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Most European Investments in China Are From a Few Firms, Study Says

  • Top 10 investors made up about 80% of total FDI in 2018-2021
  • Some German firms are especially active, Rhodium report shows
Volkswagen AG electric vehicles at the automaker's factory, operated with local partner SAIC Motor Corp., in Shanghai, China.

Volkswagen AG electric vehicles at the automaker's factory, operated with local partner SAIC Motor Corp., in Shanghai, China.

Photographer: Qilai Shen/Bloomberg

European investments in China have grown increasingly concentrated around a handful of large corporations, most of them German, according to a study by Rhodium Group.

From 2018 through 2021, the top 10 European companies investing in China made up nearly 80%, on average, of total investments from the continent, the report published Thursday showed. German businesses contributed more than two-fifths of the money pouring into the world’s second-largest economy from Europe.