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Under the understanding of foreign investment, the operating procedure of universal material testing machine will rise against the trend, and the stock will rise to the sixth in the world.

China's foreign investment will rise against the trend, and the growth is rapid, and the global ranking of foreign investment stock is expected to rise from the tenth to the sixth in the world. According to the 2016 world investment report released by the United Nations Conference on Trade and development to the global market in the early morning of Beijing time on the 22nd, the total inflow of FDI jumped by 38% in 2015, reaching $1.76 trillion, the highest level since 2008. Among them, US $721billion in cross-border mergers and acquisitions has become the main driving force for the recovery and rebound of global FDI

however, affected by the slowdown of global economic growth, the growth rate of global FDI has declined significantly this year, and will continue to decline in the second half of the year, with a decline of 10% to 15% expected for the whole year. Against this background, China's outward investment has bucked the trend and increased rapidly, and the global ranking of outward investment stock is expected to rise from the tenth to the sixth in the world. Experts pointed out that looking forward to the 13th Five Year Plan period, the amount of China's foreign investment will exceed the scale of foreign investment, and China will become a net foreign investor in terms of flow

recovery in 2015, the total inflow of global FDI jumped by nearly 40%. According to the 2016 World Investment Report (hereinafter referred to as the report), the global FDI recovered strongly in 2015, with the total inflow jumping by 38% to $1.76 trillion, the highest level since 2008. The amount of cross-border mergers and acquisitions soared from $432billion in 2014 to $721billion in 2015, which was the main driving force behind the strong rebound in global FDI last year. At the same time, the announced green space investment projects have also reached a high level of $766billion

it is noteworthy that from the perspective of regional structure, the proportion of developed countries and developing countries has reversed. Compared with the absorption of foreign investment by developing countries in recent years, developed countries regained their dominant position in 2015. Whether from the perspective of absorbing foreign investment or foreign investment, the dominant position of developed countries has been strengthened, and the proportion has surpassed that of developing countries. The report shows that the FDI inflow of the entire developed economies almost doubled in 2015, reaching US $962billion, accounting for 55% of global FDI in 2015 from 41% in 2014. FDI inflows from developing economies increased by 9%, reaching a new high of $765billion. Developing economies continue to account for half of the host countries with the top 10 FDI inflows in the world

from the perspective of the source of global FDI, the dominant position of developed countries has also been strengthened. Foreign investment in developed economies increased by 33 percent to $1.1 trillion. Nevertheless, its outward direct investment is still 40% lower than the peak in 2007. The performance of major developed regions is also different. The foreign investment in Europe increased to $576billion, making it the largest foreign investment region in the world. The amount of foreign investment in North America was basically the same as that in 2014

in addition, the industry structure of global FDI has changed significantly: FDI in the primary industry has decreased significantly, while FDI in manufacturing has increased. Affected by the sharp decline in commodity prices since the middle of 2014, multinational companies in the oil and mining industry have significantly reduced capital expenditure, which helps us grasp the development trend of various adhesive utilization industries. The reduction of profits in turn affects the scale of their profit reinvestment. Therefore, FDI in the primary industry fell sharply. At the same time, due to some large-scale transactions in pharmaceutical and other industries, the proportion of manufacturing industry in the global total cross-border mergers and acquisitions has increased to more than 50%. From the perspective of global FDI stock, the proportion of service industry continues to maintain at more than 60%

the report shows that China's utilization of foreign capital has maintained a steady growth. In 2015, China's foreign capital inflow increased by 6% to US $135.6 billion. The full experimental results are also inaccurate. The global ranking fell from the first place last year to the second place, second only to the United States. From the perspective of the stock of foreign capital, China ranks fourth in the world. However, the industrial and regional structure of FDI in China continues to be optimized, and the quality has been improved. From the perspective of global comparison, UNCTAD's survey shows that China is still one of the most attractive investment destinations

in terms of foreign investment, China's foreign investment increased by 4% in 2015, reaching US $127.6 billion, continuing to rank third in the world; China's foreign investment stock has exceeded US $1trillion, ranking 10th in the world

cooling down this year, global foreign investment will decline by 10% to 15%

it is noteworthy that an important reason for the sharp growth of global FDI in 2015 is the large-scale internal restructuring of companies. The report points out that, in fact, cross-border M & A transactions related to internal restructuring of the company have led to huge capital flows under the balance of payments capital of relevant countries, but such transactions have not had a substantial impact on the company's operations. If the moisture brought by the reorganization of such companies is excluded from the statistics, the actual growth rate of global FDI in 2015 is only 15%

even if the growth rate is only 15%, it cannot continue this year. In the first five months of this year, global FDI has fallen sharply. Zhan Xiaoning, director of UNCTAD's investment and enterprise division, pointed out that the downward trend is expected to continue in the second half of the year, with a decrease of 10% to 15% for the whole year. He said that the judgment on the prospects of global investment flows is mainly based on the fact that the global economic recovery is still weak, total demand continues to be weak, the economies of commodity exporting countries are still facing great difficulties, and the prices of primary products are difficult to rebound significantly. UNCTAD's analysis of the profits of transnational corporations also shows that the profits of transnational corporations generally declined last year, and the cash in the hands of transnational corporations is also decreasing. In addition, the turbulence and instability caused by global regional conflicts have also had an impact on the expansion of transnational corporations. At the policy level, the government has also taken stricter measures against reverse transactions for the purpose of anti tax avoidance

UNCTAD research shows that the overall expectation of multinational executives for international investment in 2016 is not optimistic, and has improved in the next two years. In the first four months of 2016, the amount of global cross-border mergers and acquisitions decreased by 32% compared with the same period last year, which also indicates the decline of global FDI. The report shows that in the medium term, with the recovery of world economic growth expectations, global FDI is expected to resume growth in 2017 and reach the level of $1.8 trillion in 2018

Zhan Xiaoning also pointed out that the ownership structure of international investment is becoming increasingly complex, and the nationality of investors is also increasingly blurred. UNCTAD data show that more than 40% of the subsidiaries and other overseas branches of transnational corporations have such problems, that is, under the complex ownership structure, the nationality of the direct owner and the ultimate owner of foreign-funded enterprises may be different. Multinational companies control overseas entities with far less than 50% minority equity through lengthy and complex cross-border ownership chains, third-party holdings, cross shareholdings, circular shareholdings and other means, thus forming de facto control. This will undoubtedly bring challenges to the foreign investment policy

potential China's outward investment stock will rise to the sixth in the world

against the backdrop of a sharp slowdown in global capital flows this year, China's outward investment has bucked the trend and increased rapidly. UNCTAD statistics show that in the first five months of this year, China's outward investment amounted to about US $73.5 billion, an increase of 62% year-on-year

one rise and one fall can highlight the eye-catching performance of China's foreign investment. Zhan Xiaoning said that driven by the wave of large-scale overseas mergers and acquisitions, China has become a major source of foreign capital for some developed countries. At the same time, with the promotion of the the Belt and Road initiative and international production capacity cooperation, China's investment in developing countries also continued to grow at a high speed. He pointed out that it is expected that China's overseas mergers and acquisitions will continue. In addition to the growth of domestic enterprises, domestic overcapacity and industrial transfer, an important reason is that the international financing cost has reached a new low in history. For example, some major national currencies have negative interest rates, there are a large number of assets that can be acquired in the international market, and the asset prices are relatively cheap. It is expected that the growth of China's outward investment will accelerate this year, and the ranking of outward investment stock is expected to rise to the sixth place