China is experiencing an exodus of foreign investment and talent



ORIGINAL POST
Posted by Ed 3 mths ago
Demand for Chinese goods is weak. Foreign companies continue to shift parts of their supply chains elsewhere. Even student exchanges and tourist visits are tumbling.
 

The signs of historically weak overseas investment in China are everywhere. And not just in the traditional sense of FDI - or foreign direct investment - inflows, though those are at record lows.
 

Demand for Chinese goods is weak. Foreign companies continue to shift parts of their supply chains elsewhere. Even student exchanges and tourist visits are tumbling.
 

There are many reasons, but they circle back to two main ones: China's economy remains weak, and foreigners no longer feel safe in the country, financially or personally.
 

Even the number of students going to China has cratered. More than 11,000 Americans studied in China in 2019. That number has fallen to a mere 350 this year, according to the U.S. Embassy in Beijing.
 

But, first, how bad is the foreign exodus exactly? The short answer: very bad.
 

Last month, observers expected Beijing to announce weak inbound FDI numbers - but even the pessimists were shocked.
 
https://www.morningstar.com/news/marketwatch/20231130390/china-is-experiencing-an-exodus-of-foreign-investment-and-talent-xi-jinping-is-getting-worried 

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