Illustration generated by AI
On June 1, China's State Council — the nation's Cabinet — released regulations on outbound investment (hereinafter referred to as "the regulations"), which will take effect on July 1. As the country's first comprehensive administrative regulations governing outbound investment, they mark a historic step toward a unified legal framework for overseas investment activities.
They represent an important legal milestone in balancing development and security while advancing high-standard opening-up, with far-reaching historical and practical significance.
China's outbound investment has undergone nearly half a century of development. Since the country first proposed allowing enterprises to establish operations overseas in 1979, outbound direct investment has grown steadily, reaching $174.38 billion in 2025.
Chinese companies have established more than 50,000 enterprises abroad, making China one of the world's major sources of outbound investment.
