Japan's direct investment in China rose 19.8 percent to a record 6.53 billion US dollars in 2005, according to a recent report issued by Japan External Trade Organization.��

According to the report, Japan's direct investment in China began to rise sharply since the latter half of last year as many Japanese automakers moved to set up manufacturing bases in China and conducted a series of large-scale investments. Besides, a number of Japanese auto parts makers also increased investment in China.

In the meanwhile, Japanese electronics producers also planned to increase electronics products supply to China.

In addition, investment from Japan's chemical medicine, finance, insurance, retail, machinery and many other sectors exceeded 30 billion yen last year.

The report estimates China will remain Japan's Asia investment center for a period.

By People's Daily Online