Investment Interactions in Northeast Asia: the Impact of Fragmentation Processes in the Global Economy
Authors
Denis V. Suslov
The Economic Research Institute FEB RAS
Автор
Keywords:
Foreign Direct Investments,
northeast Asia,
fragmentation,
geopolitical risks
Abstract
The paper examines current global and regional (for Northeast Asian countries) trends in foreign direct investment (FDI) in 2015-2024. The identifi fragmentation processes in world economy are fundamentally changing the FDI landscape in Northeast Asia. The region is no longer a monolithic «world factory» of a global economy. Today the region represents a complex mosaic of interconnected but fragmented capital fl in the form of FDI, where investment decisions are based on market assessments, taking into account geopolitical risks, national security considerations, and sustainability desire (or uncertainty minimization). China’s economy is adapting to these processes, Japan and the Republic of Korea are diversifying FDI fl The Southeast Asian region as a whole is benefi from this investment redistribution.