Investment flows from China have expanded enormously since the Chinese government adopted a policy of encouraging outward direct investment (ODI). China has been an active participant in the global foreign direct investment (FDI) regime of bilateral investment treaties (BITs) since the early days for its policy of 'reform and opening', which began with the 3rd Plenary Session of the 11th Central Committee of the Chinese Communist Party in 1978. The development of ODI flows from China has been highly dependent on government policy and regulation. China has been an active participant in the system of BITs that have become the primary international institution in the governance of FDI, including those which it has concluded with European Union (EU) member states. The developing countries including China, which have become significant outward investors, now have as much need as the developed to protect their investments and BITs no longer simply serve to strengthen their domestic institutions to attract investment.