Last month, The Heritage Foundation, a conservative American think-tank, published its annual map (above) of China’s direct foreign investment (FDI) by destination, covering investments of at least $100 million made in 2011. The data comes from its China Global Investment Tracker, which goes back five years.
The dominant aspect of Chinese investment in 2010 was a rush to South America, led by (but not limited to) Brazil. Other features include a jump in new, large construction contracts and fewer failed transactions. Chinese investment in the U.S. in 2010 was steady at a bit over $6 billion but far more diversified than in 2009.
No great surprises there, though the map does highlight the ubiquity of Chinese FDI last year.
In a new blog post, Derek Scissors, Research Fellow in Asia Economic Policy in the Asian Studies Center at The Heritage Foundation, lays out the Foundation’s policy prescriptions. These include clarifying which areas of America’s natural resources and manufacturing are open to Chinese FDI and “sharpening the mandate” of the Committee on Foreign Investment in the United States (Cfius), an inter-agency committee comprised of representatives of 16 U.S. government departments and agencies that reviews the national security implications of foreign investments in the U.S.