China broadens foreign investment list in renewed pitch for overseas capital

China is taking steps to reshape the direction of its foreign investment, unveiling a revised catalogue of encouraged industries that steers overseas capital towards the advanced and technologically complex sectors Beijing’s policymakers view as future growth drivers.

The revised catalogue, which takes effect in February 2026, covers 1,679 industries – 205 more than the current version, which was released in 2022.

In a statement on Wednesday, the Ministry of Commerce said the changes are aimed at “strengthening China’s appeal to foreign investors, improving support services for foreign-funded firms and creating a more transparent, stable and predictable business environment”.

Yuan Qian, a lead researcher at the Chinese Academy of Macroeconomic Research, was quoted by state broadcaster CCTV as saying the catalogue is a core policy tool for promoting foreign investment and optimising the country’s industrial mix.

He said the catalogue helps China “better counter an adverse external environment by offsetting external uncertainty with the certainty of its own development, while providing global investors with clear, stable and transparent investment expectations”.

Greater emphasis has also been placed on modern services, with high-end shipping, virtual power plants, pet healthcare, sports tourism, camping, homestays

, property services, internet-enabled healthcare and other sectors added to the catalogue.