Japan investment in U.S. hits record amid China concerns

Trump's targeting of trade deficit seen potentially accelerating FDI shift

20250210N Fanuc Michigan

Robot maker Fanuc is among the Japanese companies to build new U.S. facilities in recent years. © Reuters

YOHEI HIROSE

TOKYO -- Net foreign direct investment by Japan in the U.S. reached a record high of 11.73 trillion yen ($77.3 billion) in 2024, Japanese government data shows, continuing its rise while economic and geopolitical concerns chilled spending in China.

Japan's global outward FDI grew 17% on the year to 31.63 trillion yen on a net basis, the highest figure in data going back to 1996, according to preliminary balance-of-payments data released Monday by the Ministry of Finance. This includes acquisitions of foreign companies and spending on overseas facilities, minus capital withdrawn.

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