Joy Group, the parent company behind C-beauty brands Judydoll and Joocyee, will open a store in Malaysia by the end of the year, after debuting its first overseas boutiques in Singapore last year. 

“Southeast Asia has a huge consumer market, and people are generally very accepting of Chinese products,” Fanqi Kong, Joy Group’s general manager of international business, tells Fortune. Joy Group opened its Singapore office in 2024, which it designated as a regional hub to tap other Southeast Asian markets.

In 2025, the group’s retail sales exceeded $730 million, of which $87 million came from overseas sales. Vietnam is now Joy Group’s top overseas market.

Joy is part of a broader push by Chinese consumer brands to go global, a decision so common it’s even spawned a business buzzword, chuhai. Brutal competition at home has pushed Chinese brands like BYD, Geely, Huawei and Xiaomi to venture into overseas markets. 

Chinese companies initially focused on Western markets like the U.S. and Europe in their global push. But many are now pivoting to Southeast Asia, where Chinese brands have found greater success, due to geographical proximity, cultural similarities, and generally young populations. 

Between 2019 and 2024, Chinese color cosmetics and skincare brands in Southeast Asia reported compound annual growth rates of 70% and 115% respectively, according to data analytics firm Euromonitor.

“There was a perception among Chinese businesses that exporting their products to the most established markets is the best way to promote their brand,” says Dianna Chang, an associate professor at the Singapore University of Social Sciences (SUSS). “But now, they’re finding a lot of relevance in Southeast Asia—it’s closer to home and encompasses many emerging economies with young populations.” 

How Chinese brands got ahead

Consumers previously wrote off Chinese goods as inferior, as Chinese manufacturers prioritized quick market entry over original designs. “There were jokes going around about how Chery QQ cars wouldn’t pass the crash test,” says Lewis Lim, an associate professor from Singapore’s Nanyang Technological University (NTU). “And when Xiaomi entered the smartphone market in 2014, it was seen as a functional, affordable option—you couldn’t expect too much from it, but it worked.”

Yet over time, Chinese workers picked up technical know-how by working for foreign multinationals. “Some of the most advanced cosmetics were manufactured in China in the past, so workers learned how to make them,” says Chang. “Skincare is built a lot on chemistry, so the foundational understanding of material science also matters.” 

China has also poured large sums of money into research and development. In 2024, China invested $1.03 trillion into R&D, ahead of the U.S.’s $1.01 trillion, according to the Organisation for Economic Co-operation and Development. 

“The one big difference between the Chinese expansion and previous efforts from Japanese and Korean brands is that they are backed by a government eager to increase its soft, cultural power across the world, especially starting with its Asian neighborhood,” says Seshan Ramaswami, a marketing expert from the Singapore Management University (SMU).

Chinese firms have also learned to better market their products internationally. “They’re learning from foreign brands about the importance of branding, storytelling and packaging,” says Chang. “For instance, some C-beauty brands have opted to focus more on Chinese heritage, and weave in elements of traditional Chinese medicine.”

The growing popularity of Chinese pop culture—including minute-long microdramas and TikTok reels of ‘cyberpunk’ cities like Chongqing—is also boosting the popularity of C-beauty brands. “After drinking boba tea and watching Chinese dramas, it’s natural for people to begin to accept and purchase C-beauty products,” Lim says.

C-beauty firms are broadening their product offerings to cater to a wider array of customers. Joy Group has expanded its shade ranges to include deeper skin tone options, and is rolling out sunscreen cushions and waterproof lip ink designed for Southeast Asia’s hot and humid climate. 

“Within Southeast Asia, we’re experimenting with a self-operating model, and building our own local entities and teams,” says Kong. Apart from its few boutiques in Singapore, Joy Group sells its goods through e-commerce platforms like Shopee, Lazada and Tiktok Shop and in omnichannel retail stores like Sephora, Lazada, and Watsons.

Going beyond Southeast Asia

C-beauty giants haven’t abandoned lucrative Western markets. Flower Knows, the viral fairy-themed C-beauty brand, entered the U.S. in 2024 via retail partnerships with Ulta Beauty and Urban Outfitters; Joy Group pushed into the European market last year, after acquiring Italian dermatological hair care brand Foltène. Many newer C-beauty brands, like Florasis, Perfect Diary and Catkin, also debuted with English names to boost their international appeal.

Yet whether C-beauty brands can effectively break into more culturally distinct markets, like the West and the Middle East, remains to be seen. 

