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Datawatch

Trade war hammers foreign investment in China and Southeast Asia

New greenfield investment falls to 2009 level as globalization reverses course

The first decrease in GFI in 10 years reflects the increasingly uncertain outlook for economic activity amid the trade war between the U.S. and China. 

TOKYO -- Corporate foreign direct investment, the driver of globalization, is slowing, reflecting weakened business sentiment amid a global trend toward protectionism.

The number of new greenfield investment projects -- the factories, research centers and offices that a company builds when it enters a foreign country -- in the first half of 2019 dropped to the same level as in the second half of 2009, when the world economy was still smarting from the U.S. financial crisis.

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