Chinese R&D Goes Global

China is transforming from recipient of foreign direct investment to source as its firms set up new research and development operations. Chinese firms have announced nine new overseas research centers during the first half of 2016, reports Financial Times, as compared with the United States, 16 projects; Germany, 10; and Japan, 7. “It comes at a time when Beijing is gradually liberalising its regulations on outward investment, even pushing local companies to look for opportunities abroad to increase their competitiveness and global footprint away from the slowing domestic economy,” reports Jacopo Dettoni. He adds that Chinese firms have also pledged $53.2billion for investment. Huawei, a telecommunications firm, is among the most active, opening a mathematics research center in France in June. Pharmaceutical and biotech companies are also active investors. Research leads to new products, technology and other innovations, while also increasing jobs and productivity. – YaleGlobal