“It would be easier for ‘hard’ products like EVs, since the competitive advantage mainly lies in the strength of the technology,” Lim concludes, pointing to how BYD cars are already selling well globally. “But products like cosmetics have to be adapted to the biological needs of your skin, so it might be hard for C-beauty brands to break into other markets as easily.”

Asian markets plunged on Monday as investors slammed the brakes on the red-hot AI rally, while Israeli strikes on Beirut sent oil prices and the dollar higher.

An 8% drop for South Korea’s chip-heavy KOSPI benchmark triggered a 20-minute trading halt and has it down almost 17% from last week’s record high.

Japan’s Nikkei fell 3.5% in early trade, though ‌U.S. S&P 500 ⁠and Nasdaq ⁠100 futures made small gains.

The Nasdaq had dropped 4.2% on Friday, with selling concentrated in semiconductor stocks after a hot jobs report ramped up expectations for Federal Reserve interest rate hikes, putting the brakes on what has been a sparkling AI-led rally.

Two-year Treasury yields rose more than 11 basis points on Friday and benchmark 10-year Treasury futures were about five ticks lower early on Monday morning in Asia.

“The AI-drives-everything narrative frayed last week,” said Bob ⁠Savage, head ‌of markets macro strategy at BNY.

“Whether this is a healthy pause in the nine-week equity rally or a top remains the key question. The ⁠IPO focus on SpaceX and Anthropic is part of the pause – whether to make room for the new market cap or to rethink value.” INFLATION AND ECB AHEAD

The week ahead is headlined by the giant SpaceX listing, expected to price on Thursday and trade on Friday, but will also have inflation in focus with U.S. consumer price data due on Wednesday and central bank meetings in Canada and Europe.

Last week, bitcoin notched its heaviest weekly drop since the collapse of crypto exchange ‌FTX in late 2022, falling about 16%. It was hovering just shy of $63,000 on Monday.

SpaceX’s debut is expected to be followed by other mega IPOs in the coming months from Anthropic ⁠and OpenAI, raising so much money that brokers are nervous it could draw down other assets.

The Middle East situation also remains delicate, and Brent crude futures were up about 2.6% to $95.45 a barrel on Monday morning after an Israeli attack on Beirut prompted Iran to direct a salvo of missiles at Israeli targets.

OPEC+ agreed on Sunday to the fourth increase in its oil output targets in as many months.

In currency trade the dollar was firm and holding above 160 yen and pushed the Australian dollar to $0.7038. The euro hovered at $1.1518.

Emkay Global has retained a bullish long-term outlook on Indian equities despite rising geopolitical tensions and elevated crude oil prices, saying the Nifty could climb to 29,000 by March 2027 as domestic growth drivers remain intact.

In its latest India strategy report, the brokerage said India’s macroeconomic resilience, improving earnings outlook, and continued policy support are likely to help markets weather near-term global volatility.

The brokerage expects the Nifty to reach 29,000 by March next year based on a target valuation multiple of 19.2 times FY28 earnings. The report comes at a time when global markets are grappling with heightened uncertainty linked to the prolonged conflict in West Asia and disruptions around the Strait of Hormuz, a critical global oil shipping route.

Brent crude prices have remained elevated in the $105–110 per barrel range after the Strait of Hormuz remained shut for more than 11 weeks, according to the report.

Emkay warned that prolonged high oil prices could materially affect India’s economy, given the country’s dependence on imported energy. According to the brokerage’s scenario analysis, if Brent remains around $100/barrel, India’s current account deficit could widen to 2.4% of GDP from the earlier baseline estimate of 1.3%.

GDP growth could also moderate to 6.3% from the earlier expectation of 7%, while consumer inflation may rise to 4.6%. In a more severe scenario where crude prices surge to $130 per barrel, Emkay estimates India’s GDP growth could slow further to 5.5%, and inflation could rise to 5%.

Still, the brokerage believes the broader long-term growth story for Indian equities remains intact.”While global geopolitical developments and elevated crude prices may continue to create intermittent volatility, India’s structural growth drivers remain intact,” said Seshadri Sen, Head of Research and Strategist at Emkay Global.

“Earnings resilience, policy support, easing domestic inflationary pressures, and ongoing capex investments continue to provide a strong foundation for Indian equities,” Sen said.

He added that any sharp correction triggered by global concerns should be viewed as a long-term buying opportunity rather than a structural threat to India’s growth outlook.

Emkay said the March quarter earnings season has started on a relatively stable note despite global uncertainty. Among companies under the brokerage’s coverage universe that have reported results so far, 46% delivered earnings above expectations, while only 29% missed estimates.

