Chinese Investment in the Tanzanian and Zambian Textile Industries

Africa Today
From Foreign Aid to Market Capital
By Tang Xiaoyang
English

Chinese private-sector investments in African textile industries draw directly on China’s former foreign aid projects. Successful private-sector investments clearly benefit from the lessons and experience gained through China’s initial aid-funded operations. These public projects serve as information and logistics platforms for new entrants : meanwhile, the involvement of Chinese sovereign wealth funds might be viewed as a form of partial nationalization. These relationships mean that any examination of China’s direct investment in sub-Saharan Africa must avoid simplistic distinctions and recognize the very close ties between public and private Chinese companies operating in Africa. The sometimes-superficial differences that distinguish public from private companies reflect the versatility and evolution of China’s strategy and its commitment to the African textile industry.

Keywords

  • textiles
  • foreign aid
  • capital investment
  • China
  • Tanzania
  • Zambia
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