FDI Flows between China and ASEAN: Emerging Factors and Prospect

Economic relations between China and ASEAN have further intensified since the 1990s. Foreign direct investment (FDI) flows between the two economic giants have reached a new high, attracting the attention of policy-makers and economists. The present paper investigates recent contextual changes and identifies some significant emerging factors that exert influence on the flows of FDI between China and ASEAN. This paper also analyzes the development trend of FDI between the two economies, and it is found that the FDI flows are at a historical turning point. Copyright The official journal of The Institute of World Economics and Politics, Chinese Academy of Social Sciences (CASS) 2006.