UNCTAD

MNCs in the News-2021 January

China receives the largest amount of inward foreign direct investment (FDI) in 2020. China’s 2020 revised catalog of encouraged FDI takes effect increasing the number of encouraged sectors. China issues rules to counteract foreign extraterritorial sanctions affecting its nationals and companies. Renewable energy investments dominate China’s Belt and Road Initiative (BRI) energy infrastructure investments in 2020, though coal remains prominent. India makes ban on dozens of Chinese mobile phone apps permanent due to national security and data privacy concerns. China asks India to clarify its permanent ban against Chinese mobile apps. Japan creates English-language, one stop shop to help foreign financial firms set up operations in Japan. United States (US) sanctions against Huawei and limits on Huawei’s involvement in foreign telecommunications infrastructure projects led Japan’s Sumitomo to turn elsewhere for business. Brexit deal between United Kingdom (UK) and European Union (EU) will keep Nissan producing electric vehicles in the UK. Japan unconvinced Korean President Moon Jae-In’s labeling of a 2018 Supreme Court decision on corporate assets as “undesirable” will solve anything. The head of GM Korea emphasizes labor issues as one of the factors that reduce South Korea’s appeal as a destination for FDI. SK Innovation to invest $895 million into a battery plant in Georgia, a move some feel is about winning a case before the US International Trade Commission. Daewoo Engineering & Construction wins major port facility contracting deal in Iraq. Korea Hydro & Nuclear Power gets contract for major dams in Pakistan.

MNCs in the News-2019-07-12

Inward foreign direct investment (FDI) flows into China continue to grow, especially in the high-tech sector. Chinese Ministry of Commerce (MOFCOM) official states that Inward FDI (IFDI) is not leaving China en masse and that China will “protect the legitimate rights and interests of foreign investors.” Chinese outward FDI (OFDI) to Europe and North America over the first six months of 2019 shows a noticeable decrease over the same period the prior year. Despite a spying incident and Poland’s President saying he was opposed to Chinese OFDI (COFDI) in strategic infrastructure, Poland’s Foreign Minister told visiting Chinese State Councilor Wang Yi Poland is open to COFDI. Korea reacts strongly to Japanese media report in which a senior member of Japan’s Liberal Democratic party charged dual-use chemicals exported to South Korea ended up in the North. Japan is surprised at Seoul’s strong response to it instituting tighter controls on the export of certain chemicals to South Korea and Seoul making the issue a World Trade Organization (WTO) issue. Japan moving towards a formal WTO case regarding Seoul’s provision of subsidies to South Korean shipbuilders. Hyundai Engineering and Construction signs a $2.7 billion contract with Saudi Aramco for two projects relating to a massive oil and gas refining complex.

Dr. Hwy-Chang Moon's picture

Made in Home Country, Host Country, or the World? The need to Revamp Globalization Indices

Dr. Hwy-Chang Moon
Posted: Nov 10, 2016

South Korea is very concerned about its economy because the exports of its major conglomerates like Samsung Electronics and Hyundai Motors have declined. Although their domestic production and exports are decreasing, they are producing more in foreign countries and increasing their exports from these host countries.

MNCs in the News-2015-01-30

United Nations Conference of Trade and Development (UNCTAD) data shows China reigns supreme in terms of inward foreign direct investment (FDI). Despite concerns, business and reform motives drive China’s Ministry of Finance to approve Chia Tai Bright Investment Co. Ltd.’s joint venture (JV) 20 percent stake in Citic Ltd. China moves to intensify support for domestic semiconductor sector to increase information security and advance domestic innovation. Information security in the banking sector becomes a priority for the China Banking Regulatory Commission (CBRC) raising new challenges for foreign firms. China’s requirements for foreign information technology company information disclosures provoke foreign business complaints and calls for “urgent discussions.” Ministry of Industry and Information Technology (MIIT) representative says blockage of VPNs part of measures China adopting to protect Internet security. China will boost the internationalization of its firms through various measures and money. China and African Union sign Memorandum of Understanding (MOU) to advance China’s involvement in African infrastructure and continental integration. Japanese auto parts maker Sanden settles pricing fixing case with the US Justice Department. The Korean Fair Trade Commission (KFTC) probes 5 Japanese and German auto parts companies for price fixing. Seoul awards multiple trillion won public safety network contract to Huawei.

Dr. Jean-Marc F. Blanchard's picture

Heading the opposite of south

Dr. Jean-Marc F. Blanchard
Posted: May 08, 2014

The latest issue of the “Global Investment Monitor” (No. 16), prepared by the United Nations Conference on Trade and Development (UNCTAD), re-affirms a trend that began many years ago which is that developing economies are becoming critical players in the world of outward foreign direct investment (OFDI).