Flavors of modern China spread globally

Grand scale

While individual restaurateurs have built their presence one store at a time, larger chains are approaching global expansion on a far greater scale.

In 2024, China's Ministry of Commerce and eight other government departments jointly issued guidelines supporting Chinese restaurant brands opening overseas markets.

Yangguofu Malatang has become one of the most recognizable Chinese food chains internationally, with nearly 7,000 stores worldwide, including about 200 overseas across more than 20 countries and regions by late 2025.

Zhu Hongzhen, head of the brand center and chief global supervisor of Yangguofu Malatang, said the company's international expansion reflects not only commercial opportunities, but also changing global perceptions of Chinese food. The company began expanding overseas in 2017 after competition in the domestic market became more intense.

Zhu said while overseas Chinese restaurants have long struggled with a shortage of skilled chefs, the company's individual portion format and self-selection experience "fit naturally with overseas dining habits, with little cultural explanation needed".

Some overseas markets have performed beyond expectations, particularly those in Europe. In Germany, monthly sales at individual stores average between 150,000 and 170,000 euros.

In London, the company's flagship store converted its basement into a space for live music performances and comedy shows, combining dining with an entertainment experience.

However, operating overseas comes with regulatory challenges that differ greatly from China.

In Europe, more than 40 countries each have their own regulations, tax systems and certification requirements. Opening a store can take more than six months from site selection to launch, compared with just a few months in China.

"In the past, many overseas consumers associated Chinese food mainly with American Chinese takeout. But in recent years, more people have become willing to try regional Chinese flavors and unfamiliar dishes," said Zhu.

The company has also noticed a growing number of non-Chinese customers in its overseas stores, especially younger diners influenced by social media and Asian pop culture. In some European eateries, 60 to 90 percent of customers are non-Chinese.

Unlike traditional Chinese stir-fry restaurants, malatang chains have standardized food production, making dishes easier to replicate overseas. Soup bases can be centrally produced, while store operations rely less heavily on highly experienced Chinese chefs.

Still, localization is necessary in some markets. In Japan, malatang introduced lighter soup bases better suited to local preferences, while stores in some Southeast Asian countries added tom yum-flavored options.

"If a product is completely changed for local tastes, it may lose its original identity. But if there is no adjustment at all, overseas consumers may find it difficult to accept," said Zhu.