Abstract

This article focuses on the distinctive nature of Chinese FDI in Africa, specifically copper mining value chains in Zambia and local sourcing linkages. In order to secure supply, China has become a substantial foreign investor in the Zambian copper extractive sector acquiring control over copper mines, smelters and processing industries. The expectation is that the Chinese mines would operate as enclave operations concerned only with securing raw materials for its industrial and infrastructural needs, and promoting exports from Chinese companies. In this article, we analyse and compare the Chinese copper mines with Northern and South African mining companies in Zambia in terms of the distinctive manner in which their supply chains operate. We do this by examining the role of linkages between mining activities and local suppliers in terms of access, delineation of critical success factors and upgrading strategies.

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