On August 2, the Department of Commerce of Hunan Province held a meeting to analyze the business and open economy situation in the first half of 2025 (H1). It announced that Hunan's actual foreign direct investment (FDI) increased by 23% to 420 million USD in H1, which was 39 percentage points higher than the national average growth rate.

Hunan has been increasingly attractive to foreign investment. In early March, the Hunan Huangye Industry Co., Ltd. got off to a successful start in its overseas business through an equity merger with Malaysia's Minko International Sdn Bhd. The company's first shipment of 10,000 tonnes of palm oil arrived at the port and was stored in the warehouse, completing a cross-border transaction worth 100 million CNY. In April, nearly 10 German companies brought their products or technologies to the Hunan Xiangjiang New Area, with two German SME headquarters projects and two Hunan-German cooperation projects signed and implemented.

Foreign-invested enterprises serve as a vital force for Hunan, introducing globally leading technologies, high-end talents, and advanced management methods to Hunan. Their contributions play a crucial role in driving the province's industries toward the mid-to-high end, promoting technological innovation, and expanding employment opportunities. In the first six months of this year, Hunan's FDI structure saw a significant optimization, with foreign investment in the service sector growing 100.95% and that in high-tech manufacturing surging 117.9% respectively. The FDI proportion from developed countries such as the United States, Europe, Japan, and South Korea increased 14.5 percentage points.

In addition, 930 newly-registered enterprises were established by Hunan entrepreneurs returning to their hometowns for investment in H1, achieving an accumulative investment of 299.82 billion CNY. A total of 513 major projects worth 286.05 billion CNY were newly introduced, including 65 projects each worth one billion CNY or more and three projects each worth 10 billion CNY or more.

This article is from the Hunan Provincial Government www.enghunan.gov.cn.

Translator: Yu Jiangjiang

Chinese source: hunan.gov.cn