Date
20 October 2017

China Jan FDI up 16.11%, ODI up 47.2%, MoC says

Cross-border investment in China gained ground in the first month of 2014, with foreign direct investment (FDI) up 16.11 percent to US$10.76 billion in January from a year earlier, the Ministry of Commerce said in Beijing Tuesday.

FDI inflows into China also rose to a record US$117.6 billion last year.

More than half of the new investment in January — US$6.33 billion – went into China’s services industry, while investment in manufacturing fell 21.7 percent, the ministry said.

Ministry spokesman Shen Danyang {沈丹陽} said China’s economic reforms, especially in the services sector, helped boost the confidence of foreign investors.

“The double-digit growth in FDI in January answered the question of whether China’s investment environment remains favorable,” Shen said. “We expect foreign direct investment to maintain relatively sound momentum this year amid higher competitiveness among companies and better utilization of FDI to improve our industry structure.”

Investment from Asia as a whole rose 22.16 percent to US$9.55 billion in the first month of the year, with inflow from Hong Kong rising 37.69 percent to US$7.86 billion and that from South Korea nearly doubling to US$261 million.

Investment from the United States climbed 34.9 percent to US$369 million while investors from the 28-member European Union (EU) cut back their contribution by 41.25 percent to US$482 million during the period, the ministry said.

Meanwhile, outbound direct investment on non-financial projects from China also jumped 47.2 percent to US$7.23 billion in January. The country put US$4.58 billion into seven major economies — Hong Kong, the Association of Southeast Asian Nations (ASEAN), the EU, Australia, the US, Russia and Japan, accounting for 63.3 percent of the country’s total outbound investment.

Japan received five times and Russia almost three times the amount of Chinese investment they took in over the same period last year, while investment to Hong Kong grew 53.3 percent and to the US 14 percent.

But, Chinese investment was down 37.8 percent in the EU, 32 percent in ASEAN and 24.2 percent in Australia.

– Contact HKEJ at [email protected]

AM/SK

 

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