China's investment costs, such as land, energy, workforce and logistics, generally follow the rule that coastal cities have higher costs than those of inland cities, and developed cities such as the first and second tiered cities have higher costs than other developing cities. In order to encourage more foreign investment in the key industries and related sectors, some local governments have launched a series of preferential policies, and reducing investment costs for foreign enterprises is one of them. To get more details of a city’s investment cost, please refer to the local investment website or go for a field trip.
In recent years, the lower labor costs and improved hardware facilities in central and western regions of China have created a favorable environment for introducing foreign capital. The growth rate of the actual use of foreign capital in the central and western regions is obviously higher than that in the east.