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Heterogeneity and Drivers of Chinese Manufacturing FDI in Africa

Evidence From Angola and Ethiopia

Bibliographic Data

ID21594477
AuthorsWeiwei Chen (0000-0002-2162-0941, School of Social Sciences & Global Studies The Open University Milton Keynes UK, corresponding author)
Year2026
Volume38
Issue1
Pages174-191
Publication date2026-01-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueJournal of International Development (JOURNAL)
Journal identifiersISSN: 0954-1748 • E-ISSN: 1099-1328
PublisherWiley (PUBLISHER • GB)
DOI10.1002/jid.70038
OpenAlexW4416676573
LanguageEN
References cited48

This article examines the heterogeneity and drivers of Chinese manufacturing foreign direct investment (FDI) in Africa through a comparative analysis of Angola and Ethiopia. Drawing on 8 years of fieldwork (2015–2023), it develops a typology distinguishing market‐embedded firms from global production network (GPN)‐integrated firms, linking firm characteristics to host‐country institutional and policy contexts. This relational–institutional approach addresses limitations in conventional FDI frameworks that overlook variation within similar ownership categories and the influence of local institutional environments. The analysis shows how firm strategies, ownership structures and integration into global or local markets interact with sectoral conditions and industrial policies to shape divergent investment trajectories. Ethiopia's structured, export‐oriented strategy has attracted GPN‐integrated light manufacturers, while Angola's post‐war, market‐driven environment has favoured domestically oriented and diaspora‐led ‘translocal’ enterprises. By integrating firm‐level diversity with host‐country contexts, the article contributes to debates in FDI, GPN and Global China scholarship, offering insights for targeted industrial policies that maximise developmental outcomes

China · Foreign direct investment · Globalization · Typology · China's Global Influence and Migration · International Business and FDI · International Development and Aid

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