of the dynamism in the Chinese economy.”
Other big names from China’s tech industry
Mr. Zhang isn’t the only big name from China’s tech industry on the rich list.
Pony Ma, head of tech giant Tencent, ranks third with a personal fortune of about $44.4 billion.
Their wealth growth stands out, as many of their competitors earned less during a tough year for China’s economy. In fact, only about 30% of the people on the list saw an increase in their net worth; most experienced a decline.
The Hurun Research report identified 1,094 people in China with wealth exceeding CNY 5 billion (around US$700 million), marking a 12% drop, or 147 fewer individuals than last year. The combined wealth of entrepreneurs on the list totaled US$3 trillion, representing a 10% decline compared to the previous year.
“The Hurun China Rich List has shrunk for an unprecedented third year running, as China’s economy and stock markets had a difficult year,” said Mr Hoogewerf.
“The number of individuals on the list was down by 12% in the past year to just under 1100 individuals and 25% from the high point of 2021.”
Hoogewerf explained that smartphone companies, like Xiaomi, performed well over the past year, while green energy companies encountered challenges.
Solar panel, lithium battery, and electric vehicle producers struggled as market competition grew, leading to an oversupply of products. This surplus, combined with potential new tariffs, created uncertainty in the sector.
Hoogewerf also said that wealth for solar panel companies fell sharply, by as much as 80% from its high in 2021, while battery producers saw their value drop by half, and electric vehicle companies by a quarter.
