At the core of enhancing China's industrial and supply chain independence lies the addressing of "bottleneck" issues. Technology-seeking “outward forward direct investment” (OFDI) exhibits significant reverse technology spillovers, strengthening key core technology advancement. This study uses panel data from China's manufacturing industry (2016-2021) to explore the correlation between technology-seeking OFDI and industrial chain self-control. Based on the latecomer's advantage framework, the mechanisms of this OFDI are analyzed under different technological progress paths: technology introduction, tracking and imitation, and independent innovation. The results indicate that technology-seeking OFDI positively impacts industrial chain autonomy. All three paths contribute, with independent innovation being the most effective. However, OFDI's promotion of autonomous innovation requires further enhancement. To maximize technology-seeking potential, selecting appropriate technological progress paths based on factor endowments is crucial. This is needed to efficiently drive manufacturing technology and innovation, thereby accelerating the enhancement of independent and controllable industrial chain capacity.

Chen Xuemeng, Ma Guangqi. China's Manufacturing OFDI & Independent and Controllable Industrial Chain: Based on the Perspective of "Technology Seeking". Academic Journal of Business & Management (2024) Vol. 6, Issue 12: 1-13. https://doi.org/10.25236/AJBM.2024.061201.

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