The term wàizī is deeply tied to China's modern history. Before the late 1970s, under a strict state-planned economy, the concept was virtually non-existent. The turning point was the 改革开放 (gǎigé kāifàng) or “Reform and Opening Up” policy, which welcomed wàizī as a critical tool for modernization. In the West, “foreign investment” is a standard, somewhat dry economic term. In China, wàizī carries a much heavier weight. It evokes the story of China's transformation from poverty to an economic superpower. For decades, attracting wàizī was a national priority, seen as a way to acquire not just money, but also advanced technology, modern management skills, and jobs for millions. Therefore, discussions about wàizī are never just about economics. They touch upon national pride, strategic competition, and the country's ongoing debate about self-reliance versus global integration. While celebrated as an engine of growth, it is also sometimes viewed with caution as a source of foreign influence and competition for domestic companies (内资, nèizī).
You will encounter wàizī constantly in formal and semi-formal contexts, especially in the news and business.