China’s Economic Impacts on Sub-Saharan Africa

Abstract

The chapter considers three key aspects of China’s economic impact on Sub-Saharan Africa (SSA). First, the direct and indirect effects of increased Chinese demand for commodities, which benefitted a number of SSA economies in the short and medium term, are looked at. China’s major contribution to development in the region has been through financing and building infrastructure. Finally, the impact on SSA manufacturing is analyzed. Despite concerns about the negative impact on domestic industry, it only appears to be a major problem in South Africa. However, optimistic views of the potential for Chinese firms to contribute to industrialization in the region appear over-optimistic. The chapter also includes case studies of the impact of China’s economic involvement in Angola, Ethiopia, and South Africa, which represent three different types of Sino-African relations.