Dangerous allure: Why the China model still appeals overseas

中国模式的吸引力

Money Talks from The Economist

2024-06-13

38 分钟
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China's model for economic development holds serious appeal for countries looking for an alternative to the Washington consensus of economic and political liberalisation. But what exactly is the “China Model”? And should America and its allies be worried about China's growing confidence in exporting it? Hosts: Mike Bird and Tom Lee-Devlin. Guests: Elizabeth Economy, Hargrove senior fellow at the Hoover Institution at Stanford University; and Yasheng Huang, Professor of Global Economic and Management at the MIT Sloan School of Management.  Transcripts of our podcasts are available via economist.com/podcasts. Listen to what matters most, from global politics and business to science and technology—subscribe to Economist Podcasts+. 
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  • The Economist.

  • This is the sound of factory workers performing a Chinese marching drill.

  • Dressed in red tracksuits, they parade in perfect formation across the factory yard.

  • But these employees aren't Chinese, they're Ethiopian.

  • They work in a Chinese-owned shoe factory in Addis Ababa.

  • There was considerable fanfare in 2012 when production started at the Huajian facility.

  • It was supposed to mark an important step in Ethiopia's ambition to become a middle-income country by 2025.

  • The industrial park was funded by China and modeled on its experience,

  • with a familiar emphasis on state-led manufacturing and infrastructure building.

  • It wasn't the only way in which Ethiopia was taking inspiration from the Chinese development story.

  • Take the 70 infrastructure mega projects that got underway between 2006 and 2018.

  • These included construction of the Ethio-Djibouti Railway.

  • This railway follows Chinese construction, operation, and maintenance standards

  • and Chinese drivers have been instrumental in training Ethiopian counterparts.

  • Plus an airport expansion, new highways, a light rail transport system, and a sports stadium for the capital.

  • All with the help of 14.8 billion dollars of loans from China.

  • When new Prime Minister Abiy Ahmed swept to power in 2018,

  • it was thought he was trying to reduce the country's dependence on Beijing.

  • And in recent years, China's economy has stumbled with a weak recovery from COVID and a property crisis.

  • Yet, even today, the Ethiopian government acknowledges China as an inspiration,