infrastructure growth and technology sharing. According to the Japanese Ministry of Foreign Affairs, over 3.3 trillion yen was given in ODA loans to China during this time. While this aid is not technically considered it laid the groundwork for “investment”, future Japanese investment in China. In his 2005 study, Severine Blaise explained the link between Japanese ODA and FDI in China by saying, could expect ODA to “one contribute substantially to the economic growth of a recipient country not only through its direct impact, but also indirectly by promoting the inflows of FDI.” In fact, Blaise’s finding seems to be true: Japanese ODA in China bolstered Japanese investment in China, especially in areas where ODA was directed, which included much of China’s coastal regions. Between 1989 and 2013 China held the position of promising destination of Japanese FDI”. Between the Japanese External “most Trade Organization’s first year of counting Japanese FDI in China, 1987, and 2015, Japanese FDI has increased from millions to billions of US Dollars annually. These same statistics show that Japanese FDI in China has been fairly steady since 2000, until 2013 (see: 5”). There is no denying that Japan has a long history of investment in “Figure China. There is also no denying that Japanese investors have put a lot of money into their Chinese investments, but something changed the status of Japanese investment in China in 2013. Figure 5: Japanese FDI in China: 2000-2015
infrastructure growth and technology sharing. According to the Japanese Ministry of Foreign Affairs, over 3.3 trillion yen was given in ODA loans to China during this time. While this aid is not technically considered “investment”, it laid the groundwork for future Japanese investment in China. In his 2005 study, Severine Blaise explained the link between Japanese ODA and FDI in China by saying, “one could expect ODA to contribute substantially to the economic growth of a recipient country not only through its direct impact, but also indirectly by promoting the inflows of FDI.” In fact, Blaise’s finding seems to be true: Japanese ODA in China bolstered Japanese investment in China, especially in areas where ODA was directed, which included much of China’s coastal regions. Between 1989 and 2013 China held the position of “most promising destination of Japanese FDI”. Between the Japanese External Trade Organization’s first year of counting Japanese FDI in China, 1987, and 2015, Japanese FDI has increased from millions to billions of US Dollars annually. These same statistics show that Japanese FDI in China has been fairly steady since 2000, until 2013 (see: “Figure 5”). There is no denying that Japan has a long history of investment in China. There is also no denying that Japanese investors have put a lot of money into their Chinese investments, but something changed the status of Japanese investment in China in 2013. Figure 5: Japanese FDI in China: 2000-2015
Cuilik%20Thesis.docx