Welcome back to China Insights Weekly. Here are some of the key highlights from this week:

  • Chinese foreign investment in clean energy has nearly doubled and is projected to reach $80 billion by 2025.
  • Sam's Club is accelerating its expansion in China, with Shanghai now its largest market.
  • A pilot program for the digital yuan is being launched for tourists from Singapore, enabling offline payments.
  • The world's largest green hydrogen-chemical project has been launched, reducing CO2 emissions by 1.4 million tons per year.

Top News

Robot vacuum pioneer iRobot files for bankruptcy; Chinese firm Picea to acquire 100% ownership

The maker of Roomba, iRobot, has filed for bankruptcy protection under Chapter 11 of the U.S. bankruptcy code. The company cited increasing competition from cheaper rivals and new tariffs as reasons. In September 2002, iRobot launched the Roomba, the first commercially successful robot vacuum cleaner, which revolutionized the market. In 2024, the company generated $682 million in revenue, but profitability declined due to strong competition from Chinese brands such as Roborock and Ecovacs.

New U.S. tariffs, particularly a 46% tariff on imports from Vietnam, where iRobot manufactures vacuums for the U.S. market, increased costs by $23 million in 2025. The restructuring plan involves a takeover by Picea Robotics, a Chinese company, which will acquire 100% of the company and eliminate $264 million in debt. While iRobot was valued at $3.56 billion in 2021, its current valuation is around $140 million.

In the second quarter of 2025, all five of the largest smart vacuum cleaner manufacturers were based in China.

TikTok signs deal to create U.S. joint venture; ByteDance remains largest individual shareholder with 20% stake

TikTok has signed a deal to establish a new U.S. joint venture, TikTok USDS Joint Venture LLC. The project involves companies Oracle, Silver Lake, and an investment group MGX from Abu Dhabi. The new entity will be majority-owned by U.S. investors, and a seven-member board of directors will have a U.S. majority. The structure aims to protect U.S. data and national security.

The joint venture will be 50% owned by new investors, 30% by existing ByteDance affiliates, and 20% will be retained by ByteDance. Oracle will serve as a trusted security partner, auditing compliance with security requirements and storing sensitive U.S. data in cloud centers within the United States.

South Korean fashion giant Musinsa enters China, Sam's Club breaks records in Shanghai

The South Korean fashion company Musinsa has opened its first overseas flagship store in Shanghai. The store, located on Huaihai Road, spans two floors and covers an area of 1,421 square meters. Musinsa plans to open 100 stores in China by 2030, primarily in Shanghai and other major cities. The company aims to adapt its logistics, distribution, and product offerings to local trends and preferences. This expansion is supported by a 2019 investment from the Chinese company HongShan Capital and a partnership with the Anta Group, which led to the creation of Musinsa China.

Walmart-owned Sam's Club opened its seventh store in Shanghai on December 16, bringing the total number of its stores in China to 62. The new branch in Pudong features 50 fast-charging stations for electric vehicles. Shanghai now has the same number of Sam's Club stores as Houston, matching the number of Sam's Club stores worldwide. In fiscal year 2025, Walmart China generated approximately $20.3 billion in revenue, with Sam's Club contributing over $14.7 billion and becoming a major driver of growth. The average revenue per Sam's Club store is around $2 billion.

South Korean fashion giant Musinsa is opening its first overseas store in Shanghai.

Chinese foreign investment in clean energy is surging

Chinese foreign investment in clean energy reached $80 billion by the end of November 2025, nearly double the amount of the previous period. This growth is a result of China's leading position in energy transformation technologies and the current withdrawal of the United States from supporting clean energy. As a result, many developing countries are deepening their cooperation with China. The regions of the Middle East and North Africa have seen the fastest growth in investment, particularly in the areas of batteries and solar energy. Many countries are offering tax incentives and expedited project approvals to attract Chinese capital.

Tomáš Kučera & Yereth Jansen
China-insights.com/gnews.cz – GH