Source page: McKinsey & Company
Commentary
Made in Southeast Asia
Asia | Manufacturing | Supply Chain Management
October 11, 2024 – In the ever-shifting global supply chain, Southeast Asia is emerging as a manufacturing hub. China invested $24 billion into manufacturing in Southeast Asian countries, representing a third of its total outbound foreign direct investment, according to senior partner Sal Arora and coauthors. They find that this investment is driven by factors such as rising labor costs in China, the search for new markets, and the desire to diversify supply chains.
To read the article, see “Diversifying global supply chains: Opportunities in Southeast Asia,” September 5, 2024.
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Visual form
Stacked vertical bar chart.
Layout / body structure
The chart is a single annual time-series chart made of stacked columns from 2017 through 2023. It is read left to right across years, with a region legend on the right and a callout box drawing extra attention to the 2023 bar.
What is being compared
It compares China’s outbound foreign direct investment in manufacturing over time and shows how that total is distributed across recipient regions such as Africa, ASEAN, Europe, the rest of Asia, Latin America, North America, and the Middle East.
Measurement system
The reader tracks dollars in billions on the vertical axis. Each color-coded segment represents one recipient region, and the stacked height of the full bar shows the total manufacturing FDI for that year.
Visible structure inside the graphic
Seven stacked bars run across the timeline, with the 2023 bar visibly towering over the earlier years. The legend links each color to a destination region, and the callout box attached to 2023 singles out ASEAN’s contribution within the final bar.
Main takeaway from the visual
The chart shows a sharp surge in outbound manufacturing FDI in 2023 and makes Southeast Asia a central part of that jump rather than a minor slice. The final bar is not only the tallest overall; it also contains one of the largest regional blocks for ASEAN, making the regional pivot visually clear.
Key standout values or extremes
The 2023 total reaches roughly $75 billion, far above the earlier bars, and the callout highlights $24 billion of manufacturing FDI into ASEAN, equal to about one-third of the 2023 total. Earlier years mostly sit in the teens to mid-30s, making the final-year jump the dominant visual extreme.
Controls / sequence, when applicable
This is a static chart image with no in-chart controls to operate.
Companion media, when applicable
There is no separate companion audio or video; the chart image is the full visual on this page.