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China attracts more service and high-tech manufacturing industries


02-17-2017 08:59 BJT

China's downward FDI figure seems to echo the rumor of FDI fleeing the Mainland market. What's the situation for Chinese FDI and global investment?

As FDI inflow decreases world wide, China still ranks the third in FDI attraction by 139 billion USD in 2016. The figure busts the rumor of "FDI 'fleeing' from the Chinese market".  Still, certain factors have to be taken into account.

The structure of FDI in China keeps improving and focuses more in the fields of capital and technology intensive industries than labor intensive industries.

To attract more foreign investment, Chinese authorities have taken a series of measures.

The 2016 global FDI flows fell by 13 percent year-on-year to 1.52 trillion US dollars, while the figure in China witnessed an increase of 2.3 percent.

China’s need for FDI in the coming five years will total 10 trillion US dollars. This means China's economic growth will continue to register a high level, with structural upgrades and increasing market-oriented foreign investment. And the world's second largest economy will open more fields to attract foreign investment.


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