In 2016, China's economic slowed down; its private investment growth fell sharply, exposing weak domestic investment and the increase of the withdrawal of foreign investment. What lies behind this are the changes in China’s investment environment. The combination of rising costs, rigidity of employment systems, heavy tax burden, tightening of foreign exchange management and signs of weakening government services are all constraint China's investment environment. As revealed in an earlier analysis conducted by Anbound, when China is transforming into a consumer society, the withdrawal of foreign service deserves a high degree of attention. Now the Chinese government needs to think more calmly what makes the enterprises complained and what makes them closing down their operations. 2017 will be a year full of competition; China will have to make great efforts to improve and optimize the investment environment.