Foreign Direct Investment Opportunities in California

Foreign direct investment in California operates on a scale few states can rival. As the largest state economy in the United States, California consistently outperforms in attracting FDI across strategic industries crucial for growth.

In 2025, California hosted:

• 18,693 foreign-owned enterprises
• 814,102 workers employed by foreign-owned enterprises
• $89.127 billion in wages paid by foreign-owned companies

These figures confirm that foreign direct investment in California drives employment and wages, supports sector growth, and supports the state’s innovation and stability.

California’s proven scale minimizes risk for global executives by offering a mature business environment. This includes robust supply chains, a highly skilled workforce, and advanced research networks. Foreign-owned enterprises drive growth across core sectors: manufacturing, technology, logistics, life sciences, finance, and services.

Leveraging these competitive strengths, California consistently ranks among the top U.S. destinations for FDI. Its capacity for innovation, deep talent pool, developed infrastructure, and outstanding market access distinguish the state for growth-oriented executives.

TeamCalifornia Prioritizes Foreign Direct Investment with SelectUSA Spinoff Event

TeamCalifornia invites international investors to explore opportunities in Southern California beyond its best-known cities. This exclusive SelectUSA spinoff event spotlights three of the region’s most dynamic, yet often underrecognized, areas: Imperial Valley/Southern Border, Riverside County, and San Bernardino County.

The two-day program showcases communities that welcome immediate investment. Attendees tour industry-ready sites, examine regional infrastructure, and engage with partners driving business expansion. The event connects guests directly with local leadership, economic development organizations, and private-sector partners.

Why Foreign Direct Investment in California Remains Strong

Several structural advantages support continued FDI growth:

• Access to the largest consumer market in the United States
• Gateway access to Asia Pacific and Latin American markets
• Deep venture capital ecosystem
• Research universities and national laboratories
• Diversified regional cost structures

Foreign-owned enterprises capitalize on California’s dynamic industry clusters. These clusters facilitate supplier connectivity, workforce mobility, and technology transfer, maximizing operational efficiency for investors.
For companies evaluating FDI in California, these ecosystem advantages support long-term returns.

Top Investor Countries Driving FDI in California

Five countries account for more than half of all foreign direct investment jobs in California:

• United Kingdom with 130,628 jobs, 2,215 foreign-owned enterprises, and $12.787 billion in estimated wages
• Japan with 127,138 jobs, 3,391 foreign-owned enterprises, and $14.610 billion in estimated wages
• France with 95,000 jobs, 1,857 foreign-owned enterprises, and $9.063 billion in estimated wages
• Canada with 91,603 jobs, 2,016 foreign-owned enterprises, and $9.741 billion in estimated wages
• Germany with 58,623 jobs, 1,345 foreign-owned enterprises, and $7.800 billion in estimated wages

These countries represent mature global economies with long-standing operations in California. Their firms span:

• Manufacturing
• Entertainment
• Agriculture
• Professional services
• Wholesale trade
• Retail
• Transportation
• Construction
• Finance​

This distribution reflects two distinct executive strategies: concentrated workforce investments in large facilities versus a decentralized network of assets, each tailored to unique growth and operational models.

Additional growth markets include:

• Switzerland with 49,398 jobs, 695 foreign-owned enterprises, and $5.828 billion in estimated wages
• Netherlands with 27,179 jobs, 475 foreign-owned enterprises, and $2.499 billion in estimated wages
• Ireland with 27,069 jobs, 580 foreign-owned enterprises, and $3.386 billion in estimated wages
• China with 25,403 jobs, 706 foreign-owned enterprises, and $2.811 billion in estimated wages
• Taiwan with 21,876 jobs, 425 foreign-owned enterprises, and $2.676 billion in estimated wages

Mexico’s position as the largest U.S. trading partner supports cross-border supply chain investment in California. Switzerland ranks sixth among countries in the number of foreign-owned enterprises, with strong activity in life sciences and advanced manufacturing.

Regional Distribution of Foreign-Owned Enterprises in California

This comprehensive breakdown of Foreign-Owned Enterprise (FOE) activity across California's 13 California Jobs First (CJF) Regions offers granular insights into the economic impact of international investment at the local level. These regions exhibit unique profiles in terms of total FOE jobs, estimated wages, dominant industry sectors, and primary source countries for foreign investment.

North State

The North State region has a total of 4,466 foreign-owned enterprise (FOE) jobs across 121 establishments, with estimated wages of $390.8 million. Manufacturing is the top major industry sector by employment, with 1,418 jobs. The top source country for FOE jobs in this region is Germany, which accounts for 23.2% of all FOE jobs. The next top source countries are the Netherlands and Canada, which together account for 17.6% and 15.3% of FOE jobs, respectively.

Capital Region

In the Capitol Region, FOE jobs total 25,129 across 822 establishments, with estimated wages reaching $2,631.8 million. Manufacturing is the top industry with 7,251 jobs, followed closely by Professional/Business Services with 6,282 jobs. Canada ranks as the number one source country, providing 16.2% of the FOE jobs. Germany is the second largest source, contributing 15.0% of the jobs.

Eastern Sierra

The Eastern Sierra region reports 1,317 FOE jobs across 26 establishments, with estimated wages totaling $117.4 million. Natural Resources is the dominant industry sector for employment, accounting for 486 jobs. Canada is by far the largest source of FOE jobs, accounting for 85.3% of the total (1,124 jobs). Mexico is a distant second, with 3.4% of the FOE jobs.

