WASHINGTON — Foreign direct investment into the United States reached a record level in 2025, with foreign investors spending more than $230 billion to acquire, establish, or expand U.S. businesses, according to preliminary data released by the U.S. Bureau of Economic Analysis (BEA). The agency said on June 10 that investment expenditures totaled about $232 billion in 2025, rising from the previous year’s level.
The BEA said the increase reflected higher spending across several categories of investment, with acquisitions of existing U.S. businesses accounting for most of the total. The agency reported that foreign investors spent about $218 billion on acquisitions, while additional spending went toward establishing new businesses and expanding existing foreign-owned operations in the United States.
“Expenditures by foreign direct investors to acquire, establish, or expand U.S. businesses totaled $232.2 billion in 2025,” the BEA said in its release, describing the figures as preliminary statistics.
Investment was concentrated in several industries, according to the BEA. Manufacturing received more than half of total new foreign direct investment expenditures, with major contributions from chemicals manufacturing and other industrial sectors. The agency also reported significant investment in publishing industries, including areas connected to technology and information services.
By source country, the BEA said Japan was the largest investor in 2025, followed by Germany and Canada. Europe accounted for the largest regional share of new investment, while Asia and Pacific economies were another major source of capital.
The data also showed that California attracted the largest amount of first-year foreign direct investment among U.S. states, followed by Texas and Pennsylvania, according to the BEA. The agency said newly acquired, established, or expanded foreign-owned businesses accounted for employment involving more than 200,000 workers in 2025.
Foreign direct investment measures spending by overseas companies to obtain a lasting interest in U.S. businesses, including purchases of existing companies and investments in new operations. The BEA tracks these flows separately from other forms of foreign investment, such as purchases of financial assets.
The record level followed a lower investment year in 2024, when preliminary BEA data showed new foreign direct investment expenditures were about $151 billion before later revisions. Officials said the 2025 figures remain preliminary and may be revised as additional information becomes available.
The BEA’s latest release did not provide a forecast for future foreign investment levels. The agency said the next annual release covering new foreign direct investment in the United States will include data for 2026.
