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In a recent ION Influencers fireside chat, Dr. Joe He, Managing China CEO at Australian Capital Equity (ACE) — the industrial holding company founded by billionaire Kerry Stokes. The conversation cut through the noise on two of the most volatile topics in capital markets today: the future of global supply chains and the energy transition in Asia-Pacific.

Here are the key topics discussed, distilled for investors and industry watchers.

Topic 1: The “Broken” Global Supply Chain & The Deglobalization Cycle
Dr. He did not mince words: the current global supply chain is “broken” due to geopolitical tensions. While he identifies as a “big fan of globalization,” he acknowledges we are entering a deglobalization cycle—a historical pattern of integration, then tension, then war, then reintegration.

The takeaway isn’t panic, but pace. He believes advanced technologies (AI, blockchain) will accelerate this cycle, meaning globalization could return faster than historical patterns suggest.

Topic 2: The Triple Energy Challenge in Asia-Pacific & Australia
When asked about energy trends, Dr. He outlined three specific pressures facing the region:

Security: Over-reliance on single sources or transport routes.

Cost Pressure: Long-term CapEx for renewables is clashing with rising financing costs and uncertainty.

Transition Pace: Balancing stable supply, cost management, and sustainability.

The solution? He argues for deeper cooperation with geopolitically stable partners (Asia-Pacific & Australia are “natural partners”) combined with aggressive localization—not just locally, but “localized internationally” (e.g., adapting to local cultures and decision-making in overseas markets).

Topic 3: Where ACE is Bullish (Beyond Just Renewables)
While energy is a focus, Dr. He highlighted three specific, investable niches:

Renewable Energy Storage Systems: Critical for grid stability.

Advanced Materials: For batteries, high-performance industrial uses, and lighting.

Energy Management Systems: Smart tech to drastically improve usage efficiency.

Robotics & Blockchain: He noted blockchain solves the fundamental problem of “trust,” enabling smart contracts that bypass costly legal systems.

The Data Center Angle: Asked about AI data centers consuming too much power, Dr. He confirmed the concern is real, noting that China has already seen a “significant increase” in new energy generator factories to prepare for this demand surge.

Topic 4: Private vs. Public Capital – A Partnership, Not a Rivalry
For infrastructure mega-projects, Dr. He sees a clear division of labor:

Public Capital: Best for basic infrastructure, long-term policy, and stable rules.

Private Capital: Best for efficiency, cost control, technology breakthroughs, and commercialization.

He argues the two are “compensated with each other,” not competitors. Governments set the track; private capital makes the train run on time.

Topic 5: The Next 3-5 Years – Outbound China Surge
In a final punchy prediction, Dr. He stated unequivocally: Chinese companies will increase outbound investment.

His reasoning? Many Chinese Fortune 500 giants never needed to globalize because their domestic market was so large. That is changing. He believes they are “just at the beginning of globalization” and will soon bring great technologies and products to global markets—provided globalization returns.

Final Verdict from the Fireside: The next few years will be defined by regional cooperation (RCEP, CPTPP), massive investment in energy storage, and a wave of Chinese multinationals looking abroad. The investor who bridges these broken links—culturally and operationally—will win.