Chinese Manufacturing Investments and Knowledge Transfer: A Report from Ethiopia

Image: Flickr, Yale China
Image: Flickr, Yale China

Although FDI in manufacturing sectors is usually welcomed by host countries, its impact on the development of local human resources and technological capacity are hotly debated.

The uniqueness and diversity of socio-economic conditions in Africa call for a careful case-by-case examination to understand the real impacts of FDI on knowledge development. This study aims to shed light on the knowledge transfer effects of Chinese investment in Africa’s manufacturing sector with a concrete case study of Ethiopia. This paper examines knowledge transfer mechanisms between Chinese investments and Ethiopian firms, institutions, and individuals in the manufacturing sector. The lessons learned from this case may provide insights into China-Africa cooperation and Africa’s development process in general.

1 Jan 2019