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China-African Relations
10th NPC & CPPCC, 2007> China-African Relations
UPDATED: February 28, 2007 NO.44 NOV.2, 2006
Free to Choose
Thanks to China's non-interference foreign policy, it's possible for African leaders to act more freely in their dealings with China
By HUANG WEI
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If the South African Government's policy of limiting the importation of Chinese textile products had been implemented, the textile shelves in Africa's most developed economy would be empty. Perhaps it is the pressure of this combined with protests from textile retailers that prompted Pretoria to postpone implementing this policy to the beginning of 2007.

The question also begs asking-is it possible for local textile traders in South Africa to make up for the lack of Chinese products?

China admits that the large amount of textile exports to Africa is seriously affecting local textile industries, although these inexpensive products have at the same time greatly benefited local wholesalers, retailers and consumers.

In the first half of 2006, China's imports from, and exports to, Africa amounted to $14.06 billion and $11 billion respectively, a trade deficit that mirrors the previous year. However, this deficit does not free China from trade disputes with Africa, an issue it is fighting on three fronts, with tempers in the United States and European Union also reaching the boiling point.

Thanks to China's non-interference foreign policy, it's possible for African leaders to act more freely in their dealings with China. Meanwhile, tangible economic assistance from China is another revenue source. As Jeffrey D Sachs, Director of the UN Millennium Project, said in a recent conference in Beijing, "China has fewer lectures than Europe and the United States and more practical help much of the time."

However, what China has done in Africa has raised the ire of Western media and some international organizations, which seem to expect China, a developing country of 1.3 billion people, to judge the human rights issue in this least developed continent through the same lens they do.

Chinese leaders are consistent in their view that "China needs Africa." It is common knowledge that there is mutual support between China and Africa in a series of international affairs. China is a large energy consumer and Africa is abundant in oil and mineral sources. Why should China renege on Africa as long as the relationship between the two represents commercial trade rather than energy stealing?

For Africa, China's development may be seen as a good example. In the past two decades, China has helped millions of its people out of poverty and transformed itself from a backward agricultural country into a country with the highest growth rate in the world.

Roads and railways built by Chinese lead to Africa's mines and also pass through the villages and towns where African farmers, shopkeepers and craftsmen live. These people now all find their trips to the market more convenient thanks to improved transportation.

In the last two decades of the 20th century, the annual foreign direct investment in the whole African region only amounted to several billion U.S. dollars, but climbed to $30 billion in 2005. The inflation rate in 2005 was the lowest in the past 25 years. In the same year, capital inflow in the form of economic investment in Africa surpassed development assistance for the first time, which is regarded as a turning point in the continent's history.

A quick glance at how Chinese-African trade has promoted Africa's economic growth shows growing export volumes from Africa to China in 2005 contributed 1 percent of the GDP of all African countries that year. Based on this fact, it was extrapolated that Africa's trade with China is able to promote the continent's economic growth by as much as 20 percent.

China is trying to build a long-term commercial partnership with Africa, based on mutual benefit and non-interference with each other's internal affairs. More importantly, China is sincere in building such a relationship, which is fully reflected in Premier Wen Jiabao's commitment made in June in South Africa. In line with this commitment, the Chinese Government is to help some African countries restructure their textile industries for a stronger competitiveness by limiting China's own textile exports to these countries.

Both Africa and China have found an additional trade partner in each other. In the developing world, that has to be good news.  



 
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