Investment in BRI economies grows 22.5% to 140b yuan in reporting period

China's outbound direct investment has continued to grow in the first eight months of this year, especially in economies involved in the Belt and Road Initiative, the Ministry of Commerce said on Thursday.

From January to August, China's outbound non-financial direct investment reached 585.61 billion yuan ($80.17 billion), up 18.8 percent year-on-year. In particular, Chinese companies' non-financial direct investment in the countries and regions involved in the BRI achieved 140.37 billion yuan, up 22.5 percent on a yearly basis, according to the Ministry of Commerce.

Meanwhile, during the eight months, turnover of China's foreign contracted projects reached 648.62 billion yuan, up 6.1 percent year-on-year. The value of China's newly signed contracts in foreign countries reached 863.34 billion yuan, a year-on-year increase of 2 percent.

The turnover of China's foreign contracted projects in the economies involved in the BRI reached 529.52 billion yuan, up 4.8 percent year-on-year. The value of China's newly signed contracts in BRI economies achieved 725.35 billion yuan, up 5.6 percent year-on-year, the ministry said.

Shenzhen CLOU Electronics Co Ltd, a subsidiary of Chinese home appliance maker Midea Group and a player in the global energy storage market, announced earlier this month that it established a company in the United States to strengthen its business in the North American market and further consolidate its industry position globally.

"Midea Group has strong confidence in the green energy sector. We will leverage our expertise in energy storage to dive deep into the green energy market. The establishment of the new company in the US will enable us to further penetrate the global market, including North America," said Fu Yongjun, vice-president of Shunde, Guangdong province-based Midea Group.

Additionally, the 10th China-European Union High-level Economic and Trade Dialogue will be held in Beijing on Monday and Chinese Vice-Premier He Lifeng will co-chair the meeting with European Commissioner for Trade Valdis Dombrovskis, said He Yadong, a spokesperson of the ministry during a news conference in Beijing on Thursday.

Speaking at a forum hosted by the Center for China and Globalization in Beijing on Thursday, Wu Hongbo, special representative of the Chinese government on European affairs, noted that both China and Europe have substantial untapped potential for cooperation.

"We have identified several promising areas for collaboration, including the green economy, digitalization, artificial intelligence and high-end manufacturing," Wu said.

"As the EU is a strong advocate of open economies and a staunch supporter of green development, fair and equitable international competition should act as a catalyst for its green development and transformation," he said.

Wu added that by replacing confrontation with cooperation, both China and the EU can enhance their ability to prevent and resolve risks while contributing to global economic development.

On another front, with the upcoming Mid-Autumn Festival and National Day holiday, a traditional peak period of consumption in China, the Ministry of Commerce is organizing a group of activities to help boost domestic spending.

The ministry will also help promote the introduction of a batch of policies and measures to support the aftermarket of cars to further push the accelerated consumption recovery in China.