Chinese investors are increasingly turning towards Israel for internet, cyber security and medical device companies.

Facing tougher scrutiny under US regulations, Chinese investment has stalled for US tech startups.

Many are beginning to put their money in the hands of Israeli companies instead.

Indeed, over the past several years, there has been significant hi-tech collaboration between the two countries.

During a visit to Beijing in March, Prime Minister Benjamin Netanyahu told Chinese President Xi Jinping that Israel would be a “perfect partner” for China as it seeks to grow its high-tech sector.

Watch this video to see the significance of this trend.