For the past decade, China's outward foreign direct investment (OFDI) has dramatically increased due to government policies that encourage Chinese entrepreneurs to invest internationally. Most of the investment has remained in Asia, and little of it has gone to manufacturing. Ken Davies of the Vale Columbia Center on Sustainable International Investment examines China's OFDI practices.
The recent recession has offered Chinese multinational companies investment opportunities, as they were not as severely affected as their counterparts. While China is late in OFDI compared to countries such as Brazil, its OFDI exploded from only $4 billion in 1990 to $246 billion at the end of 2009. To read more about these investments and the players involved, please see Vale Columbia's full report.
Vale Columbia Center: Outward FDI from China and its policy context
China has become a major force in outward foreign direct investment, with $246 billion of funds invested as of 2009.
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