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International Law,
Corporate

Apr. 4, 2024

Is foreign direct investment exiting China?

China’s foreign direct investment landscape is evolving and there is a potential for resilience and growth through proactive policy implementation, improving geopolitical relations, and lower interest rates.

Yun Chen

Yun Chen is a visiting scholar at UC Berkeley, and an equity partner and founding member of R&P China Lawyers, where she advises and represents foreign and foreign-invested companies on foreign direct investment/M&A, international trade/commercial transactions, general corporate matters, and dispute resolution.

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Recent reports highlight the negative aspects of China’s foreign direct investment (FDI). The somber outlook has been attributed to a blend of geopolitical tensions and policy adjustments, such as the U.S. government’s imposition of restrictions on investments in China. Notably, President Biden’s Executive Order issued last August, which specifically targets technology sectors, has intensified FDI apprehensions.

These developments prompt q...

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