“Ethiopia’s current focus is on industrialization and building competitive manufacturing industry and China is our top priority as a source of high-quality manufacturing in key labour-intensive sectors,” remarked the Ethiopian Premier Hailemariam Desalegn during the Ethio-Fujian investment cooperation forum, held on 18 May in Fujian Province.
In addition to setting up a centre of the 21st Maritime Silk Road, which is a strategic initiative on part of China to increase investment and foster cooperation across the historic Silk Road, Fujian province has the 10th largest economy in China with US $ 429.3 billion GDP in 2016 and stands 8th in terms of flow of FDI. By the end of last March, 8 Fujian-based enterprises invested in Ethiopia in different sectors with a combined capital of US $ 9 million.
“Ethiopia will continue to be the favourite country for Chinese investors because of low labour cost, cheap energy and land as well as availability of trainable working force,” averred PM. He also added that Government’s attention has also been attracted by the development and management of industrial parks and so he urged the provincial Government and Fujian-based companies to set up a special economic zone in the country.
The Premier’s visit to the provinces to convince companies to invest in the country has been successful, stated Government Communication Affairs Office State Minister Zadeg Abreha. He further added that the firms that have not started their investment are also ready either to change their plans into reality or conduct feasibility study that would enable them to engage in the country. One of the enterprises that has decided to expand investment in Ethiopia is Fashion Flying Group, a Fujian-based company. The investment expansion is being planned in different phases with a total of US $ 20 million, said Chen Geng, President of the company. The enterprise is aspiring to build a full production chain in Ethiopia by moving its fibre and fabric factories, design, printing and embroidery companies as well as sewing machines.
Bharat Tex Special Report 2026 
