Empirical Study on Manufacturing Outward Foreign Direct Investment and Premature Deindustrialization

Based on the data of 283 cities in China from 2005 to 2017, this paper constructs a dynamic panel model to study the relationship between China’s manufacturing outward foreign direct investments and deindustrialization. The results show that the manufacturing outward foreign direct investment will accelerate deindustrialization on the whole, but this effect will be obviously various with the difference of source region, ownership, investment mode and investment motive. Further mechanism analysis found that manufacturing outward foreign direct investment mainly affects deindustrialization by influencing domestic investment and imports.
東南アジア研究年報 , 57, pp.17-32; 2022