After having been the top destination of inward foreign direct investment (FDI) for decades, China’s investment orientation has become increasingly outward looking, and global. In 2014, China’s outbound FDI surpassed inbound FDI for the first time. And between January and April 2016, China became number one in outward FDI globally. In the near term, China’s overseas investments are expected to grow at 10 percent annually, and exceed US$2 trillion by 2020.
While Chinese companies are benefitting from taking advantage of emerging opportunities around the world, the rise in Chinese outbound FDI is occurring at a time of unprecedented risks – some of which are familiar and some of which are unknown.
