China’s FDI Drops 13.4% Despite Strong High-Tech Investment

Foreign direct investment (FDI) in China dropped 13.4% year-on-year to CNY 467.34 billion in the first seven months of 2025, amid global economic uncertainty. By sector, the manufacturing industry attracted CNY 121.04 billion, while the services sector accounted for a larger share at CNY 336.25 billion. High-tech industries remained a bright spot, drawing CNY 137.36 billion in actual foreign investment. Within that segment, e-commerce services surged 146.8%, aerospace and equipment manufacturing rose 42.2%, chemical pharmaceutical manufacturing grew 37.4%, and medical equipment and device manufacturing increased 25.5%. From a regional perspective, ASEAN investment rose 1.1%, while Switzerland, Japan, and the UK recorded sharp gains of 63.9%, 53.7%, and 19.5%, respectively. Despite the overall decline, foreign interest in China’s high-tech sectors remained robust, highlighting continued investor focus on advanced industries.