After going through three years of decline, Chinese brands saw a robust spike in their value this year, with the combined value of the top 100 domestic brands surging 25 percent to $1.21 trillion, according to a recent report.

The finding was part of the 2025 Kantar BrandZ Most Valuable Chinese Brands Report released by market consultancy Kantar on Tuesday. It is the 15th consecutive year that the firm has compiled the report.

Among the top 100 Chinese brands list, 68 have seen their value rise this year, double the tally of a year ago.

Tencent crowned this year's list with its brand value surging 53 percent year-on-year to $198 billion. It is the fifth consecutive year that the tech giant has taken the top position, which can be largely attributable to its business expansion in video, music, games, advertisements and artificial intelligence, said Kantar experts.

Technology behemoth Alibaba dislodged liquor brand Kweichow Moutai to seize second place this year, while the latter came in third. The fourth and fifth positions were taken by short-video platform Douyin and tech heavyweight Huawei.

Compared to the previous version, this year's list saw seven new faces, among which three have entered the list for the very first time, while the other four are returnees.

Fast food brands stood out as newcomers to the elite roll call. Beverage chain Mixue led the new entrants, coming in at 51st with a brand value of $4 billion. Its cost-effective supply chain and strong brand cachet vaulted it onto the list. Tea beverage chain Chagee rose to 88th, with a brand value of $1.8 billion. Extending social function and underscoring Chinese traditional culture via tea-based drinks are the major reasons for Chagee to enjoy an increase in its brand value, said Kantar analysts.

Tech firm Xiaomi reported the most significant brand value increase of 154 percent this year, helping it to rise to No 11 on this year's list, up from 20th the previous year.

Among the 20 industries monitored for the list, media and entertainment took up the biggest portion — 27 percent — of total brand value, up from 24 percent last year. Financial services providers came in second at 16 percent. Consumer tech and service platforms jumped to third place this year, up from fifth in 2024.

It should be noted that the value of the Kantar BrandZ China top 100 stock portfolio, including all the 100 top-value Chinese brands, spiked 146.9 percent between July 2010 and June 2025. The value of the benchmark MSCI China Index gained 27.7 percent during the same period.

Continued consumption growth was further fueled by various government subsidies such as trade-in programs, as well as the stock market rally led by the robust rebound of Chinese tech companies, and the accelerated overseas forays made by Chinese manufacturers — all of which have led the rise of Chinese brand value, offsetting the headwinds related to uncertainties in geopolitical relations or economic slowdowns, said Doreen Wang, CEO for Kantar Greater China.

Wang said Chinese brands should become more emotionally resonant, functionally superior and culturally relevant to secure sustainable growth both at home and abroad. This means investing in AI-powered consumer insights, embracing co-creation with users and providing high-quality experiences beyond expectations. Brands that thrive are those that connect deeply with people's lives, she said.

Dayo Liu, Kantar Live commercial lead and senior consultant at Kantar China, said AI has already played a significant role in Chinese brands' strategies, providing them with more precise consumer insights and planning.

The tool is also of great help to Chinese brands' overseas expansion, which is not only about translation, but more importantly about helping brands better understand cultural differences, Liu said.