FDI capital into China decreased sharply

VTV.vn - Foreign companies are limiting investment expansion in China, leading to a 51% decrease in net FDI in the third quarter of 2025, the lowest since the beginning of 2022.

Workers work at a factory in Harbin, Heilongjiang province, China. (Photo: THX/TTXVN)

Foreign companies currently doing business in China are cutting back on investment in the country amid cautious forecasts about the growth prospects of the world's second-largest economy .

The move caused net capital flows to fall 51% to $8.5 billion in the July-September 2025 period.

Foreign direct investment (FDI) continued its downward trend despite foreign companies investing in a number of new factories.

FDI figures for the July-September period, released in balance of payments data on November 7, were 92% lower than the quarterly peak recorded in the January-March 2022 period.

FDI has been falling since the second quarter of 2022, when the COVID-19 pandemic lockdown disrupted China's economy.

The third quarter of 2023 saw the first negative figure, indicating a net capital outflow. China's gross domestic product (GDP) in the third quarter of 2025 increased by 4.8% compared to the same period in 2024, slowing down from the 5.2% growth in the second quarter of 2025.

Earlier this week, Starbucks announced that local investment fund Boyu Capital would acquire up to a 60% stake in its retail business in China.

The US-based coffee giant is making efforts to restructure here with local capital amid fierce competition from domestic rivals./.

Source: https://vtv.vn/von-fdi-vao-trung-quoc-giam-manh-100251109101806812.htm