Chinese Economic Activities and Interests in Developing Countries

The economic interest and activities of China has rapidly increased in developing countries since the economic reform of 1978. Chinese firms actively emerged in the Latin America and African market and challenged giant American and European companies. This paper aims to provide an insight of Chinese role and interests in poor and developing countries and why they prefer to work in these problematic areas. It also intends to indicate the side effects of Chinese economic activities in Latin and African countries. The findings of this study indicate that Chinese activities in developing countries are based on national interests, rather than friendship and solidarity. Therefore, motives of natural resources have far pushed China to pursue its interests in developing region to sustain its economy. The overall Chinese economic activities have brought positive changes to those nations and significantly contributed to economic and infrastructure development. This paper also found that Chinese firm emerged to be more successful and welcomed by the government and the people of the poor, marginalized countries compared to American and Europeans due to its unique economic characteristics, principles of none-state intervention and unconditional economic operations.