China’s Premier Signals Country Is Open to African Business

Premier Li Qiang signaled that China will open up more to businesses in Africa, comments likely aimed at fending off worries about a record trade surplus with the continent.

The Asian nation will “expand unilateral opening up to the least developed countries and work with Africa to keep promoting mutual opening up,” Li said Friday in Beijing at the Forum on China-Africa Cooperation. “We need to further strengthen market connectivity.”

 

He pledged to facilitate agricultural shipments and a greater amount of “high-quality goods” from Africa to China, and invited nations to make greater use of a supply-chain expo Beijing launched last year.

Li’s brief speech appeared aimed at addressing worries about China’s trade surplus with Africa climbing to a record $64 billion last year. South African President Cyril Ramaphosa told Chinese leader Xi Jinping earlier that he wanted to see that figure shrink and “address the structure of our trade.”

Ramaphosa also called “for more sustainable manufacturing and job-creating investments.”

 

Other Africans suggested on the sidelines of the forum that the trade imbalance was a concern for them. Ambassador Akinremi Alade Bolaji, director of the Nigerian Foreign Ministry’s trade department, said trade “has to be deliberately adjusted.” He added that he was encouraged by a pledge Xi made earlier to provide more market access.

Sourakhata Tirera, a Senegalese businessman based in the Chinese manufacturing hub of Yiwu, said that “We don’t want to live our life only for importing.”

“This is not good for our next generation,” he said.

In his speech on Thursday, Xi unveiled a raft of economic sweeteners for Africa, showcasing China’s commitment to strengthening its influence over a continent that’s key to his geopolitical ambitions. That primarily involves offsetting what Beijing views as US “hegemony” of world affairs.

Xi vowed to provide $50 billion in financial support, including $10 billion in investment by Chinese companies. He also waived all tariffs for 33 low-income African economies and pledged to create 1 million jobs on the continent.

Li expanded on the job-creation theme in his remarks Friday at the forum, Beijing’s main vehicle for managing its relationships in Africa. “Chinese companies in Africa should continue to localize their operations, create more local jobs, train more local talent, and further contribute to local people’s wellbeing,” he said.

China’s three-day charm offensive highlights Beijing’s strategy of positioning itself as the leader of the Global South, a term for the world’s developing nations.

Source:norvanreports.com