Environmental Outcomes of COFDI in Southeast Asia

China’s environmental and social impact in Association of Southeast Asian Nations countries have been pronounced because Chinese outward foreign direct investment (FDI) has been flowing into Southeast Asia (SEA) at an unprecedented rate.  Chinese outward FDI (OFDI) is much welcomed in SEA given its potential economic benefits and contribution to development.  Nevertheless, the impact of Chinese OFDI (COFDI) on the environmental fabric of host countries in SEA has been dramatic.  Drawing upon cases from three SEA countries (Cambodia, Vietnam, and Malaysia), Chapter 10 shows COFDI generally has negative environmental impacts such as the loss of carbon sinks and biodiversity, decreases in water quality, and increased pollution.  It also demonstrates that regime type, economic development level, and relations with China and local regulatory capacity shape witnessed environmental outcomes.  This chapter’s findings illuminate how SEA countries can mitigate COFDI’s adverse environmental effects.  More information about the book can be found at https://www.routledge.com/The-Effects-of-Chinese-FDI-in-Southeast-Asia-Cheer-Commonsense-and-Clarification-Along-the-Belt-and-Road/Blanchard/p/book/9781041066002.