Rajawat will take on eighth seed Kunlavut Vitidsarn of Thailand next.
A fighting H S Prannoy edged out Japan's Kanta Tsuneyama to progress to the semi-finals but two-time Olympic medallist P V Sindhu couldn't find a way to get past her nemesis Tai Tzu Ying at the Malaysia Masters Super 500 tournament in Kuala Lumpur on Friday.
Priyanshu Rajawat suffered a 13-21, 14-21, loss to Japan's Kanta Tsuneyama, while Aakarshi Kashyap went down 18-21, 10-21 to German Yvonne Li.
Sindhu had beaten world number 18 Zhang in the Malaysian Open quarter-finals in May this year but the Chinese avenged that defeat and also made the lifetime win-loss record to 3-2 against the Indian.
As Kidambi Srikanth lost his second round match, India's campaign ended at the Singapore Open.
Satwiksairaj and Chirag won 21-17, 21-11.
Satwiksairaj Rankireddy and Chirag Shetty assured India of a men's doubles medal at the Badminton Asia Championships after 52 years after making it to the semi-finals in Dubai.
Two-time Olympic medallist P V Sindhu sailed into the quarter-finals in the singles event at the Badminton Asia Championships with an easy victory over China's Han Yue.
However, a tough contest awaits the former world No. 1 as he faces top seed Kenta Nishimoto of Japan next.
Sindhu made short work of the world number 32, Yi Man 21-12, 21-10
Lakshya Sen and Saina Nehwal made impressive starts at the Indonesia Masters Super 500 badminton tournament, advancing to the second round of men's and women's singles respectively with contrasting victories in Jakarta on Wednesday.
P V Sindhu eased into the second round with a straight-game win after fellow Indian Lakshya Sen showed his mettle with a stunning victory over world No. 10 Japanese Kanta Tsuneyama on the opening day of Indonesia Masters Super 750 in Bali on Tuesday.
In the mixed doubles event, Satwiksairak Rankreddy and Ashwini Ponnappa started their campaign on a winning note. The duo beat the German combine of Marvin Seidel and Linda Efler in straight games 21-14, 31-19.
HS Prannoy breezed into the quarter-finals with a stunning straight-game win over former world champion Loh Kean Yew of Singapore but it was curtains for Kidambi Srikanth at the Japan Open Super 750 tournament.
H S Prannoy stunned World No 10 Kanta Tsuneyama while ace Indian women shuttlers PV Sindhu and Saina Nehwal also sailed into the second round of the Malaysia Masters, in Kuala Lumpur, on Wednesday. World Championships bronze-medallist B Sai Praneeth and the seasoned Kidambi Srikanth, though, bowed out of the men's singles events.
Olympic silver medallist P V Sindhu and B Sai Praneeth moved into the quarter-finals of Japan Open badminton tournament after registering contrasting wins but it was curtains for H S Prannoy.
A summary of sports events and persons who made news on Friday
Defending champion H S Prannoy eked out a thrilling win over China's Qiao Bin to advance to the quarterfinals of the $120,000 Swiss Grand Prix Gold badminton tournament, in Basel on Thursday.
Saina lost 15-21, 21-23 in the women's singles match that lasted 37 minutes to crash out
Rising player Lakshya Sen went down to Denmark's Hans-Kristian Solberg Vittinghus
It was a tough day for the Indian shuttlers barring Ajay Jayaram, who sailed into the men's singles semi-finals with a comfortable win over compatriot Anand Pawar in the US Open Grand Prix Gold badminton tournament in El Monte.
Saina squandered a game advantage to lose 21-16, 11-21, 14-21 against Takahashi
Sameer Verma advanced to the semi-finals of the US $150,000 Swiss Open with an easy victory over former world No. 2 Kento Momota of Japan, in Basel, on Saturday.
Olympic silver medallist P V Sindhu was the only bright spot on a dismal day for Indian badminton as she progressed to the quarter-finals with a straight-game win at the US $350,000 Thailand Open World Super 500 tournament in Bangkok on Thursday.
Returning to action after nearly two months, Saina, who made last-minute withdrawals from Indonesia Open and last week's Japan Open because of injuries, got past Chaiwan 21-17, 21-19 in her opening round contest.
Summary of sports events and persons who made news on Wednesday
A much-anticipated second round meeting of India's top two women shuttlers, world No 1 Saina Nehwal and P V Sindhu, failed to materiliaze as the latter came a cropper in her opening match at the Japan Open Super Series badminton tournament, in Tokyo, on Wednesday.
Summary of sports events and persons who made news on Friday
A summary of sports events and persons who made news on Thursday
A summary of sports events and sports persons, who made news on Saturday.
A summary of sports events and persons who made news on Wednesday