China News Service, Beijing, January 13 (Reporter Wang Enbo) The new crown pneumonia epidemic has not affected the steady and healthy development of China's foreign direct investment.
The "Blue Book on Overseas Development of Enterprises: Report on Overseas Development of Chinese Enterprises (2020)" released in Beijing on the 13th pointed out that Chinese enterprises are making efforts to deploy high-end global industrial chains, and the structure of China's foreign direct investment is expected to be further optimized.
This blue book, jointly released by the Beijing Enterprise International Management Research Base of University of International Business and Economics, and Social Science Literature Press, pointed out that due to the global pandemic of the new crown pneumonia epidemic, the intensification of international trade frictions, and the rising risk of global economic recession, the future China's foreign trade development will face unprecedented severe challenges in time.
In this context, it is necessary to further optimize the layout of Chinese enterprises' foreign investment.
It is worth noting that this trend has already appeared.
The Blue Book stated that as China enters the deepening stage of industrial restructuring, more and more Chinese companies are carrying out large-scale cross-border mergers and acquisitions in areas that support structural adjustment and transformation and upgrading. Chinese companies have begun to deploy and make efforts to the high-end of the global industrial chain to drive external Direct investment began to transform from the secondary industry to the tertiary industry.
Based on this, the Blue Book predicts that in the future, Chinese companies will further increase greenfield investment and overseas mergers and acquisitions in high-tech and high-value-added emerging industries, high-end service industries, and consumer goods industries in the international market.
In addition, since 2018, the global foreign investment environment has undergone important changes, and some Western developed countries have introduced regulatory measures that restrict foreign investment.
Affected by this, it may become more difficult for Chinese companies to conduct overseas M&A investments in the future.
Chinese companies have also responded to this.
The Blue Book found that in 2020, the regional market for Chinese enterprises' direct investment abroad began to shift to Asian markets and developing economies.
In recent years, the economic growth rate of these regional markets has been higher than the growth rate of European and American countries, and the market development potential and development prospects are good, which is conducive to the promotion of related investment and development of Chinese enterprises.
The Blue Book specifically mentions that many countries participating in the joint construction of the “Belt and Road” have huge demand for new and improved infrastructure, which will drive the development of related product trade and investment activities. It is expected that Chinese companies will continue to increase investment in this area.
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