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US-China investment flows slide to nine year-low as bilateral tensions escalate

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Investment between the United States and China tumbled to a nine-year low in the first half of 2020, hit by bilateral tensions that could see more ...

Investment between the United States and China tumbled to a nine-year low in the first half of 2020, hit by bilateral tensions that could see more Chinese companies come under pressure to divest U.S. operations, a research report said.

Investment, both direct investment by companies and venture capital flows, between the two countries fell 16.2per cent to US$10.9 billion in January-June from the same period a year earlier - also hurt by the coronavirus pandemic, according to figures from consultancy Rhodium Group.That's a far cry from half-yearly totals of nearly US$40 billion seen in 2016 and 2017.

This has included putting telecoms giant Huawei Technologies Co Ltd on its trade blacklist, threatening similar action for Semiconductor Manufacturing International Corp and ordering TikTok owner ByteDance to divest the short-form video app.

 

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