Chinese foreign direct investment in the US fell from $7.5 billion in 2020 to $5.7 billion last year, marking a ten-year low. Investment was led by a handful of deals in non-sensitive sectors: entertainment, consumer products, and real estate. The muted FDI picture stands in contrast to Chinese venture capital investment in the US, which accelerated to a record $3.4 billion last year. FDI trends are likely to persist in 2022, and venture capital activity will likely moderate amid a broader slowdown in the US venture capital market.
