South Korea’s direct investment to the United States rose sharply amid recovery in the world’s largest economy whereas investment in China where growth has lost steam fell, data from the Export-Import Bank of Korea showed Monday.

Korea’s total foreign direct investment (FDI) last year reached a historic high of $35.2 billion led largely by investment in the U.S. and Vietnam.

Direct investment to the U.S. hit $12.9 billion last year, more than doubling from $5.8 billion in 2013. In contrast, investment to China shrank to $3.3 billion from $5.2 billion in 2013.

Investment in the U.S. has been active recently for mergers and acquisitions in U.S. innovative venture enterprises, the bank said.

Direct investment is likely to continue to grow as U.S. Donald Trump pledged penalty duties to imports and incentives to products made in the U.S. that could help hiring and economy in the U.S.

Samsung Electronics purchased 10 U.S. enterprises over the past three years including $8 billion acquisition of Harman International Industries Inc. completed in March. It is also mulling an additional $1 billion investment in its chip plant in Texas.

The country’s largest automaker Hyundai Motor Co. pledged five-year investment plan worth a total of $3.1 billion in the U.S. starting this year.

LG Electronics Inc. is set to build a large washing machine production line in Tennessee with an annual production capacity of 1 million units.

Investment in Vietnam has also been active as Korean manufacturers turn to the economy with annual growth of more than 6 percent and cheap labor cost for their production base. Capital inflow from Korea to the country reached $2.27 billion last year, doubling from $1.15 billion in 2013.

By Chung Seok-woo

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