China's FDI strength is good for Asia

Despite the concerns in non-China Asia, China''s strength in FDI could be a force for good within the region.

Asia should be now considering its life after China's WTO entry. Some are concerned that China would become a major deflationary force in Asia. Others are worried that China would inflict significant damages in Asia's growth by pulling foreign investment away from the rest of Asia and by intensifying Asia's production hollow-out process to the Mainland.

While the first concern is valid, as entry into the WTO will help consolidate China's competitive power, the second fear is flawed. Asia has not lost and will not lose foreign investment to China. Rather, China's improving economic well being will benefit Asia's exports in the long-term and act as an external force to push Asia's economic restructuring. There...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222