The magnitude of outward FDI from China over the recent years has been
impressive. It is widely acknowledged that China’s government plays an
active role in encouraging its companies to go global and become
multinational as they realise the value of outward FDI. The paper traces
the development of China’s outward direct investment policies and
discusses the various motives of Chinese companies'
internationalisation. More specifically, in this paper we look at the
European continent as the emerging destination for Chinese outward
direct investment and analyse the implication this trend has for
European companies and governments.
Key words: China, multinational companies, emerging economies, outward investment, public policy
JEL classification: F23, O52, E61
UNU-MERIT Working Papers ISSN 1871-9872