China High-Tech Investment Surges Despite Overall FDI Decline
China saw a 32.7 percent increase in high-tech foreign investment through July 2026, offsetting a 6.2 percent drop in overall foreign direct investment.
The Ministry of Commerce reported that China recorded a 4.4 percent year-on-year increase in newly established foreign-invested enterprises during the first seven months of 2026, with 37,711 new firms created.
While overall foreign direct investment in actual use declined 6.2 percent to 438.33 billion yuan, investment in high-tech industries surged 32.7 percent to 182.31 billion yuan. This sector now represents 41.6 percent of the national total, with significant growth concentrated in electronic equipment manufacturing, R&D, and sci-tech commercialization. Substantial investment increases were also noted from France, Saudi Arabia, and the Republic of Korea.
To stabilize these inflows, the government implemented a 15-measure action plan in June. This followed an update to the Catalogue of Encouraged Industries for Foreign Investment in February, which aimed to attract capital specifically into modern services and advanced manufacturing.
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