Foreign Investment Into China Hit 3-Year Low in January

Despite Beijing’s efforts to woe back investors, China saw a record high of $168 billion in net foreign direct investment withdrawal in 2024.

A man walks into an office building next to the site of new skyscrapers under construction in the Central Business District in Beijing on Nov. 29, 2024. Kevin Frayer/Getty Images

Foreign direct investment into China declined by 13 percent year-on-year in January, official data released on Feb. 19 show, highlighting the difficulties Beijing faces in winning back foreign companies amid ongoing geopolitical tensions.

The Chinese Ministry of Commerce reported that utilized foreign direct investment plummeted to 98 billion yuan ($13 billion) in January, marking the lowest start to the year in three years. This figure is down from 113 billion yuan ($16 billion) in the same month last year and from 128 billion yuan ($18 billion) in January 2023.