U.S. Leads Brazil's FDI Stock As China's Share Remains Modest

(MENAFN- The Rio Times) Brazil ended 2024 with an inward foreign direct investment (FDI) position of $1.141 trillion. By ultimate controlling parent, the United States accounted for roughly $232.8 billion (about 26 percent).

France held approximately $69.3 billion (8 percent), Uruguay $58.4 billion (7 percent), Spain $50.0 billion (6 percent), and the Netherlands $48.6 billion (5 percent).

China's cumulative position remained below $50 billion. Annual flows from China in 2024 were on the order of $4.2 billion, according to sectoral tallies for that year.

Sectorally, Brazil 's FDI stock is distributed across a broad base. Significant shares are found in manufacturing activities and in financial and insurance services.

Other relevant recipient segments include oil and gas extraction, commerce, electricity and gas (including generation and transmission), chemicals, and motor vehicles and parts.



These patterns point to a mix of industrial and services investment rather than a concentration in a single activity. Interpreting country rankings requires distinguishing between the“immediate investor” and the“ultimate controlling parent.”

Because many multinationals channel investments through financial centers, immediate-investor tables often feature conduit jurisdictions that do not reflect the final ownership of the capital. Ultimate-owner statistics provide a clearer view of which economies control the invested enterprises in Brazil.

China's presence in Brazil remains meaningful but comparatively small next to that of the United States and leading European sources when measured by stock.

Reported Chinese projects in recent years have featured electricity and energy assets among other areas, while manufacturing projects have also been recorded. The relative scale of each source country's participation varies by sector and over time.

Policy choices can influence how incoming capital translates into productivity gains, employment, and export diversification.

Measures that improve the investment climate, deepen technology diffusion, strengthen training and local supplier development, and maintain predictable regulation can enhance benefits regardless of source country.

Transparent monitoring of sector outcomes and consistent treatment across investors can help Brazil consolidate a balanced, higher-value FDI profile aligned with long-term growth goals.
Note:
.“Equity Stake” is the Central Bank's reported holdings by country of record.
.“Adjusted by Controller” reallocates that stake to the ultimate investor's home country, stripping out holding-company and tax-haven effects.

Country	Equity Stake (US$ bn)	Share of Total	Prominent Sectors	Adjusted Stake by Controller (US$ bn)	Adjusted Share of Total
United States	244.7	28%	Manufacturing (25%), Financial services (22%)	232.8	26%
Netherlands	145.5	16%	Holding companies, Utilities, Trade	48.6	5%
Luxembourg	79.2	9%	Pass-through finance, Mining, Agribusiness	-	-
France	63.3	7%	Industry, Financial services	69.3	8%
Spain	61.0	7%	Utilities, Commerce	50.0	6%
Uruguay	58.4	7%	Banking, Agriculture, Logistics	58.4	7%
United Kingdom	31.0	4%	Services, Financial	-	-
Japan	27.8	3%	Automotive, Electronics	-	-
Germany	21.9	2%	Machinery, Chemicals	-	-
Canada	21.1	2%	Extractives, Services	-	-
Cayman Islands	20.7	2%	Intercompany loans in Mining & Agribusiness	-	-

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