How has China come to dominate world consumer technology?

How did China come to dominate world consumer technology? October 15, 2026In 2015, the American company GoPro, synonymous with ultra-durable action digital cameras, dominated the market with nearly 6.6 million units sold that year and a market share of over seventy percent. Today, the pioneering firm is fighting for its survival. Chinese competitors, DJI and Insta360, filled the market a few years later, and currently encompass 90 percent of the global market for smart portable cameras. China's growing technological advantage And the case of GoPro is no exception, because since around 2010, many Chinese brands have surpassed Western rivals in the consumer technology sector, with products ranging from smart televisions to robotic vacuum cleaners. "China continues to manufacture affordable products today," states Chris Pereira, a Canadian entrepreneur and author with more than 20 years of experience in the country. "But they are also high-quality products," he emphasizes. Another example is car manufacturers, such as BYD or Xpeng, which sold almost two-thirds of all electric cars in 2025 and surpassed established companies like Tesla. Also in the robotic vacuum cleaner sector, Chinese brands have captured the world, leaving the American and pioneering firm in the sector, iRobot, with many problems getting ahead. Why are Chinese companies increasingly surpassing their Western rivals? Pereira, whose consultancy iMpact helps Chinese companies gain ground abroad, attributes the success to fierce internal competition in cities like Shenzhen, Hangzhou, and Shanghai, highly integrated supply chains, and a proactive business culture. Other reasons are industrial automation, the strategic use of artificial intelligence in manufacturing, the responsiveness of regulatory bodies, and relatively cheap labor. These factors together open the way for lower production costs and faster innovation cycles than in the world's most advanced economies. Joey Cheng, who moved to the United States more than 20 years ago to pursue a doctorate, knows both the perspective of the American consumer and that of the Chinese manufacturer: "The supply chain in Shenzhen is practically indispensable to reduce costs and develop products quickly." He also adds that, above all, "for a startup it is necessary to launch the product to the market quickly, otherwise, it runs the risk of being left out." However, there is an aspect to consider: trust in manufacturers. A recent survey revealed that more than 90 percent of Europeans do not trust Chinese technology companies to handle their data, while around 80 percent distrust American firms. The Germans expressed the highest level of distrust. According to Pereira, "this lack of trust implies that Chinese companies must be very competitive in terms of product and price for the market to choose them." And although they assure compliance with European data protection regulations, consumer-oriented companies are subject to scrutiny, among other things, for potential espionage risks, for example, with devices connected to electric vehicles. Is a new trade war brewing? Given concerns about security, trade deficits, and the general dominance of China, the United States and several Western countries have imposed tariffs, blacklists, and strict requirements on imports from China and Chinese companies. At the end of July, the Trump Administration, for example, banned the import of humanoid robots manufactured outside the United States. A representative of Primebot, a Chinese robot manufacturer, explained to DW that as an option "we could seek to collaborate with a local American company. Another possible solution would be to build a factory there." European countries and the European Union are also considering imposing more tariffs on Chinese companies. Pereira considers that "Chinese authorities and companies are aware that production must be localized, at least to some extent. One of the reasons is to mitigate the difficulties entailed by exporting; the other is to generate local trust." And he adds that "once tariffs eliminate the price advantage in the most affordable segments, the profit margin will shift to the high end. Therefore, Chinese brands are competing more and more directly with established Western firms, an area where trust is certainly the determining factor." (rmr/cp) Don't let the algorithm hide the news. If you trust this site for reliable information, please take a moment to select us as your preferred source on Google: click here and check the box or press the DW.com button to always see our verified news in your preferences.