WASHINGTON, DC – China is now the third largest destination for U.S. high-tech exports, says the AeA. In its just-released 15th edition of the Competitiveness Series, the AeA analyzes the growing economic relation between the U.S. and China in terms of high-tech trade and foreign direct investment.

Between 2000 and 2006, U.S. high-tech exports to China more than tripled to $14.1 billion, from $4.6 billion. Only the U.S.’s two NAFTA partners, Canada and Mexico, are larger export destinations for American tech products. On the other side, U.S. tech imports from China nearly quadrupled, to $102 billion from $26 billion between 2000 and 2006.

Total U.S. direct investment in China was $16.9 billion in 2005, a 12% increase over 2004. Chinese investment in the U.S. is small but rising, up 11% from 2004 to 2005, says AeA.