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Foreign Investment in the U.S. Continues to Decline

Foreign direct investment in the U.S. has been dropping. Specifically, expenditures by foreign direct investors…

  • September 7, 2018

Foreign direct investment in the U.S. has been dropping.

Specifically, expenditures by foreign direct investors to acquire, establish, or expand U.S. businesses totaled $259.6 billion in 2017, according to the Bureau of Economic Analysis.

They were down 32 percent from $379.7 billion in 2016 and were below the annual average of $359.9 billion for 2014-2016.

As in previous years, acquisitions of existing businesses accounted for a large majority of total expenditures.

In 2017, expenditures for acquisitions were $253.2 billion, expenditures to establish new U.S. businesses were $4.1 billion, and expenditures to expand existing foreign-owned businesses were $2.4 billion.

Planned total expenditures, which include both first-year and planned future expenditures until completion for projects initiated in 2017, were $278.0 billion.

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