Chinese firms step up global push as FDI flows hit $192bn

Chinese enterprises are accelerating their overseas expansion, with the country’s outbound direct investment flow climbing to USD 192.2 billion in 2024, according to the latest research note from 36Kr’s research institute. The figures, drawn from Ministry of Commerce data, point to a steady five-year growth trajectory that is reshaping the global footprint of Chinese manufacturers, including the country’s sprawling fishing tackle supply chain.

Between 2020 and 2024, China’s outward FDI flow expanded from USD 153.71 billion to USD 192.2 billion, equating to a compound annual growth rate of 5.75 percent. China’s share of global outbound investment also edged upward, reaching 11.9 percent by the end of the period, underscoring the country’s rising influence as a capital exporter at a time when cross-border deal-making has been clouded by geopolitical friction and a sluggish global recovery.

Non-financial sectors continue to dominate the outward push, with capital flowing into manufacturing, infrastructure, energy and consumer goods — categories that cover most of the rod, reel, lure and accessory exporters serving buyers in Europe, North America and emerging markets. These industries remain the backbone of China’s overseas investment pipeline, even as regulators and corporate strategists weigh the cost of tariff regimes, shipping disruptions and currency volatility.

Financial services, the report notes, are increasingly travelling in tandem with the real economy. Banks, insurers and fintech platforms are deepening their cross-border footprint to support clients setting up distribution arms, bonded warehouses and after-sales networks overseas. For tackle brands looking to establish wholly foreign-owned subsidiaries in markets from Southeast Asia to Eastern Europe, the parallel build-out of Chinese financial infrastructure is lowering the friction of operating capital across borders.

The 36Kr study frames 2025 and 2026 as a period in which Chinese companies will continue to balance opportunity against risk. While destinations such as the Middle East, Africa and Latin America are offering new demand pools and preferential investment terms, traditional strongholds in Europe and the United States remain attractive but increasingly conditional. Buyers and brand owners in the tackle trade are watching closely, as the investment climate shapes everything from OEM pricing to the availability of credit for inventory financing.

For the fishing tackle industry specifically, the report’s findings carry practical weight. Many of the country’s largest rod blanks, reel and soft-plastic lure manufacturers have been channelling outward investment into Vietnam, Indonesia, Mexico and Morocco to diversify production away from a single-country base. That capital deployment has accelerated since 2022, and the latest FDI figures suggest the trend still has runway.

Analysts quoted in the report argue that the next phase of Chinese outbound investment will be defined less by headline volume and more by depth of integration. Companies are moving from greenfield factories and trading offices toward acquiring distribution channels, registering local brands, and embedding service operations in destination markets — a maturation that mirrors the trajectory seen in Chinese consumer electronics and white goods exporters over the past decade.

The report also flags regulatory headwinds. Tightened screening in Europe and the United States, combined with mounting scrutiny of state-linked capital, is pushing Chinese firms to favour minority stakes, joint ventures and indirect holdings. For mid-sized tackle producers, this often means partnering with local distributors or buying into established retail chains rather than launching new entities from scratch.

Against this backdrop, the headline USD 192.2 billion figure should be read as a floor rather than a ceiling. The 36Kr researchers project continued growth in non-financial outflows through 2026, with services and digital trade emerging as the fastest-rising components. For buyers sourcing from China, the message is clear: the exporters underpinning their catalogues are increasingly global in structure, capital base and risk profile — a shift that is changing how supply chains are priced, financed and secured.

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