Old players, new rules: A critique of the China-Ethiopia and China-Tanzania bilateral investment treaties

Man, Amy

Abstract

The rapprochement between China and African States is garnering much academic attention. The objective of this paper is to scrutinise one aspect of this relationship in the context of international investment law (IIL). When approaching the study of foreign direct investment (FDI), there is a neo-liberal assumption that FDI will serve as a catalyst for economic development. To help encourage flows and indicate their willingness to host investment, many developing States are signing investment agreements. By signing these agreements, these States integrate themselves into an existing system where the obligations constrain their ability to regulate in the public interest. This paper seeks to critique China's bilateral investment treaties (BITs) with Ethiopia and Tanzania. Additionally, it argues that, as an emerging actor, China assimilates the existing rules, rather than adopting a radically new approach to IIL. There are signs of positive change within recent Chinese IAs, such as the China-Tanzania BIT. However, these slight changes are not enough to offset the premise of the IIL system, since its original design was to safeguard investors and the interests of capital-exporting States.

Citation

Man, A. (2019). Old players, new rules: A critique of the China-Ethiopia and China-Tanzania bilateral investment treaties. In T. Novitz, & C. Gammage (Eds.), Sustainable Trade, Investment and Finance Toward Responsible and Coherent Regulatory Frameworks. Edward Elgar

• Publication Date: Jul 31, 2019
• Deposit Date: Apr 4, 2019
• Peer Reviewed: Peer Reviewed
• Book Title: Sustainable Trade, Investment and Finance Toward Responsible and Coherent Regulatory Frameworks
• ISBN: 9781788971034
• Keywords: China, investment, Africa, Tanzania, Ethiopia, treaties, BITs, bilateral investment treaties, development
• Public URL: https://uwe-repository.worktribe.com/output/845897
• Publisher URL: https://www.e-elgar.com/shop/sustainable-trade-investment-and-finance
• Additional Information: Additional Information : This is a draft chapter. The final version is available in Sustainable Trade, Investment and Finance Toward Responsible and Coherent Regulatory Frameworks edited by Tonia Novitz and Clair Gammage, published in 2019, Edward Elgar Publishing Ltd https://www.e-elgar.com/shop/sustainable-trade-investment-and-finance The material cannot be used for any other purpose without further permission of the publisher, and is for private use only.