π¨π³ China's FDI contraction is slowing, but the capital replacing Western inflows is a weaker grade
The day in view
π¨π³ China's FDI contraction is slowing, but the capital replacing Western inflows is a weaker grade
Utilized FDI fell 8.6% year on year through May 2026, an improvement on the 10.3% drop through April. High-tech inflows are rising but increasingly sourced from European and Asian capital that is more transactional and less technology-intensive than what it replaces.