Suchergebnisse

As recently as 2002, Southeast Asian politicians and business leaders fretted publicly about losing foreign direct investment (FDI) originally earmarked for the region to China. They are more sanguine these days. Chinese companies not only look to Southeast Asia to supply raw materials to feed China's industrialization; they are increasingly investing there. Analysts understandably focus on China sucking in over US Dollar 50 billion of inward FDI per year - some of which was indeed previously earmarked for Southeast Asia - but in doing so they rarely notice that the flipside of Chinese investment is the rising wave of mainland outward direct investment (ODI), particulary into neighbouring countries. This paper notes the trend by way of a preliminary investigation into two broad issues: what sort of mainland companies are moving into ASEAN and how much are they investing; and what are the potential effects of that investment? Initial data suggest that most mainland investment comes via state-owned interprise (SOEs). And although in is impossible to know how much mainland money flows into Southeast Asia, it is certainly more than the US Dollar 2 billion for 2002 cited in official Chinese statistics. Growing Chinese investment in ASEAN has important implications, two of which are briefly canvassed: the effect of increasing Chinese investment on sanctions regimes designed to improve human rights (with specific reference to Burma), and whether pressure can be maintained on foreign investors to comply with international labour standards in the face of Chinese investment. (Pac Rev/DÜI)

The rise of outward foreign direct investment from ASEAN / Sineenat Sermcheep -- ASEAN's outward foreign direct investment / Aekapol Chongvilaivan and Jayant Menon -- The impact of the ASEAN Economic Community on outward FDI in ASEAN countries / Pitchaya Sirivunnabood -- Determinants of Singapore's outward FDI / Cassey Lee, Chew Ging Lee, and Michael Yeo -- Outward foreign direct investment from Malaysia / Tham Siew Yean, Teo Yen Nee, and Andrew Kam Jia Yi -- Indonesia's outward foreign direct investment / Maxensius Tri Sambodo -- Factors influencing Thailand's outward FDI / Kornkarun Cheewatrakoolpong and Panutat Satchachai -- Outward foreign direct investment, the case of Vietnam / Hoang Thi Thu -- Myanmar as a destination for OFDI, a new ASEAN foreign investment frontier / Jean-Pierre A. Verbiest and Tin Htoo Naing

Although Malaysia is well known as a host economy, there is little research on its investment abroad even though this has been steadily increasing over time. Using a case study approach based on Dunning's OLI framework, seven firms are studied in order to understand their motivations to invest abroad as well as home & host country policies that have facilitated or hindered their investments. The main motivations for these firms to invest abroad are quite varied, ranging from the low labor cost advantage in the host country, saturation of the domestic Malaysian market, as well as the need to enhance their export-competitiveness in third-country markets & to exploit the domestic market potential in other countries. The main home country policy that has benefited the companies in their overseas investment is the full tax exemption on income earned overseas. Host country policies such as tax incentives, while attractive, are not considered to be critical in their investment decisions. Equity constraints are also not considered as obstacles. Tables, References. Adapted from the source document.