China-Nigeria Bilateral Relations and the Growth of the Manufacturing Sector in Nigeria

Abstract

This study examines the bilateral relations between China and Nigeria and their influence on promoting the growth of Nigeria’s manufacturing sector, focusing on local sourcing of raw materials and industrial development. The research also investigates the impact of these bi-relations on human capital development and how they support the growth of local industries. The dependency theory and comparative advantage theory were deployed in this study. While the dependency theory argues that developing countries like Nigeria risk becoming economically dependent on stronger economies such as China, hindering industrial growth and encouraging exploitation. In contrast, comparative advantage theory suggests that countries should specialize in goods they can produce at lower opportunity costs. This underscores Nigeria’s role as a raw material exporter and China’s as a supplier of manufactured goods, raising concerns about how such trade dynamics affect local industrialization. The study employed a qualitative approach, analyzing secondary data from journals, books, official documents, online sources, and statistics from the National Bureau of Statistics. By adopting thematic and discourse analytic tools, the study revealed little growth in the manufacturing sector as a result of the bilateral relations between the two countries. Findings indicate that the Nigerian manufacturing sector is yet to experience significant positive growth despite several years of bilateral relations between both countries. The paper recommends strict compliance with the provisions of the trade agreement and industrial policy provisions to protect and promote domestic industrial growth.