Foreign direct investment in China showed further signs of stabilization in the first half of 2026, with inflows posting year-on-year growth in both May and June and the overall decline narrowing sharply, underscoring improving investor confidence despite global economic uncertainties, said officials, experts and executives.

Data from the Ministry of Commerce shows that China's actual use of FDI totaled 402.14 billion yuan ($59.3 billion) in the first half of this year, with the decline narrowing by 10.2 percentage points compared with the same period last year. In June alone, the actual use of FDI increased 15.1 percent year-on-year, marking the second consecutive month of growth.

"Foreign investment in China remains on a stable footing, with recent data pointing to a trend of stabilization and recovery," Meng Huating, head of the ministry's Department of Foreign Investment Administration, said on Thursday at a news conference in Beijing.

Zhou Mi, a senior researcher at the Chinese Academy of International Trade and Economic Cooperation, attributed the positive signs to the resilience and long-term growth prospects of the Chinese economy, coupled with the country's sustained market-opening efforts and investment facilitation measures.