China’s state assets watchdog has established a new department to oversee foreign investments, as firms continue to expand their global footprint amid an increasingly turbulent geopolitical outlook.
The new bureau, launched by the State-owned Assets Supervision and Administration Commission of the State Council (SASAC) on Wednesday, will guide state-owned enterprises in their international operations, according to its website.
It will also be responsible for helping firms optimise and restructure their overseas assets, as well as strengthening risk prevention for their investments and handling emergencies and crises abroad.
A growing number of Chinese firms have looked to overseas markets for new growth opportunities in recent years, as they continue to face sluggish demand and intensifying competition at home.
China is a net exporter of capital, with outbound direct investments rising 7.1 per cent to US$174.38 billion last year, data from the Ministry of Commerce showed.
And while a number of high-profile private firms are rapidly going global, state-owned firms still dominate China’s overseas investments. According to the latest statistical bulletin, state assets accounted for 64.6 per cent of the country’s outward foreign direct investment stock in 2024.
