New risks arise for overseas companies

China could face both prolonged risks and new challenges in safeguarding its overseas interests this year, a think tank's blue book has predicted, citing the uncertainty of the China-US ties and the persistent conflicts in the Middle East and Eurasia.

It suggested overseas Chinese enterprises and institutions be better prepared to deal with the investment and tariff issues, the negative impacts and opportunities of US trade policies, and gain a comprehensive understanding of local relevant laws and regulations.

China Overseas Security Risk Blue Book (2025), jointly released by the National Security Institute of Renmin University and the China Overseas Security Research Institute on Friday, said that the accelerated restructuring of supply chains, emerging challenges of the digital era and heightened political instability in many countries also bring uncertainties to China's overseas security.

The blue book has been published for nine consecutive years.

Statistics showed that by the end of 2022, China had established 47,000 overseas enterprises in 190 countries and regions, spanning industries such as business services, manufacturing, finance and renewable energy.

The number of Chinese students studying abroad reached 1.088 million, while nearly 260,000 labor personnel were dispatched by Chinese enterprises in 2022. In the first half of 2023, outbound tourism exceeded 40 million trips.

Zheng Shuiquan, deputy secretary of the Party committee of Renmin University of China, said with China's increased flows of its capital, enterprises and personnel overseas due to its intensified engagement in international economic and trade cooperation and cultural exchanges, it has become more and more important to ensure their security and safeguard the country's overseas interests.

Li Xiangyang, director of the National Institute of International Strategy at the Chinese Academy of Social Sciences, said that Southeast Asia and Europe are the two major destinations for Chinese enterprises operating overseas.

He noted that "America First" economic policies could disrupt the supply chains in Asia, which will affect Chinese investments in the region.

Meanwhile, in Europe, the rise of right-wing governments brings uncertainties to the investment environment, he said, adding that Europe's "de-risking" policies and its potential alignment with US strategies could further introduce uncertainties to China-Europe cooperation.

Lou Chunhao, deputy head of the China Institutes of Contemporary International Relations, said that Washington's policies toward Beijing will have broader impacts at both regional and global levels.

The major power rivalry exposes many Global South countries cooperating with China to the risk of bloc confrontations and pressures to take sides, posing risks for Chinese projects and interests in those countries, Lou said.

zhoujin@chinadaily.com.cn