A growing number of Chinese companies are looking to outsource production overseas in a bid to lower costs and meet Beijing’s increasingly stringent environmental laws. Ethiopia and South Africa are among the beneficiaries of this new trend as Chinese apparel, textile and even steel companies move their production offshore. However, the outsourcing of Chinese manufacturing to Africa presents both opportunities and challenges. It will no doubt lead to increased employment, investment and economic growth but in countries with lax labor and environmental laws, there is the likelihood of abuse. Eric and Cobus review the pros and cons of the Chinese outsourcing trend in Africa.
Here are a couple of the links referenced in this episode:
- Say Goodbye to ‘Made in China’ by Adam Minter, Bloomberg View
- Ethiopia: Booming Business, Underpaid Workers by Simona Foltyn, Al Jazeera English
- Get a daily email packed with the latest China-Africa news and analysis.
- Read exclusive insights on the key trends shaping China-Africa relations.
- Connect with leading professionals on the China- Africa Experts Network.