Over 10,000 Newly Established Foreign-Invested Enterprises in China in Q1... 25.5% Increase

In the first quarter of this year (January to March), the number of newly established foreign-invested enterprises in China reached approximately 10,000.

On the 11th, China’s state-run broadcaster CCTV reported that the number of newly established foreign-invested enterprises in China in the first quarter exceeded 10,000, marking a 25.5% increase compared to the previous year. In particular, Shandong and Zhejiang provinces saw increases of 36.9% and 42.1%, respectively.

Since transitioning to a with-COVID-19 policy at the end of last year, China has been actively attracting foreign investment to boost its previously sluggish economic growth. CCTV explained, "Many foreign-invested enterprises are optimistic about the Chinese market," adding that "they are continuously increasing their capital, expanding production, and accelerating project construction." As a representative example, the construction of the Shanghai Legoland Resort was mentioned, emphasizing that approximately 550 million USD (about 733.4 billion KRW) has been invested in the project.

As of the first quarter, the total foreign investment utilized across China increased by 4.9% year-on-year, with the high-tech industry sector surging by 18%. Among these, the electronic communication equipment manufacturing and science and technology transfer service sectors showed rapid growth, jumping more than 50%.

Overseas investment in China also continues to grow. France’s investment in China in the first quarter increased by 635.5% compared to the previous year, while the UK and Germany saw increases of 680.3% and 60.8%, respectively. South Korea, which has been experiencing political and diplomatic tensions with China, also increased its investment in China by 36.5% in the first quarter. French aerospace company Airbus is currently undertaking a project in Chengdu, Sichuan Province in southwestern China to build a retired aircraft dismantling and recycling service center, with a total investment scale of 6 billion yuan (about 1.1483 trillion KRW).