The disruptions to global economic activity that resulted from the COVID-19 pandemic have negatively impacted foreign direct investment, including China’s investment abroad. China’s foreign investment surged over the past few decades, with its focus changing as the country has developed, however global political tensions – particularly with the United States – slowed FDI prior to COVID-19 and could remain a constraint in years to come

For further details, please see the China Economic Update – October 2020.