Chart of the Day: China’s Outbound Investment Stops Expanding

China’s annual outward foreign direct investment stopped expanding in 2017, ending a 15-year growth spurt, according to a report released by the Chinese Ministry of Commerce.

China’s foreign direct investment outflows declined to $158.29 billion in 2017, a 19.3% fall from $196.15 billion in 2016. This is the first contraction since the country started recording the data in 2003.

While Europe and Africa saw a significant surge in Chinese investment, China’s direct investment in the U.S. dropped 62.1% in 2017 to $6.43 billion, according to the report. In 2017, $18.46 billion of Chinese investment flowed into Europe, representing a 72.7% year-on-year increase. Chinese investment in Africa reached $4.1 billion, a 70.8% increase from the year before.

Chinese investments overseas have been put under increasing scrutiny in recent months, especially in the U.S., due to rising national security concerns and complaints of forced technology transfers.

Contact reporter Charlotte Yang (yutingyang@caixin.com)