From mala to milk tea, China’s F&B giants take South-east Asia by storm

[HO CHI MINH CITY] China’s food and beverage (F&B) brands, from bubble tea chain Mixue and hotpot giant Haidilao to Luckin Coffee and Chagee, are charging into South-east Asia, capitalising on the region’s proximity, less saturated market and growing consumer demand, even as they contend with fierce competition at home.

A report released on Thursday (Jan 9) by Momentum Works said: “Cut-throat competition has prompted many Chinese F&B brands to develop competitiveness in all parts of the F&B operations, and to look beyond the domestic market for growth opportunities, with South-east Asia being a particularly hot destination for many of them.”

By the end of 2024, over 60 brands had established a presence in the region, operating more than 6,100 outlets – a testament to the region’s growing appeal, said the Singapore-headquartered research firm’s report.