Kenya-China Trade Relations: A Nexus of “Trade not Aid” Investment Opportunities for Sustainable Development

Siringi, Elijah M.

doi:10.15640/jeds.v6n2a4

Cited by 2 publications

(1 citation statement)

References 5 publications

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“…Second, China's industrialization has given rise to cheap competitive goods attracting Kenyan markets (Chege, 2008). Various factors have influenced the growth of trade between China and Kenya, including external environmental factors such as the political environment, the legal environment and the economic, socio-cultural and technological environment (Nguku, 2013;Siringi, 2018).…”

Section: The Nature Of Kenya-china Bilateral Tradementioning

confidence: 99%

Kenya-China Trade in Manufactured Goods: A Competitive or Complementary Relationship?

Githaiga¹

2021

JSS

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Trade between Kenya and China has increased in recent years, with a significant increase in imports from China. This study's objectives were to examine the nature of trade between Kenya and China in manufactured goods, analyze the Revealed Comparative Advantage (R.C.A.) and make recommendations for improving trade. This study was based on the Comparative Advantage Theory and used data from the United Nations Commodity Trade Statistics Database (U.N. Comtrade) from 1984 to 2015, as this period had complete data. The results suggest that the nature of trade in manufactured goods between Kenya and China is characterized by high imports from China and very low exports from Kenya-a large proportion of Kenya's manufactured exports end up in countries with which it has a clear trade framework. Moreover, Kenya lacks a comparative advantage for manufactured goods, while China has a high comparative advantage; therefore, Chinese exports complement Kenya's import needs. The research identified the lack of a comprehensive trade policy and strict rules of origin as serious challenges to trade between Kenya and China. In addition, Kenya's trade orientation in the manufacturing sector has been reduced by inadequate investment, limited value addition, and high labor costs. Resolving these obstacles is vital to overcoming trade imbalance and boosting Kenya's competitiveness, as the potential for future growth in trade in manufactured goods from Kenya to China is weak, based on existing economic specialization. Kenya should focus on a comprehensive trade policy with China, support more FDI in manufacturing, innovation, and technology, improve labor productivity and infrastructure, enhance its global value chains, and create new comparative advantages among others. This will improve the competitiveness of its products and increase trade orientation on the Chinese market and globally. The study concludes that Kenya-China trade in manufactured goods is complementary. This conclusion can only be applied in genera since the study used aggregate data. The findings confirm the Compara-How to cite this paper: Githaiga, N. M.

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Section: The Nature Of Kenya-china Bilateral Tradementioning

confidence: 99%

Kenya-China Trade in Manufactured Goods: A Competitive or Complementary Relationship?

Githaiga¹

2021

JSS

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Effects of Chinese Level of Technology on the Economic Growth of Small Scale Fish Traders in Kisumu County, Kenya

Otieno¹,

Njoroge²

2020

IJHSS

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Over the last decade, bilateral trade relations between Kenya and China have led to tremendous transformation of economic growth affecting the small scale traders including small scale fish traders. While the influx of Chinese goods has had a negative effect on the local industry, it has also led to an increase in Chinese level of technology related to fishing. Pragmatic researches conducted have revealed conceptual, contextual and topographical gaps. This research hence sought to assess the effects of Chinese level of technology on the economic growth of small scale fish traders in Kisumu County. The research was conducted in Kisumu County; based on 167 respondents (5 state departments for Trade Directorate heads, 8 beach managers and 154 fishers) in the selected beaches along Lake Victoria. The beaches and fishers were included in the sample using systematic random sampling technique and Nassiuma (2000) sampling formulae respectively. Trade directorate heads' were sampled using purposive sampling technique. Interview guides and questionnaires were used to obtain primary data. The experts were consulted to test content and predictive validity. Test-retest coefficient was used to test for instrument reliability and a reliability of 0.7 was accepted. The study applied dependency theory supported by Innovative Growth theory echoing the significance of innovative entrepreneurs on economic growth. Data obtained was analyzed with the help of SPSS and descriptive and inferential statistics were presented in figures and tables. Interpretation and discussion of the results was guided by the specific objectives of the research. The study revealed that Chinese level of technology had a positive and significant effect on economic growth of small scale fish traders in Kisumu County and concludes that improvement of Chinese level of technology improves economic growth of small scale fish traders in Kisumu County. The study recommends fishers to consider the full adoption of modern fish farming technology (fish caging and fish ranching) to improve fish volume hence ameliorate their fish business. In addition, accredited fishers should utilize modern equipment and tools (motor boats) from China in their fishing business as well as cooling and storage facilities to facilitate large scale fish storage and longer preservation hours to boost business.

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Kenya-China Trade Relations: A Nexus of “Trade not Aid” Investment Opportunities for Sustainable Development

Cited by 2 publications

References 5 publications

Kenya-China Trade in Manufactured Goods: A Competitive or Complementary Relationship?

Kenya-China Trade in Manufactured Goods: A Competitive or Complementary Relationship?

Effects of Chinese Level of Technology on the Economic Growth of Small Scale Fish Traders in Kisumu County, Kenya

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