Foreign Direct Investment in China Declines as Companies Rethink Strategy

Foreign direct investment (FDI) into China has declined in recent months due to new working models adopted by international companies and Beijing’s emphasis on self-reliance. According to data from the Ministry of Commerce, new actual utilized foreign investment in March fell 38% compared to the same month in 2023. This decline follows a trend of slower growth in foreign investment since the first quarter of the year.

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