Despite a deep downturn in the world economy, Chinese firms are beefing up efforts to head overseas.

China's outbound direct investment (ODI) rose 1.1 percent year on year to $56.53 billion in 2009, the largest among developing countries, said a report jointly released by the Ministry of Commerce (MOFCOM), the National Bureau of Statistics and the Sate Administration of Foreign Exchange on September 5. This was the eighth consecutive year of growth.

By the end of 2009, Chinese enterprises established at least 13,000 overseas companies in 177 countries, with their combined assets topping $1 trillion, said the report.

The manufacturing industry was the most coveted area of Chinese ODI, followed by the wholesale and retail sector and tenancy and business services, said Shen Danyang, a senior official of MOFCOM.

Successful expansion overseas would allow Chinese companies to take production closer to the markets it serves, and generate greater returns from the economy of scale.

The government will continue to strengthen efforts to push forward outbound investment and foster multinationals with global footprints, said Chinese Vice President Xi Jinping, at the opening ceremony of the second World Investment Forum on September 7 in Xiamen, Fujian Province.