30/10/2024
The founder of TikTok, Zhang Yiming, is the richest person in China
Zhang Yiming's wealth is now worth US$49.3 billion (RM235.4 billion) - up 43 percent compared to 2023. - REUTERS Photo
SHANGHAI: The growing popularity of the TikTok application globally has made the co-founder of its parent company, ByteDance, the richest individual in China.
According to a list released by the Hurun Research Institute, Zhang Yiming's wealth is now worth US$49.3 billion (RM235.4 billion) - a 43 percent increase compared to 2023.
Aged 41, Zhang will step down from a management position in the company in 2021, however, it is understood that he still owns around 20 percent of the company's shares.
TikTok has become one of the most popular social media apps in the world, despite serious concerns in some countries about its ties to China.
Although both companies insist that they are independent from the Chinese government, the United States (US) remains adamant that it will ban TikTok in January 2025 unless ByteDance sells it.
Despite intense pressure in the US, ByteDance's global profits rose by 60 percent last year, which also boosted Zhang Yiming's personal wealth.
"Zhang Yiming is the 18th individual to rank first in China in just 26 years," said Hurun chief Rupert Hoogewerf.
"For comparison, the US has only four people who have ever occupied the first place, namely Bill Gates, Warren Buffett, Jeff Bezos and Elon Musk.
"This gives a glimpse of some of the dynamism in the Chinese economy."
Zhang is not the only representative of China's big tech sector on the list.
Pony Ma, head of tech conglomerate Tencent, is in third place with an estimated personal fortune of £44.4 billion.
However, their wealth is not just the result of their company's success - their competitors earned less in a year in which China's economy struggled.
In fact, only about 30 percent of the individuals on the list posted an increase in net worth - the rest saw a decrease.
"The China Rich List has shrunk for the third year in a row, something that has never happened before, due to a difficult year for the Chinese economy and stock market," said Hoogewerf.
"The number of individuals on the list decreased by 12 percent in a year to less than 1,100 people and is down 25 percent from its peak in 2021."
He said the data showed a good year for smartphone manufacturers such as Xiaomi, while the green energy market suffered a decline.
"Manufacturers of solar panels, lithium batteries, and electric vehicles (EVs) are facing a challenging year, when competition is intensifying to the point of dumping, and the threat of tariffs adds to the uncertainty," he said.
"Solar panel makers saw their fortunes fall by up to 80% from their 2021 peak, while battery and EV makers fell by half and a quarter, respectively."