Bay Area

The Bay Area is a major hub, with 242,258 FOE jobs, 5,335 establishments, and estimated wages of $27,661.7 million. Manufacturing provides the most jobs (76,311), though Professional/Business Services is a close second (67,848). The United Kingdom is the top source country, responsible for 16.2% of the FOE jobs. Japan and France are the next largest sources, with 11.7% and 9.8% of the jobs, respectively.

North San Joaquin Valley

The North San Joaquin Valley has 16,404 FOE jobs, 453 establishments, and estimated wages of $1,307.3 million. The top industry sector for employment is Retail Trade with 4,275 jobs, followed by Professional/Business Services with 3,199 jobs. Canada is the largest source country, accounting for 27.0% of the FOE jobs (4,433 jobs). The United Kingdom and France are the second- and third-largest sources, contributing 18.2% and 15.1% of the jobs, respectively.

Central San Joaquin Valley

The Central San Joaquin Valley has 21,562 FOE jobs, 490 establishments, and $1,915.7 million in estimated wages. Manufacturing is the largest industry sector by employment, with 8,612 jobs. Canada is the leading source of FOE employment, accounting for 25.3% of jobs (5,462). France is the second-largest source, contributing 21.5% of the jobs.

Central Coast

The Central Coast region reports 32,811 FOE jobs, 845 establishments, and $3,106.8 million in estimated wages. Manufacturing dominates the employment landscape, accounting for 12,489 jobs. The United Kingdom is the top source country, accounting for 27.0% of FOE jobs (8,865). France and Japan follow as the next largest sources.

Kern County

Kern County has 10,697 FOE jobs supported by 234 establishments, with estimated wages of $1,121 million. The top three industry sectors by employment are Natural Resources, Manufacturing, and Wholesale Trade. The United Kingdom is the top source country, accounting for 29.6% of FOE jobs (3,165 jobs). Switzerland and Canada are the next leading sources.

Los Angeles County

Los Angeles County is a major FDI destination, with 224,743 FOE jobs, 5,178 establishments, and $26,752.7 million in estimated wages. Manufacturing provides the most jobs, with 45,384, followed by Professional/Business Services at 44,678. Japan is the top source country, accounting for 22.5% of the total FOE jobs. France and the United Kingdom are the next two largest sources.

Inland Empire

The Inland Empire has 48,158 FOE jobs, 1,524 establishments, and $4,503.8 million in estimated wages. Manufacturing is the largest industry sector by employment, with 15,706 jobs. Canada is the top source country, accounting for 27.4% of FOE jobs (13,179). Japan and the United Kingdom follow as the next largest sources.

Orange County

Orange County reports 110,613 FOE jobs, 2,121 establishments, and $11,587.2 million in estimated wages. Manufacturing is the top industry sector by employment with 39,355 jobs. Japan is the top source country, accounting for 19.9% of FOE jobs. The United Kingdom and France are the next leading sources.

Southern Border

The Southern Border region is home to 75,102 FOE jobs, 1,769 establishments, and $7,954 million in estimated wages. Manufacturing is the largest industry sector by employment with 29,364 jobs, followed by Professional/Business Services with 19,336 jobs. The United Kingdom is the top source country, accounting for 24.7% of the FOE jobs. Japan and the Netherlands are the next largest sources.

Redwood Coast

The Redwood Coast region has the lowest number of FOE jobs among the listed regions, with 842 jobs supported by 45 establishments, and estimated wages totaling $77.1 million. Manufacturing is the leading industry sector with 336 jobs. Canada is the top source country for FOE jobs, accounting for 29.6% of the region's total. Chile is a strong second, contributing 29.1% of the FOE jobs.

California as a Strategic FDI Gateway

For global firms, foreign direct investment in California provides:

• Direct access to the U.S. market
• Proximity to Pacific trade routes
• Integration with venture capital networks
• Access to research partnerships
• Workforce specialization across high-skill sectors

Companies often use California operations as a base to serve the entire United States while maintaining trade connectivity with the Asia Pacific and Latin America.

This gateway function strengthens California’s position among the top U.S. states for FDI.

Support for Foreign-Owned Enterprises and Site Selectors

Navigating California’s size and complexity requires coordination. TeamCalifornia assists foreign-owned businesses, investors, and site selectors evaluating FDI opportunities.

Services include:

• Data on FDI trends and target industries
• Regional site identification support
• Workforce and labor market information
• Connections to local economic development partners
• Coordination across Southern California, the Bay Area, and Greater California

By consolidating FDI support, TeamCalifornia streamlines site selection and accelerates informed decision-making for global executives.

Join TeamCalifornia for the SelectUSA Spinoff Event Focused on Foreign Direct Investment Opportunities in California

Foreign direct investment decisions require clear data, sectoral coordination, and regional coordination. California offers scale, a deep workforce, diversified target industries, and global market access.

International investors are invited to take the next step in exploring Southern California’s expanding opportunities by participating in TeamCalifornia’s SelectUSA Spinoff event. This two-day experience offers direct access to Imperial Valley/Southern Border, Riverside County, and San Bernardino County. These regions are equipped with industry-ready sites, strong workforce pipelines, and established public-private partnerships.

Attendees will connect with regional leaders, gain insight into key growth sectors, and evaluate real-world investment opportunities within one of the most competitive economic environments in the United States. Register to secure your place and discover where your next phase of growth can take shape in California.