China Second in Global FDI Holdings

China ranked second worldwide in foreign direct investment stock in 2025, reaching 26.8 trillion yuan (approximately $3.98 trillion). Growth continued for six consecutive years, with 461,000 companies reporting, an increase of 5.7% compared to 2024. The manufacturing sector achieved a higher profit margin by 2.2 percentage points compared to major industrial companies. Additionally, foreign companies contributed one-third of the country's merchandise trade and tax revenues, while providing over 30 million jobs annually. Investment in high-tech industries grew by 35.1%, reaching 200.26 billion yuan during the first eight months of 2026. China aims to enhance the attraction of investments in advanced and high-value-added sectors through strategic plans and improvements in the investment environment, including a list of industries encouraged for foreign investment.

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