Two shifts reshaping corporates, FIs & cross-border banking
Sharad Desai shares insights into how corporates and FIs can navigate a fragmented world.
The global economy is being reshaped in real time. Conflict in the Middle East, the war in Ukraine and a recalibration in US-China relations are redrawing the map for trade, capital and investment flows.
At the recent Standard Chartered Global Markets Forum, 2026 in Hong Kong, discussions focused on how these geopolitical disruptions are not merely political anomalies; they are accelerating competition in economic and technological development.
This competition is about setting standards, building platforms and shaping the infrastructure that will underpin the next phase of globalisation. That is why AI is becoming a strategic capability – one that can influence how governments, companies and markets interpret information, assess risk and make decisions. Payment systems are just as important as they determine who can move money, through which channels, and under whose rules.
As governments use emerging technologies such as AI to build resilience and support policy objectives, corporates and financial institutions face a more fragmented, fast-moving operating environment. These shifts are playing out most clearly among global companies, including many Chinese corporates – especially in two sectors at the forefront of the new economy, notably, electric vehicles (EVs) and digital finance.
The Chinese EV industry: driving towards greater global reach
China’s EV industry is navigating a complex landscape shaped by rapid domestic innovation and intense global competition. Chinese manufacturers have emerged as global leaders in battery technology and competitive pricing. To sustain growth, they are increasingly expanding overseas, from Africa to South America.
Several factors are driving this trend: broader markets, more diversified revenue, stronger global brands and reduced reliance on an increasingly saturated domestic market. The global push towards net zero is also creating significant opportunities, from rising demand for clean transport to the chance to shape global EV infrastructure and technology standards.
But expansion comes with challenges. Chinese automakers face tighter regulation, industrial policies and strong local competitors. In response, they are pursuing a mix of acquisitions, local manufacturing and strategic partnerships.
Their long-term ambition is clear: leadership in global sustainable mobility. Whether through acquiring legacy brands, investing in overseas supply chains or partnering with local technology firms, each move supports China’s broader efforts to play at the global stage.
Digital finance: exporting innovation in a fragmented world
Alongside the export of sustainable mobility is the export of financial innovation. China’s digital finance sector is also being shaped by geopolitical change, yet it remains a global force. From digital payments and credit assessment to broader financial ecosystems, China continues to be a significant player in digital finance, with AI accelerating the next wave of transformation.
As Chinese fintech and digital finance firms expand internationally, they are navigating fragmented markets and increasingly complex regulatory regimes. Data privacy requirements, compliance standards and local market dynamics demand agility. Yet this same complexity is creating new openings for cross-border collaboration.
China’s advanced financial infrastructure is already helping drive deeper partnerships between global banks and local technology leaders – pairing regulatory expertise with digital innovation in ways that are likely to become even more important in the years ahead.
Unlocking opportunities for financial institutions and investors
Geopolitical and regulatory disruption is creating fresh opportunities for financial institutions and global investors too. Periods of volatility often reset competitive advantage, opening new corridors of capital and growth.
For investors, the opportunity lies in backing areas of growth and innovation within Chinese corporates – particularly across the EV value chain and the fast-maturing digital finance sector – where long-term potential remains significant. The differentiator will be disciplined capital allocation: identifying companies with both technological edge and the strategic capability to navigate complex cross-border regulatory environments.
The role of the super-connector bank
In this context, understanding the forces reshaping cross-border business is no longer optional – it is essential. And it is precisely here that the role of a cross-border bank becomes more important than ever – helping clients respond to disruption, unlock new corridors for growth and stay connected to the flows shaping the future of the global economy.
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