China's foreign investment stable over year-to-date

China's foreign investment has remained relatively stable for the year-to-date despite uncertainties amid the COVID-19 outbreak and the complex global trade situation, according to the Ministry of Commerce.

According to United Nations Conference on Trade and Development’s latest report, total global cross-border direct investment fell 49 percent in the first half of this year. 

Foreign direct investment from the United States, Singapore, Vietnam and India dropped by 61 percent, 28 percent, 16 percent and 33 percent, respectively; while China dipped only 4 percent in the first half year.

As China’s policies, especially those on stabilizing foreign investment, have been effective so far this year, from January to September, China’s actual use of foreign investment totaled US$103.26 billion, an increase of 2.5 percent over the same period of last year. In yuan term, it totaled 718.81 billion yuan (U$108 billion), up 5.2 percent year on year.

These figures marked that for the first time this year, the two cumulative indicators posted “double positive,” showing a counter-trend growth pattern, according to Zong Changqing, director of foreign investment department at the China Ministry of Commerce.

China has scientifically coordinated the prevention and control of epidemic diseases and economic and social development. As a result, major strategic achievements have been made, and China has taken the lead in the world in restoring order in production and livelihood.

In the first three quarters of 2020, China's economic growth figure turned from negative to positive, to become a “stabilizer” and “safe haven" for global cross-border investment, Zong noted.

"The practice of stabilizing foreign investment since the beginning of this year has once again proved that the attraction of China’s huge market to foreign capital has not changed," Zong said. "Also, the comprehensive competitive advantage in industrial support, human resources and infrastructure has not changed, nor have the expectations and confidence of enterprises in long-term foreign investment and operation in China."

The country's foreign trade in the fourth quarter is expected to extend the current stable and positive trend, meeting the annual target of the stabilization work and bringing the 13th Five-Year Plan to a successful end.