The Development of Global Partnerships Through Chinese Outward Foreign Direct Investment: Political Networks Reshaping Economic Geography

This study investigates how the outward foreign direct investment (OFDI) of Chinese enterprises contributes to the development of global partnerships and the reconfiguration of global economic geography. Using a comprehensive dataset of Chinese publicly traded companies, this research examines their OFDI activities alongside international initiatives, policy documents, foreign aid programs, and inter-organisational collaborations. Through social network analysis, the study maps the intricate web of political and economic ties established through these investments, offering insights into their global implications and strategic significance. In addition to corporate-level OFDI data, this study integrates policy texts, news articles, and public announcements to extract critical information on China’s collaborations with international organisations, global alliances, and both formal and informal networks. These data are used to construct a political cooperation network that captures the breadth and depth of China’s international engagements. By analysing this network, the research delves deeper into the economic pathways facilitated by China’s OFDI and examines the role of political collaboration in shaping these pathways. Building on the framework of Sustainable Development Goal 17 (SDG17), which emphasises strengthening global partnerships for sustainable development, this research highlights the critical role of Chinese enterprises in fostering international collaboration. Specifically, it explores how Chinese companies utilise OFDI to advance sustainable development, facilitate technology transfer, and build capacity in host countries. The Belt and Road Initiative (BRI) serves as a central case study, providing a lens through which to analyse how China leverages its investments to deepen global connectivity, promote trade integration, and enhance its position in international economic governance. Preliminary findings indicate that Chinese enterprises play a pivotal role in constructing and strengthening global partnerships, guided by a blend of domestic policies and international commitments. Their OFDI activities frequently drive infrastructure development, expand trade networks, and promote regional economic integration in host countries. Simultaneously, these activities enhance China’s global influence, positioning it as a central actor in the shifting dynamics of global economic power and a leader in reconfiguring economic geography. The political cooperation network analysis further reveals the importance of formal and informal collaborations, such as partnerships with international organisations and aid mechanisms, in supporting these economic outcomes and consolidating China’s global presence. This study contributes to the understanding of political networks forged through China’s OFDI and their transformative impact on global economic structures. By examining the intersections of state-led capitalism, international collaboration, and global governance, it sheds light on the mechanisms through which China’s international investments contribute to economic development while reshaping global economic geography. The findings provide valuable insights for policymakers and scholars in international political economy, global development strategies, and global governance, particularly in the context of China’s ascent as a key global player. This research underscores the importance of viewing China’s OFDI not just as economic transactions but as critical tools in building global partnerships and advancing the country’s strategic position in the evolving global order.