26th November 2025: January-October FDI

XINHE: On 19^th November, the European Commission announced the launch of an anti-dumping investigation into robotic lawnmowers from China, marking a further escalation of trade tensions between the two markets.

RUI: Theprobe was launched in response to a complaint that dumping of robotic lawnmowers from China is causing injury to EU industry. The EU’s investigation notice noted that robotic lawnmowers are directly promoted by the Made in China 2025 plan, among other top-level Chinese policies. The development is a further evidence that strategic sectors covered by the Made in China 2025 plan are likely to continue exacerbating EU-China trade tensions, as outlined in the Chamber’s April 2025 report: Made in China 2025: The Cost of Technological Leadership.The Chinese lawnmower industry relies heavily on exports to the EU, with the market making up over 40 per cent of robotic lawnmower exports according to Chinese customs data, meaning that any measures adopted as a result of the investigation could have significant ramifications for Chinese companies.

(Music)

XINHE: Data released by China’s Ministry of Commerce on 21^st November indicated a year-on-year decline in actual use of foreign direct investment—or FDI—for the January to October period.

RUI: FDI utilisation amounted to 621 billion yuan for the first 10 months of the year, down 10.3 per cent from the same period last year. By sector, manufacturing utilised nearly 162 billion yuan in FDI, services close to 446 billion yuan, and high-tech industries close to 193 billion yuan. Notably, FDI utilisation in the e-commerce services sector surged by 173.1 per cent, while investment in medical instruments and equipment manufacturing jumped by 41.4 per cent. The ongoing decline in FDI is likely driven by a number of factors, from long-standing grievances about the China market held by foreign companies such as unequal treatment in procurement, to complex geopolitical factors, all of which have made it increasingly challenging for some companies to justify further investment in China.

(Music)

XINHE: On 23^rd November, Chinese Premier Li Qiang met with German Chancelor Friedrich Merz on the sidelines of the G20 Summit in South Africa.

RUI: In addition to calling for deeper Germany-China cooperation on key economic and environmental issues, Premier Li Qiang—who noted that 2025 marks the 50^th anniversary of the establishment of EU-China diplomatic relations—asked for Germany to push the EU to view relations with China “from a longer-term perspective, with a broader vision and a more open mindset.” According to China’s statement on the meeting, Chancellor Friedrich Merz noted Germany’s willingness to play a “constructive role in promoting EU-China dialogue”. The meeting marks an improvement in Germany-China bilateral ties, with Merz expected to visit China in 2026. However, overall EU-China relations are likely to remain contentious in the face of growing trade imbalances and heightened economic and national security concerns in the EU, spurred by recent developments like China’s export controls on rare earth elements.

(Music)

XINHE: The 30^th United Nations Climate Change Conference—or COP30—concluded on 21^st November in Belem, Brazil. Attending parties came to an agreement that aims to maintain the goal of limiting the global average temperature rise to 1.5 degrees Celsius, something first set out by the Paris Agreement in 2015.

RUI: Both the EU and China released statements affirming their commitment to follow through on the conference’s goals, noting the importance of international cooperation to address climate change. The agreed Belem Political Package includes two major initiatives—the Global Implementation Accelerator and the Belém Mission to 1.5°C— both designed to help countries achieve their national climate targets.

(Music)

XINHE: The European Chamber is holding its 25^th anniversary celebration dinner on Friday 12^th December in Beijing.

RUI: The dinner will honour the work and accomplishments of the Chamber, reflecting on its quarter century of advocacy aimed at improving the business environment and levelling the playing field for European companies operating in China. Senior Chinese and European officials, the ambassador of the EU Delegation to China, ambassadors from EU Member State embassies, and senior executives from companies, media and academia will be in attendance. Tickets and sponsorship packages are on sale now, with European Chamber members prioritised.

XINHE: Purchase a ticket at the link in the description or reach out to us about sponsorship packages while availability lasts.

(Music)

RUI: Thanks for listening, and don’t forget to tune in again next week.

XINHE: In the meantime, please find useful links in the episode notes.

Leave a Reply Cancel reply

Categories