China VC Funding Down By 12.6% YoY To $23.3 Bn From Jan-Aug 2024
The number of VC deals valued more than or equal to USD 100 million in China YoY decreased from 58 to 43
Data and analytics company GlobalData reported a year-on-year decline in China VC funding, 18.5 per cent in terms of deal volume and 12.6 per cent in terms of total funding value. 1,761 venture capital (VC) funding deals worth USD 23.3 billion were registered in China from January to August 2024.
An analysis of GlobalData’s Deals Database reveals that a total of 2,161 VC deals with disclosed funding value of USD 26.7 billion were declared in China during the first eight months of 2023.
Aurojyoti Bose, Lead Analyst, GlobalData, commented, “Although China continues to be the best VC funding market in the world after the US, the decline registered in the country raises concern more specifically in terms of total funding value. China experienced a decline in total funding value even as several of its peers including the US, the UK and India registered growth.”
The United States, United Kingdom and India experienced VC funding value YoY growth by 1.9 per cent, 14.8 per cent and 53.1 per cent, respectively, while China witnessed a YoY decline of 12.6 per cent.
Bose added, “The decline in total funding value could be attributed to the fact that China experienced a pronounced reduction in the volume of high-value VC deals announced during the review period.”
For instance, the number of VC deals valued more than or equal to USD 100 million in China YoY decreased from 58 to 43, as per the report.
It is noteworthy that China accounted for a 16.4 per cent share of the total number of VC deals that happened globally from January to August 2024 while its share of the total funding value stood at 14.3 per cent.
