EU leadership in FDI is being challenged
The EU remains the single most important region for both outward and inward foreign direct investment, but increasingly it is Asia and the rest of the world that accounts for the bigger share of flows, meaning European leadership in this area is under threat.
It is essential for European industry that the EU remains competitive as a destination — and a source — for direct investment. Government and EU policies can help or hinder investment flows, but are rarely neutral. This is a priority for the EU’s economic diplomacy.