Disagreements on compensation to local communities, resource depletion, and labor relations are the primary source of controversy and tension. These are then exacerbated by municipal and provincial bureaucracies’ administrative negligence, and the investors’ blind spot when it comes to engagement with local communities. In terms of scale, Chinese companies in the mining sector are not comparable to multinational mining companies. Chinese firms have yet to accumulate knowledge and expertise dealing with overseas operations’ risks and challenges, particularly those involving managing environmental impact and negotiating with local communities.
