
Horus Falcon
2.4K posts






Honda just announced it's closing two factories in China. Most people shrugged. They shouldn't have. Honda sold 1.627 million cars in China in 2020. By 2025 that number had collapsed to 645,000, five straight years of decline, and now the factories in Guangzhou and Wuhan are shutting down. But Honda is not the story. Honda is just the latest chapter. Here's the actual story, told in numbers. In 2021, foreign direct investment(FDI) into China hit an all-time record of $344 billion. By 2023 it had crashed to $33 billion, an 80% collapse in two years. By 2024 net inbound FDI was just $4.5 billion, the lowest figure since 1991. And in the same year, China recorded a net FDI outflow of $168 billion, the single largest capital flight in data going back to 1990. Foreign investors pulled money out. Chinese investors sent $173 billion abroad. Both groups were voting with their wallets at the same time, in the same direction, away from China. This didn't happen overnight. It started with the trade war in 2018 and compounded with every year that followed. Here's who has already left or is in the process of leaving, across every sector. Automotive: Mitsubishi Motors fully exited in 2023 after sales collapsed from 179,000 units in 2018 to just 33,000 in 2022. Honda is now closing two plants. Multiple other automakers are scaling back production capacity. Technology: IBM shut its entire China R&D division in August 2024, affecting over 1,000 employees. Yahoo pulled out in 2021. LinkedIn shut down its social platform in China in 2021. Amazon closed its China Marketplace in 2019 and its Kindle Store in 2023. Blizzard Entertainment, the gaming giant behind World of Warcraft, exited in January 2023. Samsung closed its last Chinese smartphone factory in 2019, its last TV factory in 2020, and its last PC plant in 2022. Consumer and retail: Airbnb suspended all China operations in 2022. Ito-Yokado, Japan's major retail chain, has withdrawn. Nike has been shifting supply chains to Southeast Asia and Africa. Steve Madden moved production to Cambodia and Brazil. Superdry exited the Chinese market entirely. Electronics and manufacturing: Apple has been aggressively diversifying to India and Vietnam, with JP Morgan projecting China's share of Apple production dropping from 95% to under 75%. Google moved Pixel phone production to Vietnam and Thailand. Dell shifted away from Chinese-made chips. GoPro moved US-bound production to Mexico. Panasonic and Sony have both significantly reduced their China footprint. Professional services: Dentons, one of the world's largest law firms, formally split from its Chinese branch. Gallup shut down its China operations. Japanese companies alone have seen withdrawal volumes accelerate every year since 2021, with exits now consistently outpacing new investment. The phrase "world's factory" was built over 40 years. The unwinding is happening faster than almost anyone predicted. And Beijing's response, raids on foreign firms, strict data laws, opaque regulations, and a legal environment where companies cannot trust the rules won't change overnight, has done nothing to slow it. The capital doesn't lie. When $168 billion walks out the door in a single year, that's not a blip. That's a verdict. #China #FDI #CCP #Economy #Manufacturing #SupplyChain #Decoupling #GlobalTrade #Honda #Geopolitics




Should Korea become the 51st state?















I’m a Canadian who’s been living in China for a year. We Muslims get by perfectly fine, thanks for the concern. I get compliments for wearing my keffiyeh, and no one here ever called me a terrorist for supporting Palestine.


It was an honor to host Indonesian Defense Minister @sjafriesjams at the Pentagon today. I was proud to announce that we are elevating our relationship to a Major Defense Cooperation Partnership, in recognition of the strength and potential of our bilateral defense ties.


