The brokerage has retained its FY27 Nifty earnings per share estimate at Rs 1,230 and continues to expect nearly 13% earnings growth. The report noted that the Nifty is currently trading around 19.2 times FY27 forward earnings, close to its five-year average valuation.

Emkay believes markets are still under-pricing the earnings recovery expected during FY27 and FY28. The brokerage expects nearly 14% cumulative earnings growth over the next two financial years.

On the sectoral front, Emkay remains overweight on discretionary consumption, industrials, materials and real estate while staying underweight on financials, energy, healthcare, staples, telecom and technology in the near term.

The report also highlighted concerns around fuel under-recoveries for oil marketing companies.

According to Emkay, the recent Rs 3 per litre increase in fuel prices addresses only around 20% of the current under-recoveries, suggesting additional fuel price hikes may become necessary if crude prices remain elevated.

The brokerage described sustained high crude prices as a “four-way drag” on the economy because they simultaneously affect inflation, government finances, corporate profitability and household spending.

Despite the near-term pressures, Emkay said several domestic policy measures continue to support economic activity. These include income tax cuts, GST reductions and cumulative RBI rate cuts of around 125 basis points since February 2025.

The brokerage said these measures are expected to improve liquidity, support discretionary consumption and encourage private-sector investment. Government spending on railways, defence and infrastructure also continues to support economic activity and employment generation, according to the report.

Emkay further said the rupee may remain under pressure in the short term because of high crude prices and a stronger US dollar, though the Reserve Bank of India is likely to maintain a cautious policy stance to preserve macroeconomic stability.

The brokerage expects the rupee and bond markets to stabilise once geopolitical tensions ease and oil supply routes normalise. The report also pointed to improving trends in financial services sectors such as NBFCs and insurance.

According to Emkay, the NBFC sector has seen significant re-rating over the last few years due to better balance sheets, lower NPAs and stronger capital adequacy. It added that while the pace of outperformance versus banks may moderate, select NBFCs remain well-positioned to deliver healthy growth and profitability.

The domestic stock market is expected to remain volatile this week as investors track the Reserve Bank’s monetary policy decision, key global macroeconomic data and the impact of the West Asia conflict, analysts said.

Movements in crude oil prices and foreign fund flows will also influence domestic equities, they added.

Vinod Nair, Head of Research, Geojit Investments Ltd, said the RBI’s Monetary Policy Committee (MPC) meeting will command centre stage domestically, with investors closely watching the central bank’s stance on inflation and growth.

“A rate pause is near-certain consensus, the central bank walks a tightrope between crude-driven inflation risks and a four-year low Manufacturing PMI signalling a softening growth impulse. The governor’s commentary on the rate cycle trajectory and FY27 projections will be closely monitored.

“Globally, the US March CPI reading will carry significant importance, as it buries residual Fed rate-cut hopes, strengthens the dollar and tightens financial conditions for emerging markets, including India,” Nair said.

He noted that geopolitical developments in West Asia will remain the overarching factor influencing market sentiment.

“Indian markets return after a three-day gap and remain acutely vulnerable to weekend war developments, with crude trajectory and any credible ceasefire signal being the decisive variable that could either trigger a sharp relief rally or extend the current sell-on-rise mode,” Nair added.In a holiday-shortened last week, the BSE benchmark Sensex declined 263.67 points, or 0.35 per cent, and the NSE Nifty fell 106.5 points, or 0.46 per cent.

Siddhartha Khemka – Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd, said Indian equities are likely to remain volatile this week, with investor sentiment closely tied to evolving developments in the ongoing West Asia conflict.

Brent crude prices have remained elevated near USD 107 per barrel, sustaining concerns around imported inflation. Currency pressures have also intensified, with the rupee weakening sharply before recovering towards Rs 93 against the US dollar, aided by RBI intervention, he added.

Foreign institutional investor (FII) selling remains another key overhang, with March witnessing intense outflows of Rs 1.2 lakh crore, among the highest monthly outflows in the last several years.

“Investors will monitor the US Federal Open Market Committee (FOMC) meeting minutes, GDP data, and initial jobless claims for further cues on growth and the policy trajectory.

“Overall, markets are expected to remain volatile as geopolitical developments, crude price movements, FII flows and global macro data continue to drive sentiment,” Khemka said.

According to analysts, any signs of de-escalation in the West Asia conflict may provide relief through softer crude prices and currency stability, while further escalation could prolong risk aversion and sustain pressure on foreign flows.

