HONG KONG – After years of caution that followed the 2016 to 2017 peak, Chinese companies are moving back into overseas acquisitions. This new wave looks more focused than before. It centers on critical resources, safer supply chains, and the fast rise of AI computing infrastructure.
In January 2026, outbound mergers and acquisitions (M&A) from Greater China climbed to almost $12 billion. That is the strongest January total since 2017, based on Bloomberg reporting and analyst estimates.
The jump comes after a solid 2025. Last year, newly announced outbound foreign direct investment (FDI) hit $124 billion, up 18% year over year, according to the Rhodium Group’s China Cross-Border Monitor. While it still trails the 2016 high, the 2025 result was the best since 2018.
What’s driving it? Beijing’s priorities have shifted. Companies want raw inputs for high-tech production, more control over supply chains, and enough energy to support AI data centers and advanced factories.
What’s Powering the Comeback
A few trends help explain why overseas deals are back in favor:
- A quieter easing of rules in Beijing: After officials cracked down on “irrational” outbound buying in the late 2010s, approvals have become smoother for deals tied to strategic goals.
- Pressure at home: Slower growth in China is pushing firms to look abroad for returns, customers, and new channels.
- A changing map for global investing: Because the US and other Western markets now screen more deals, more capital is flowing to Asia, Africa, the Middle East, and Latin America.
- A tighter focus on strategic industries: About half of outbound investment now goes into energy and minerals, which support both AI infrastructure and the energy shift.
Rhodium’s figures show greenfield projects led in 2025, totaling about $100 billion. At the same time, outbound M&A nearly doubled from the 2022 low, reaching $26 billion for the year. Deals above $1 billion also became more common.
Big Deals That Show Where Money Is Going
Recent transactions give a clear picture of this revival:
- Anta Sports buys into Puma: In late January 2026, Anta Sports purchased a 29.06% stake in German sportswear brand Puma from France’s Pinault family for about $1.8 billion (€1.5 billion). Anta became Puma’s largest shareholder, gaining global reach without taking full control.
- Mining takes center stage: Zijin Mining’s roughly $4 billion deal for Canada’s Allied Gold Corp. highlights the push for metals. In another move, CMOC agreed to pay $1 billion for Equinox Gold’s Brazilian assets.
- More bets on Africa’s mineral base: Chinese firms have made multi-billion-dollar commitments across sub-Saharan Africa for copper, lithium, cobalt, and gold. Players like CMOC and Zijin have increased positions in projects that often connect to the Belt and Road Initiative (BRI) financing.
Together, these deals show a two-track approach. Consumer brands offer access to markets, while resource assets support industrial supply and long-term planning.
Energy and Minerals Now Lead Chinese Outbound Investment
Energy (both fossil fuels and renewables) and basic materials now make up close to half of announced outbound FDI. That’s a sharp change from earlier years, and it ties directly to demand inside China.
- AI growth raises power needs: New data centers need huge amounts of electricity and cooling. As a result, firms are investing in power generation and key inputs like copper for wiring and rare earths for components.
- Supply security matters more: Beijing wants stable access to transition metals as global competition increases.
- Capital is shifting by region: Asia drew about $40 billion in 2025 announcements, including factories and data center projects. Sub-Saharan Africa and the Middle East and North Africa also saw record interest, mainly in mining, energy, and processing.
Rhodium analysts point out how far the balance has moved. North America captured only 2.6% of 2025 FDI, down from 27% about a decade ago. Meanwhile, many emerging markets offer fewer roadblocks and fit China’s long-term resource strategy.
2025 in Numbers
- Announced outbound FDI: $124 billion (up 18% year over year)
- Completed FDI: $73 billion (up 14% year over year, best since 2019)
- Greenfield investment: $100 billion (led by mining, data centers, and energy)
- M&A value: $26 billion (strongest since the early slowdown period)
- Leading sectors: Energy and minerals (about 50%), plus consumer goods and manufacturing
China’s official figures also show outbound direct investment (ODI) at $174.4 billion in 2025, up 7.1%. Non-financial ODI rose by a smaller amount.
What Could Slow It Down, and What Comes Next
Even with the strong start, risks remain. Some countries still review Chinese deals closely. In addition, projects don’t always turn into finished assets, since delays and cancellations happen. Domestic economic challenges could also cool the pace.
Still, many observers expect activity to stay high. BNP Paribas analyst Richard Griffiths has pointed to rising outbound M&A interest across Asia-Pacific. Rhodium also expects energy and materials deals to continue because they tend to be large and long-term by nature.
For global markets, this return of Chinese outbound buying could shift supply chains and raise competition for critical minerals. For now, January’s nearly $12 billion in deals suggests overseas acquisition activity is back in a big way.
