Greenland is a part of the Kingdom of Denmark, but had been granted self-governance in 2009. As of today, Greenland is suffering from significant economic challenges and is largely dependent on fishing and fish export. New sources of income are desperately needed. The Greenlandic Self-Government seeks to develop new business sectors and to attract foreign investment, including investments from China, to develop especially its mineral resources. China now is the second largest economy in the world and the outbound investments by Chinese companies presents unprecedented opportunities for both Chinese companies and their global partners. However, Chinese outbound investment faces many hurdles both at home and outside.
This article analyzes some of the main aspects in relation to regulatory hurdles, political obstacles as well as environmental, labor and financial challenges primarily focusing on investments in the mining industry.