Abstract: Science Set Journal of Economics Research

Abstract:
This study analyzes the factors shaping foreign direct investment (FDI) in Europe, emphasizing export-platform strategies, trade integration, and the influence of nearshoring and geopolitical shocks. Using bilateral FDI data for 39 European host countries and their global partners from 2010 to 2023, together with annual export and import ratios and a newly developed Export-Platform Indicator, the analysis shows that European economies increasingly serve as strategic bases for re-exports within global value chains. Central and Eastern Europe—in cluding both EU and non-EU members—emerges as a growing hub for global investment, particularly attracting Asian investors seeking integration into European production and export networks. Export-platform potential significantly enhances host-country attractiveness, while trade linkages and regional complementarities shape investment patterns. Overall, the findings highlight a shift from traditional horizontal and vertical FDI motives toward platform-oriented strategies, offering insights for policymakers and investors navigating Europe’s evolv ing investment landscape.