Developments related to the ongoing month-long war in West Asia, its impact on crude oil prices, and global trends would continue to be key drivers for domestic equities in the holiday-shortened week ahead, analysts said.

Besides, the rupee-dollar trend and trading activity of foreign investors would also play a crucial role in dictating investors’ sentiment.

Stock markets would remain closed on Tuesday and Friday for Shri Mahavir Jayanti and Good Friday, respectively.

“This week is expected to remain influenced by global macro developments, particularly crude oil price trends and progress in the US-Iran ceasefire negotiations, which will be critical in shaping market sentiment. Stability in the rupee will also be important for any revival in foreign institutional flows,” Ajit Mishra, SVP, Research, Religare Broking Ltd, said.

On the domestic front, key data releases include industrial production data for February and the HSBC Manufacturing PMI for March, which will provide insights into economic momentum and fiscal positioning, he said.

Foreign investors have pulled out Rs 1.14 lakh crore (about USD 12.3 billion) from domestic equities this month amid the widening conflict in West Asia and a weakening rupee.

The West Asia conflict started on February 28. While the US and Israel attacked Iran, the Islamic Republic retaliated by targeting Washington’s allies in its neighbourhood and Tel Aviv.”Looking ahead, markets are likely to remain volatile and driven by developments on the geopolitical front. Investors will be closely watching the situation in the Middle East, where any escalation or signs of easing could quickly shift sentiment, particularly through their impact on crude oil prices.

“Elevated oil prices are expected to keep pressure on markets, while any pullback could prompt short-covering and support a rebound,” Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.

Foreign investor flows, moves in the rupee, and broader global market trends are also likely to play a key role in shaping the near-term outlook, he said.

In a holiday-shortened last week, the BSE benchmark Sensex lost 949.74 points or 1.27 per cent, and the NSE Nifty tanked 294.9 points or 1.27 per cent.

Hariprasad K, Research Analyst and Founder, Livelong Wealth, said, “The week ahead is expected to be largely dictated by global drivers, with crude oil, currency movements, and geopolitical developments remaining key variables.”

Prime Minister Narendra Modi on Sunday expressed gratitude towards Gulf nations for assistance to Indians residing there amid the West Asia conflict and noted that India is facing the global fuel crisis resolutely.

In the 132nd episode of his radio show Mann Ki Baat, PM Modi asked political parties and citizens not to politicise the West Asia conflict and avoid spreading rumours.

Noting the global turbulence amid the conflict between US-Israel and Iran, he said, ‘‘The month of March has been eventful at a global level. In the past, the entire world faced numerous problems for a long time due to the COVID. We all expected that after emerging through the COVID crisis, the world would move forward on the path of progress with a fresh start. But conditions of war and conflict continued to emerge in different regions of the world. Currently, a fierce war has been going on for a month in our neighbourhood. Relatives of lakhs of families reside in these countries, and particularly work in the Gulf countries. I am grateful to Gulf countries for providing every kind of assistance to over one crore Indians there.’‘

‘‘A crisis is developing around the world regarding petrol and diesel. Our global relations, the support we receive from various countries, and the strengths we have built over the past decade have enabled India to face these challenges resolutely. These are certainly challenging times. Today, through ‘Mann Ki Baat,’ I will once again urge all my countrymen that we must unite and overcome this challenge,’‘ the Prime Minister added.

Further, in a veiled jibe at the opposition, he said that there is ‘‘no place for self-serving politics.’‘

‘‘All those politicising the issue should not do it. This issue is connected to the interests of 140 crore Indians, and there is no place for self-serving politics. All those spreading rumours are causing great harm to the country. I would also like to appeal to all countrymen to remain vigilant and not be misled by rumours. Trust the constant information provided by the government and take action based on that,’‘ he said.

The conflict in West Asia began with Israel-US strikes on Iran on February 28, killing Supreme Leader Ayatollah Ali Khamenei. As Iran retaliated, it widened the ambit of the conflict, affecting its neighbours in the region. While the crude oil prices increased in the global markets, the Centre has decided to slash the excise duty on petrol and diesel.

Amid the reported LPG crisis, the government has decided to move to Piped Natural Gas (PNG), fast-tracking the infrastructure for laying the pipelines.

PM Modi on Saturday held a telephonic conversation with Crown Prince and PM of Saudi Arabia, Mohammed bin Salman, during which both leaders discussed the ongoing conflict in West Asia. 

He has held conversations with several global leaders, including US President Donald Trump, amid the tensions in the region. 

Source: ANI 

–Agencies