Advanced Search

Related News

Home » Business » Economy

China FDI remains weak in March

By Wang Yanlin | April 16, 2015, Thursday | Online Edition

GROWTH of China's foreign direct investment remained weak in March, but there was not "a wave of foreign investment withdrawal" as reported by some overseas media, the Ministry of Commerce said today.

Foreign investors channeled US$12.4 billion into the country last month, up 2.2 percent from a year earlier. The growth pace cooled further from the rise of 0.9 percent in February, and compared with the surge of 29.4 percent in January.

Shen Danyang, a spokesman at the ministry, said seasonal factors should be considered as an impact on data, which usually fluctuate much in the first three months of a year due to the Chinese New Year holiday.

"But on the whole, more foreign investors come to China than those pull money out of the country," Shen said, denying recent media reports by certain overseas media saying there was a wave of foreign investment withdrawal in China.

In the first quarter, foreign investment expanded 11.3 percent to US$34.9 billion, with 5,861 new foreign-invested firms being set up in China. In comparison, the number of foreign firms ending their business in China dropped 17.6 percent from a year earlier, while those reducing their investment fell 35.7 percent, Shen said.

"The co-called wave of investment withdrawal is likely a perspective from results of the industrial restructuring, as some manufacturing-sector investors are changing their business in China," Shen said.

As evidenced, foreign investment growth was led by funds in services, which expanded 24.1 percent year on year to US$21.6 billion in the first three months and represented 61.9 percent of the total. Investment in manufacturing contracted 3.6 percent to US$11.2 billion during the period, or 32.2 percent in the basket.

"There are no big changes in China's foreign investment situation, and it is a pure exaggeration to say there is a wave of withdrawal," Shen said.

Meanwhile, China's outbound direct investment rose 0.4 percent to US$8.4 billion in March, moderating sharply from the pace of 68.2 percent in February due to seasonal factors.

In the first three months, China's outbound direct investment added 29.6 percent to US$25.8 billion, with funds flowing into 2,331 overseas companies in 142 countries and regions.

Economy


 

Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.

沪公网安备 31010602000204号

Email this to your friend