Foreign investors flocked to China in greater numbers last year, establishing 70,392 new entities—a 19.1% increase over 2024—yet committed less capital overall. Actual FDI utilization stood at 747.69 billion yuan, down 9.5%, as reported by the Ministry of Commerce on January 23.
High-tech industries emerged as the clear winners, securing 241.77 billion yuan with remarkable sector-specific surges: 75% in e-commerce services, 42.1% in medical equipment and machinery, and 22.9% in aerospace. Services raked in 545.12 billion yuan total, compared to manufacturing’s 185.51 billion yuan.
Notable spikes came from Switzerland (66.8%), UAE (27.3%), and the UK (15.9%), reflecting trust in China’s innovation ecosystem despite broader headwinds.
This dichotomy—more players, smaller pots—mirrors global caution amid inflation and recessions. China’s countermeasures, from optimized regulations to tech parks, aim to reverse the trend. As 2025 wraps, optimism persists for a rebound, with high-tech as the growth engine propelling the world’s second-largest economy forward.