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Better but Not Well: China’s Global Investment Needs More Fuel
AEI
2024.01.19
In 2023, China’s documented global investment grew strongly off a poor 2022. The electric vehicle supply chain, starting with nickel mining in Indonesia, attracted the most funds. China’s global construction was flat, but implementation of construction takes longer.
A surge after the end of “zero-COVID” policies makes sense. But official Chinese outbound investment remains exaggerated because the Ministry of Commerce claims COVID-19 was good for outbound investment in 2020-21. Overwhelming evidence says otherwise.
Chinese investment in the US in 2023 was low. In contrast, American investment in China in 2023 is unknown, and American investment in Chinese technology in any year is unknown. This lack of information is more pressing than China’s current global spending.