New Brand Finance data reveals China ranks higher than the US on 19 out of the 35 nation brand attributes
BEIJING, 20 January 2026 – China continues to 2nd second globally for Soft Power, consolidating its ascent amid Western decline and increased global uncertainty, according to a new iteration of the Global Soft Power Index by Brand Finance.
Brand Finance publishes the Global Soft Power Index based on a survey of more than 150,000 respondents from over 100 countries to gather data on global perceptions of all 193 member states of the United Nations. Thanks to the scope of the survey, the Index is the world’s most comprehensive study on perceptions of nation brands, providing an in-depth analysis of the evolving status of Soft Power as nations navigate significant global changes and challenges.
Soft Power is defined as a nation’s ability to influence the preferences and behaviours of various actors in the international arena (states, corporations, communities, publics, etc.) through attraction and persuasion rather than coercion. Each nation is scored across 55 different metrics to arrive at an overall score out of 100 and ranked in order from 1st to 193rd.
China continues to build a credible, long-term alternative to US Soft Power dominance, reflecting a deliberate, policy-led strategy that combines cultural engagement, economic visibility, and technological advancement. In total, China now ranks higher than the US on 19 out of the 35 nation brand attributes.
China’s Reputation has improved, rising 9 places to 18th, surpassing the US for the first time. This increase is supported by gains across People & Values (+22), Governance (+10), and Sustainable Future (+7) - trends that contrast with the declining results observed for the United States. While still ranking relatively low in several underlying nation brand attributes, China has made visible improvements on perceptions of friendliness (+27), fun (+18), ease of communication (+14), generosity (+14), and lifestyle appeal (+8).
China’s tourism perceptions have strengthened too, rising five places this year to 36th, reflecting the growing appeal of its cities, cultural heritage, and leisure opportunities - supported by visa facilitation programs and people-to-people exchanges. Popular cultural phenomena such as Labubu, which gained global attention in 2025, along with strong recognition for brands like Huawei and TikTok, and the expanding export of electric vehicles, further extend China’s global influence.
China continues to consolidate its core strengths. In the Business & Trade pillar, China maintains 1st place for both ease of doing business and future growth potential. It also climbed to 3rd globally for strong and stable economy, up five positions from 2025, reflecting growing confidence in its resilience amid global economic uncertainty and trade realignments.
In Education & Science, China now ranks 1st globally for both advanced science and technology and innovation, while retaining 2nd place in space exploration. Strategic investments in AI, space, and domestic research ecosystems have shifted global perceptions of where the next wave of technological breakthroughs will emerge.
Together, these strengths have reinforced China’s strong global profile, maintaining its high ranking in Influence (2nd) and boosting Familiarity (+1 to 4th).
Scott Chen, Managing Director China, Brand Finance, commented:
"China's sustained position as a leading global Soft Power is not a coincidence, but a reflection of its profound historical continuity and cultural confidence. Our influence stems from a unique model that integrates a 5,000-year civilisational foundation with forward-looking modernisation. We lead in ’future growth potential' and ’ease of doing business‘ because we build bridges for shared prosperity. We rank first in ’advanced science and technology’ because we are committed to contributing solutions for global challenges, from green energy to sustainable cities. This is the essence of China's Soft Power: it is earned through tangible actions and reliable partnerships. Our diplomatic and cultural outreach, especially in the Global South, is defined by being helpful and constructive. This aligns with our vision of building a community with a shared future for mankind, transforming ancient wisdom into modern value for the world. China's path demonstrates that true global influence is built not merely on narrative, but on consistent contribution, mutual respect, and the patient work of creating common value. This is the credible, enduring soft power we are proud to help measure and understand.”
Global Insights: US Soft Power decline accelerates as Japan overtakes the UK to take 3rd place
The Global Soft Power Index 2026 highlights a broad global decline of nation brand perceptions, driven by economic uncertainty, geopolitical tension, and social pressures. Audiences worldwide are more cautious and more likely to scrutinise nations’ behaviour, leading to lower scores across the Index and echoing the trust erosion seen during the COVID-19 period.
Despite retaining 1st place overall, the United States records the steepest overall decline among all nation brands ranked, driven by sharp declines in Reputation (26th, -11) and key nation brand attributes amid international backlash to “America First” policies. Key declines are observed in friendliness, (-32), generosity, (-68) ease of doing business, (-21) support for climate action (-16), political stability, (-8) human rights, (-10) and ethical standards (-4). Nevertheless, the US retains its number one position for Familiarity and Influence, underpinned by continued global leadership in arts and entertainment, (1st) sport, (3rd) iconic brands, (2nd) innovation, (3rd) and space exploration (1st).
