Overseas investment of Australian companies

04 Sep 2017

Tags

  • Edmund Tang
  • International Investment

Investing overseas can help Australian multi-national companies remain competitive and innovative in a rapidly changing international trade and investment environment.

Over one third of Australia’s top 2000 companies hold direct investments in 167 countries, according to Austrade analysis. These 727 companies collectively hold direct investments in a total of 8,172 foreign affiliates of Australian companies. The total points of presence of these companies have exceeded 3000 locations, representing an average of 4.2 points per Australian company. However, the average number varies by industry.

Overall, the top five locations of foreign affiliates of Australian companies are New Zealand (NZ), the USA, the UK, Singapore and Malaysia. These five markets account for more than half of foreign affiliates of Australian companies.

Australian manufacturing companies have invested in the greatest number of foreign companies, followed by mining firms, professional scientific & technical services businesses, companies in the wholesale & retail trade industries and financial & insurance services institutions.

For Australian manufacturers, NZ, the USA, the UK, Malaysia and China are the top five investment destinations. For professional, scientific and technical service providers, the top five markets are NZ, the UK, the USA, Canada and Singapore. For mining companies, the USA, Canada, the UK, NZ and Singapore are the top five markets.

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Foreign Direct Investment of Australian companies by market and industry, 2015-16