China's Economy Struggles Amid Foreign Investment Exodus

Analysts Predict Possible Slowdown in FDI Withdrawal as Economic Outlook Improves

China is facing a significant withdrawal of foreign investment, with more than $160 billion of earnings pulled out of the country in the 18 months through September 2023.
China's economy is struggling, with declining exports, a slowing property sector, and a contraction in its share of the global economy.
Foreign businesses are increasingly viewing China as a less attractive place to do business due to strained trade and diplomatic relations, as well as Beijing's increased surveillance of foreign firms.
Despite these challenges, some analysts believe the withdrawal of foreign direct investment (FDI) may slow as China's economic outlook improves.
China remains a significant global market, and some foreign companies have continued sourcing goods from the country despite the current economic climate.