China’s R&D, tech investment inflows show deepening global economic integration despite US decoupling push
Published in 18 November, 2020
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China’s economy deepened its integration with the rest of the world in October, with foreign investment increasing amid strong spending in R&D and the tech sector, even as the Trump administration ramped up efforts to decouple the country from the United States.
The pattern of investment mirrors ongoing changes in the world’s second biggest economy, notably a push by Beijing to accelerate innovation driven growth and gain technological independence in the face of pressure from Washington. China’s commerce ministry said on Monday incoming foreign direct investment (FDI) rose 18.3 per cent in October from a year earlier to 81.87 billion yuan (US$12.4 billion). It was China’s seventh consecutive month of positive annual FDI growth, though expansion cooled from September’s 25.1 per cent year-on-year increase, the sharpest rise since November 2017.
FDI was hit hard in the first quarter at the height of the coronavirus outbreak in China, but it rebounded to gain 6.4 per cent in the first 10 months of the year.
Read more at: South China Morning Post