Former Google employee Colin Huang, who rose to prominence as an e-commerce tycoon, has now become the richest man in China (as of August 2024). His online shopping platform, Temu, attracted customers with competitive pricing and advanced algorithms, solidifying his success.
Huang, the founder of PDD Holdings — which owns Temu and Chinese retail app Pinduoduo — is now worth USD 48.6 billion, according to the Bloomberg Billionaires Index. He overtook Zhong Shanshan in August 2024, the boss of beverage company Nongfu Spring who had topped the list since April 2021, as the world’s 25th wealthiest person and the richest in China.
Close behind them is Ma Huateng, known as Pony Ma — head of tech giant Tencent, whose WeChat is often described as China’s “everything app”. And in fourth place is Zhang Yiming, founder of Bytedance, which owns the massively popular TikTok video-sharing platform.
All about Colin Huang, the richest man in China right now
Huang, born in 1980 in the eastern Chinese city of Hangzhou, was a teenage maths whizz and a former employee of Google China. In 2015 he founded online shopping site Pinduoduo, which blossomed into one of China’s most successful e-commerce empires — rivalling Jack Ma’s Alibaba.
The app lured in consumers with huge discounts and a vast array of products, offering sometimes staggeringly low prices in a fiercely competitive field. Its overseas iteration Temu launched in 2022 in the United States, where it amassed a loyal consumer base with ultra-low-cost goods made and shipped from China.
Its success dovetailed with persistently high inflation that has pushed cost-conscious consumers to hunt for bargains, and it has since taken off in Europe, Latin America and elsewhere. Despite only arriving in Europe last year, Temu has said it has on average around 75 million monthly active users in the region.
Temu’s unfair practices revealed
But its massive success had drawn accusations of unfair commercial practices and lax safety standards.
This year, consumer groups in Europe accused Temu of manipulating shoppers into spending more money, distorting their ability to make “free and informed decisions”. In April 2024, South Korean regulators opened an investigation into Temu on suspicion of false advertising and unfair practices.
Last month, hundreds of merchants in China demonstrated at an affiliated office in the southern city of Guangzhou, alleging unfair treatment in the sale of their products on the platform.
But that has done little to dent the success of the firm, with PDD Holdings announcing in May that first-quarter net profit had more than tripled year-on-year. The firm’s US-listed shares closed at USD 138.02 apiece on 8 August 2024, giving it a market capitalisation of USD 191.68 billion.
Hero and Feature Images: Courtesy Photography STR/CNS/AFP, China OUT
This story has been published via AFP Relaxnews.
Frequently Asked Questions (FAQs)
Colin Huang minted wealth by setting up his company, Temu, an e-commerce platform in 2015.
