The quality of foreign direct investment (FDI) in the Chinese mainland has significantly improved, with experts expressing confidence that the next big opportunities are still within China.
In a recent episode of the “Talking China” debate show, Wang Wen, dean of Chongyang Institute for Financial Studies at Renmin University of China, highlighted that China remains among the top three countries globally in attracting FDI. He noted substantial growth in sectors like medical equipment, professional technical services, and computer manufacturing.
“Over 50,000 new foreign-invested enterprises were established in China this year, marking a 9.9 percent increase year on year,” Wang said, emphasizing the nation’s attractiveness to foreign investors.
Wang also pointed out that China’s non-financial outbound direct investment (ODI) rose by 10.5 percent year on year, reinforcing its position as a major player in global investment.
Li Cheng, founding director of the Center on Contemporary China and the World at the University of Hong Kong, addressed concerns from some U.S. businesses, suggesting that their apprehensions stem more from restrictive policies by the U.S. government rather than issues within China.
“The real question is whether China’s economic prospects are good or bad. I believe they are very good,” Li stated. He argued that criticisms of China’s market are often taken out of context and lack proper comparison with other economies.
“If China’s market isn’t promising, then which market is?” Li challenged. “In terms of massive market development, the next China is still in China.”
