China Reports 4.3% Decline in Foreign Investment for First Three Quarters
China's commerce ministry reports a 4.3% drop in foreign investment inflows, even as high-tech sector interest surges by 33.8% amid global headwinds.
POLICY WIRE — Beijing, China — Foreign capital inflows into China experienced a 4.3% year-on-year decline during the first three quarters, reaching a total of 548.8 billion yuan, or $82.2 billion. This latest data from the nation’s commerce ministry indicates a slight improvement compared to the 5.3% contraction observed during the first eight months of the year.
While inbound investment faced challenges, China’s outbound non-financial direct investment reached a total of $101 billion for the same period. Officials have pointed to a combination of weak growth momentum, rising protectionism, and intensifying geopolitical conflicts as primary factors hindering the country’s ability to attract foreign capital.
Despite the broader downward trend, the high-tech sector provided a notable bright spot. Investment in this industry climbed 33.8% year-on-year through the first nine months, driven largely by robust activity in research and development, design services, and other technology-focused fields.
Reporting by Policy-Wire (PW)
