Country-Specific Advantage and the “Promotion and Protection System for the Investment Interests of Chinese MNEs”

This chapter examines China’s outward foreign direct investment (OFDI) policies from the perspective of International Political Economy, focusing on the Promotion and Protection system for the investment interests of Chinese multinational enterprises. The chapter analyzes how the Chinese government has used this system to guide and protect Chinese companies’ OFDI activities, and how this has helped to offset the adverse effects of political risk changes in host countries. The chapter concludes that China’s Promotion and Protection system has been effective in promoting safe and sustainable OFDI.