EVENT: Political Science and International Relations Seminar Series 2014: Chinese Foreign Direct Investment: How to Deal With Our New Neighbour?

China changes fast. The country is no longer only about toys or other labour intensive products. Today, almost 40% of China’s export is considered high-tech, and most companies invest in China not because of its low wages but because of its market and growing urban middle class. Another indicator of this fast changing context is China’s flows of foreign direct investment (FDI): in 2000 China’s FDI inflow/outflow ratio was 45:1, however between 2000 and 2014 the inflow/outflow ratio shifted to almost 1:1. The enormous rise of Chinese outward investments that started with the launch of the “Going Global” strategy in 1999 has made policymakers nervous, and raised questions regarding how they should respond to their new neighbour. There are many questions regarding these new Chinese investments abroad, including are they successful? Should we be sensitive to Chinese investors? And what may we expect in the next decade from Chinese companies going abroad? During the seminar we will discuss these issues based on the latest investment data and in-depth case studies.

Haico Ebbers is Professor of International Economics at Nyenrode Business University in the Netherlands, and chairman of the Nyenrode Europe China Institute. He also holds visiting professorships at Renmin University in Beijing, University of East Anglia in London, and Sichuan University in Chengdu. His latest publications focus on China’s integration in the world economy and its impact on the European Union.