Africa Industrialization Day

  International production networks have expanded dramatically over the past three decades, enabling many developing countries to integrate into global value chains ( GVCs ). By leveraging comparative advantages in low-cost labor and resource endowments, these countries have increased formal employment and exports. Yet, such gains have often come at the expense of long-term economic, social and environmental sustainability. Industrial conditions today are increasingly dynamic and heterogeneous. While many GVCs are mature and operationally efficient, others are undergoing significant disruption. Climate change, geopolitical tensions and supply chain shocks are amplifying the need for more resilient, diversified and localized production systems. At the same time, digital technologies and services are reshaping patterns of consumption, production and trade across all sectors. For developing countries, adapting to this shifting landscape requires a strategic approach to supply chai...

Industrial dynamics have differed considerably across countries and regions over the past decades. While some parts of the developingworld have succeeded in expanding their industrial sector and accelerating innovation , others are lagging behind (see Figure 3).  Countries in the Asia-Pacific region, for instance, have experienced remarkable growth in terms of their manufacturing value added (MVA) per capita, particularly among upper middle-income countries (UMICs) , with China leading the way. In stark contrast, Africa and Latin America have witnessed much slower growth across all LICs, LMICs and UMICs . These trends highlight the disparities in industrialprogress both across regions and income groups . Different industrial dynamics are leading to stronger concentrations of industrial production in specific regions and countries (see Figure 4).  In 2000, high-income countries (HICs) dominated the share of global MVA, accounting for 75% of global industrial production . B...