Foreign Capital Reaches $685 billion
China is soaking up the foreign capital…despite having enough foreign reserves to do it themselves.
As of the end of 2006 China had approved more than 590,000 foreign-funded companies and used $685.4 billion U.S. dollars of foreign capital.
From January to February of this year, China used $9.71 billion…up 13% from last year.
New approved enterprises numbered 5,716, up 11.3% from last year.
Presently Chinese companies pay a 25% tax and foreign companies pay 15%.
In Jan/Feb, the top three foreign investors in China were: ![]()
1. Hong Kong – $2.95 billion
2. The British Virgin Islands
3. Japan
I reckon as long as people, companies and countries are willing to pour money in the dragon's huge den, why wouldn't China accept it?
How much is too much investment in China?


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