A major pullback in Chinese direct investment in overseas companies and projects is expected this year, according to a government think tank.

After more than 10 years of major capital injections in infrastructure and real estate projects spanning from Africa to Australia, the Chinese government has upped its scrutiny of outgoing capital in overseas deals. Those regulations, coupled with projected stricter trading policies in the U.S. and other countries, will impact a vast array of current and future Chinese investment, the Wall Street Journal reports.

The Chinese government’s overseas direct investment had been growing at an annualized rate of roughly 35% stretching back to 2013. According to a government think tank that analyzed China’s foreign investment, the country is still showing strong interest in tapping major companies in foreign markets, but heightened political risk overseas and domestic government regulations have lowered China’s 2017 outlook to about $118B, far below its 2016 record of $170B in direct investment. [WSJ]