The Changing Trend of FDI Patterns in China

Foreign direct investments (FDIs) are making a significant contribution to China's economic growth. From 1979 to 1999 a large amount of realized FDI in the amount of U.S.$307.5 billion flowed into China, particularly into the industrial/manufacturing sector. This paper discusses potential impacts of FDI on three Chinese industries: primary industry (related to agriculture such as farming, forestry, and husbandry); secondary industry (industrial mining, manufacturing, water supply, construction, among others); and tertiary industry (service sectors and others). In addition, it sheds light on industrial structural change resulting from FDIs.