Against a backdrop of increasing foreign direct investment screening regulations, geopolitical tension and uncertainty in economic recovery across the globe, Chinese outbound investments face a number of headwinds.
Transactions have been on a downward trend for the past five years, with completed M&A transactions at $24 billion in 2021, compared to $29 billion in 2020 and $138 billion in 2017.
Within China, companies are grappling with the impact of regulatory clampdowns in sectors such as technology and education. Numerous regulations around data and national security concerns have come into effect or are on the horizon. These all have implications on the way Chinese companies are investing abroad.
Meanwhile, the need for investment in sustainable finance, and changes in trade agreements such as the Regional Comprehensive Economic Partnership have opened up opportunities for Chinese investors. Supportive domestic Chinese policies such as a 2060 carbon neutrality target signal outbound M&A interest and support for sectors such as electric vehicles and renewable energy.
In this survey, we ask you questions relating to the overall market trends and regulatory challenges that are affecting Chinese outbound investment, and upcoming opportunities to watch for.
We look forward to receiving your responses and collating the data. There will be a follow-up report based on your responses, which will remain anonymous.
You can take the survey here.
The survey should take only a few minutes to complete. Thank you very much in advance for your participation.
Karry Lai, Asia editor