Ethiopia Regime Change And Its Impact On Ethio-China Trade Relationship

In the era of economic interdependence,countries are obliged to take responsibility to secure the demand both domestically and internationally in term of trade and cooperation.China and Ethiopia has been in these processes of economic partnership for the last three decades as a result of global economic changed.The current political system in Ethiopia has realized the global economic changes and widens its cooperation,and opened trade with China.The trade has successfully been going on over the last two decades.In recent years,both China and Ethiopia have signed different agreement on issues like achieving the national interest of Ethiopia,improving the trade relation between China and Ethiopian in bilateral trade cooperation to attain sustainable development for both countries.These mutual agreements signify mutual relations of interest and assure that China is one of an important trade partner in the global trade among many different countries which develops strong partnership with Ethiopia based on mutual benefits and understanding.During the last two regimes Ethiopian trade was not progressively as it was today?s due to many different policy that the countries pursued which had contributed negatively and had affected the entire countries economic and trade potential.During the Derge regimes,different protective trade policies have been formulated to protect outsiders to trade with Ethiopia.The regime advocated import replacement with the domestic products,pursuing an import substituting strategy combined with a command economic system;promoting industrialization behind high tariff walls and with government ownership.After EPRDF took the power in 1991,the partnership between China and Ethiopia has been growing continuously,and the two countries have steadily improved the relationship through increasing trades relation through diplomatic contacts and highlevel ministerial visits during recent years.This paper is argued that the current Ethiopian political system make it possible for the continuation of today?s economic growth and progress since the dawn fall of the Derge regime.Ethiopia,like any other sub-Saharan African countries,has undertaken extensive policy reforms to transform the economy into market oriented economy for many years but never realize substantial growth in economy as the development it shows today right after beginning relation with China.The new government adopted a structural adjustment program in 1995,2008 all the way through 2017 and formulated the reform package which intended to compliment between trade liberalization and macroeconomic management in shaping the reform outcome to achieve the country?s national interest and securing investment development.Since the regime and after 2008 onward the trade development analysis between Ethiopia and china?s import export and trade relations and engagement on different sectors are increased from time to time than any other trade partners and the economy of Ethiopia had improved substantially.This reform after the regime change has been instrumental to Ethiopia?s strong interest to strengthen trade partnership with China;Nowadays china has ranks first and is one of the major trades partner in term of imports and export trade partnership and bilateral trade commitment with Ethiopia.For these reasons,Ethiopia always stands firm to strengthen and protect the common interests of trade partnership,investment priorities,national interest and mutual relations with the People?s Republic of China(PRC)now and in the long run.Ethiopia is currently doing everything possible to make sure and keep its trade relation with china safe and productive for its realizations of its economic development.The current regime in Ethiopia has been a key player in promoting trade relations with china than the previous government and takes all rounded measures to keep trade relations and diplomatic relationship strong,safe and smooth to protect the trade regime and economic development including investment opportunities and create open space for the two countries to make favorable conditions for safe trade environments with the People's Republic of China.