EL7.AI
StocksMedium•27 October 2026•
2 min read

China’s Foreign Investment Falls 4.3% in First Nine Months

Key Facts

1China’s utilized foreign investment fell 4.3% to 548.81 billion yuan in January-September 2026.
2Utilized foreign investment in high-tech industries rose 33.8%, accounting for 41.6% of the total in January-September 2026.
3The CSI 300 lost about 20% from its June peak through October 22, 2026.
4The number of new foreign-invested companies reached 47,800, down 2.3% year on year in January-September 2026.

China’s utilized foreign investment fell 4.3% year on year to 548.81 billion yuan in the January-September 2026 period, according to the Chinese Ministry of Commerce. The data showed this investment rose 2.5% year on year in September alone. The comparison between the cumulative total and the latest monthly data points to different trends across the two periods. In high-tech sectors, utilized foreign investment rose during the first nine months. The figures come as Chinese stocks fell, with the CSI 300 recording losses in October, according to Bloomberg.

Technology transfer services grew 76.8%, while research and development and design services rose 59.2%. Investment in the manufacture of electronic and communications equipment also increased 32.8%. These rates highlight growth in technology-related fields, against a decline in overall foreign investment over the nine months. But the ministry’s data do not establish that investment movements caused Chinese stocks to fall.

The number of new foreign-invested companies in China reached 47,800 in January-September 2026, down 2.3% year on year, according to the ministry. At the market level, a Bloomberg report said Chinese stocks had lost $2.4 trillion from their May peak through October 22. On October 22, the CSI 300 fell 1.8% at the close, bringing its losses from its June peak to 20%. The report linked the weakness in stocks to declining consumption and growing doubts about the ability of artificial intelligence companies to make profits. The Associated Press said volatility in AI stocks was linked to concerns about the cost of borrowing to build data centers and buy more chips.

China’s National Bureau of Statistics has tentatively scheduled the release of its monthly October Purchasing Managers’ Index report for October 31 at 9:30 local time. The manufacturing index reading was 50.1 in September, up 0.3 percentage points from the previous month and entering expansion territory. The upcoming reading will provide an indicator of manufacturing activity, while remaining separate from interpretations of stock movements. On corporate earnings, the Associated Press said Alphabet and Microsoft were scheduled to report their latest quarterly results on Wednesday, and Amazon on Thursday. The results may show whether spending on artificial intelligence is delivering the promised profits and productivity, according to the agency.