Japan’s rise to 3rd, now overtaking the United Kingdom (4th), exemplifies its ability to build Soft Power through a direct experience of the nation brand. Japan has maintained strengths in Business & Trade (1st), Sustainable Future (1st), Education & Science (2nd), and Governance (2nd), while tourism has boosted Familiarity (6th, +1) and related attributes, including appealing lifestyle (4th, +9), visit appeal (8th, +3), friendliness (7th, +12), and fun (21st, +15).
Konrad Jagodzinski, Place Branding Director, Brand Finance, commented:
“The negative shift in the global mood highlights a critical lesson about Soft Power in 2026. Publics are increasingly sensitive to the alignment of values, actions, and outcomes. Nations that fail to demonstrate reliability, credibility, and impact face erosion not only in specific domains but also in broader international reputation and relevance. Soft power is not solely about visibility or size; it is about perception that a nation is delivering on promises implicit in its brand. Nations failing to uphold these promises are penalised by global audiences.”
Brand Finance is the world’s leading brand valuation consultancy. Bridging the gap between marketing and finance, Brand Finance evaluates the strength of brands and quantifies their financial value to help organisations make strategic decisions.
Headquartered in London, Brand Finance operates in over 25 countries. Every year, Brand Finance conducts more than 6,000 brand valuations, supported by original market research, and publishes over 100 reports which rank brands across all sectors and countries.
Brand Finance also operates the Global Brand Equity Monitor, conducting original market research annually on 6,000 brands, surveying more than 175,000 respondents across 41 countries and 31 industry sectors. By combining perceptual data from the Global Brand Equity Monitor with data from its valuation database — the largest brand value database in the world — Brand Finance equips ambitious brand leaders with the data, analytics, and the strategic guidance they need to enhance brand and business value.
In addition to calculating brand value, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics, compliant with ISO 20671.
Brand Finance is a regulated accountancy firm and a committed leader in the standardisation of the brand valuation industry. Brand Finance was the first to be certified by independent auditors as compliant with both ISO 10668 and ISO 20671 and has received the official endorsement of the Marketing Accountability Standards Board (MASB) in the United States.
Brand is defined as a marketing-related intangible asset including, but not limited to, names, terms, signs, symbols, logos, and designs, intended to identify goods, services, or entities, creating distinctive images and associations in the minds of stakeholders, thereby generating economic benefits.
Brand strength is the efficacy of a brand’s performance on intangible measures relative to its competitors. Brand Finance evaluates brand strength in a process compliant with ISO 20671, looking at Marketing Investment, Stakeholder Equity, and the impact of those on Business Performance. The data used is derived from Brand Finance’s proprietary market research programme and from publicly available sources.
Each brand is assigned a Brand Strength Index (BSI) score out of 100, which feeds into the brand value calculation. Based on the score, each brand is assigned a corresponding Brand Rating up to AAA+ in a format similar to a credit rating.
Brand Finance calculates the values of brands in its rankings using the Royalty Relief approach – a brand valuation method compliant with the industry standards set in ISO 10668. It involves estimating the likely future revenues that are attributable to a brand by calculating a royalty rate that would be charged for its use, to arrive at a ‘brand value’ understood as a net economic benefit that a brand owner would achieve by licensing the brand in the open market.
The steps in this process are as follows:
1 Calculate brand strength using a balanced scorecard of metrics assessing Marketing Investment, Stakeholder Equity, and Business Performance. Brand strength is expressed as a Brand Strength Index (BSI) score on a scale of 0 to 100.
2 Determine royalty range for each industry, reflecting the importance of brand to purchasing decisions. In luxury, the maximum percentage is high, while in extractive industry, where goods are often commoditised, it is lower. This is done by reviewing comparable licensing agreements sourced from Brand Finance’s extensive database.
3 Calculate royalty rate. The BSI score is applied to the royalty range to arrive at a royalty rate. For example, if the royalty range in a sector is 0-5% and a brand has a BSI score of 80 out of 100, then an appropriate royalty rate for the use of this brand in the given sector will be 4%.
4 Determine brand-specific revenues by estimating a proportion of parent company revenues attributable to a brand.
5 Determine forecast revenues using a function of historic revenues, equity analyst forecasts, and economic growth rates.
6 Apply the royalty rate to the forecast revenues to derive brand revenues.
7 Discount post-tax brand revenues to a net present value which equals the brand value.
Brand Finance has produced this study with an independent and unbiased analysis. The values derived and opinions presented in this study are based on publicly available information and certain assumptions that Brand Finance used where such data was deficient or unclear. Brand Finance accepts no responsibility and will not be liable in the event that the publicly available information relied upon is subsequently found to be inaccurate. The opinions and financial analysis expressed in the study are not to be construed as providing investment or business advice. Brand Finance does not intend the study to be relied upon for any reason and excludes all liability to any body, government, or organisation.
The data presented in this study form part of Brand Finance's proprietary database, are provided for the benefit of the media, and are not to be used in part or in full for any commercial or technical purpose without written permission from Brand Finance.
