Chinese Presence in Africa: Its FP and its implications both In the Developing World and IR
INTRODUCTION
A |
n advocate of the developing world or seeking dominance?
Africa's development partner or new colonizer? These are some of the questions
that come to mind when considering the evolving China-Africa relations. Over
the past two decades, China has emerged as a global superpower, reintegrating
into the world economy by joining the WTO in 2001. Chinese economic and trade
foreign policy has expanded beyond traditional dominant markets such as the
United States and Europe to include African markets. This rise of China has
sparked discussions about China's intentions in Africa, raising concerns about
the socio-political and economic impacts of this relationship.
China's presence in Africa has been
characterized by a fluid relationship of bilateral and multilateral engagement,
with the People's Republic of China rapidly growing its influence on the
continent. Through its foreign policy of "Going Global," China has increased
its presence in Africa, promoting South-South cooperation and fostering
Sino-Africa economic and foreign aid relations. China's foreign policy is seen
as an alternative development model for developing countries, leading some
African states to adopt "look East" policies instead of the
traditional "look West" approach associated with developed countries.
While China claims that its foreign
policy is based on equal engagement and the principles of peaceful coexistence,
including mutual respect and non-interference, it has faced criticism for human
rights abuses and environmental violations in countries where it operates.
These concerns have raised questions about China's true intentions in Africa.
This article aims to understand China's foreign policy and its intentions in
Africa, examining its model, nature, and characteristics, as well as the tools
and forums it employs in its engagement on the continent as an
"all-weather friend." Additionally, the article will analyze the
benefits and implications of China-Africa trade. Lastly, it will explore the
implications of China's growing influence in Africa on other traditionally
dominant powers such as the United States, as well as its impact on
international relations.
It is important to approach the
analysis of China's foreign policy in Africa from a realist perspective,
considering both the systemic level and the role of nation-states. This does
not discount the importance of domestic or individual decision-making but
recognizes that China's state-directed model of development operates within a
state-centric international system, contrasting with the more liberal approach
of the West.
CHINESE FP IN AFRICA: THE MODEL
China's historical connection with
Africa, rooted in their shared liberation struggles, has positioned China as a
steadfast ally for Africa since the 1970s. This enduring friendship was reaffirmed
in 2006 when China published its white papers on its China-Africa Policy, which
revisited its engagement with the continent while maintaining the five
principles of coexistence established in 1954. These principles emphasize
equality and mutual benefit, granting Africa an equal standing in the
relationship, at least in theory. As an alternative model for development,
China's approach differs from the Western model by emphasizing sovereignty and
non-interference in the domestic affairs of partner countries. Unlike the Western
model, which is characterized by liberal principles that reduce state control
on markets and facilitate one-way resource transfer, China's model promotes
economic cooperation based on equality and mutual benefit, thereby addressing
the historical bias that has disadvantaged the Global South.
China's model of development offers
African states a departure from the neo-colonialism and political conditions
imposed by the West, presenting a more equitable and mutually beneficial form
of engagement. In contrast to the liberal model's neoliberal reforms that
advocate limited state control over markets, African countries fear losing
control of Western ideologies. China's model, on the other hand, allows for a
state-directed approach to development, reinstating control over domestic
markets and economic policies. Moreover, China's emphasis on symbolic
diplomacy, such as national representation abroad, further reinforces the sense
of equality. China accords to African countries equal diplomatic status through
visits, engagements, and high-level summits, China distinguishes itself from
Western powers, where African leaders often receive unequal recognition.
China's commitment to large-scale
projects, including the construction of stadiums and parliament buildings,
often referred to as "stadium diplomacy", adds to the allure of
China's alternative development path. When coupled with aid and soft power
initiatives, these projects present China as a partner offering support without
strings attached. Consequently, the Beijing-African Policy ensures that African
statesmen are recognized on par with leaders of dominant powers, further
facilitating China's engagement with Africa. While this South-South cooperation
promotes a sense of equality, it is important to approach it with caution.
China's non-conditionality approach, while appealing, has implications in areas
such as democracy and transparency, potentially leading to human rights
violations and corruption, as will be discussed later.
UNPACKING THE MODEL FACETS
Grounded in the principles of
coexistence, the Global South, particularly Africa, plays a crucial role in
China's comprehensive model of international relations across four key
dimensions: political, economic, security, and ideological. These dimensions
foster an environment of growth and stability in China-Africa relations by
establishing common interests and mutual benefits. Politically, China's engagement
in Africa has effectively rebalanced power dynamics against the West. During a
Non-Aligned Movement summit in Bali in 1992, the Chinese foreign minister
emphasized the resolution of two critical issues: peace and development,
placing South-South cooperation at the core of China's policy for opening and
reforming Africa.
This foreign policy standpoint can be
traced back to the events surrounding the Tiananmen Square incident in 1989,
which triggered a crisis between China and the West. As a result, China
reassessed its approach to developing countries, finding support from Africa,
which stood by China's position against counter-revolutionary rebellion. China
heavily relies on the diplomatic support of African states in international
arenas and key international institutions. African states constitute a
significant portion of United Nations membership and votes. In 1972, China
recognized the need for a symbiotic relationship with Africa when 26 African
countries voted in favor of China resuming its seat in the UN, accounting for
one-third of the supporting nations. Following the events of Tiananmen Square
in 1989, China faced sanctions, leading to isolation from the West and
increased dependence on the Global South, particularly for political support.
Africa's political and diplomatic
significance to China has been reaffirmed by various events, including the
controversial China-Tibet policy. In recent years, particularly in 2008, the
Chinese government faced accusations of human rights violations against the
indigenous people of Tibet. The practice of Sinicization, which involves the
forced cultural assimilation of Tibetan areas to resemble mainstream Chinese
society, has drawn criticism as an act of cultural genocide and a violation of
the Tibetan people's right to self-determination.
To navigate the controversy
surrounding its Tibet policy and avoid international backlash, China sought
support from African nations. The Chinese government engaged in diplomatic
lobbying, urging African countries to remain silent on the issue or even lend
their support. By securing African nations' support, China aimed to prevent
hostile actions from the international community and the United Nations.
Furthermore, China sought endorsement for its "One China Policy" and
legitimacy through its diplomatic ties with Africa. The "One China
Policy" advocates for Beijing's recognition as the legitimate
representative rather than Taipei. Therefore, the China-Africa relationship
serves as a crucial diplomatic strategy for China, enabling it to establish an
international standing and maintain its legitimacy.
China's perception of Africa as an
"all-weather friend" coincided with Africa's economic reform programs
in the 1990s, which embraced liberal principles such as privatization and
market openness to international trade. China recognized the economic
opportunities presented by Africa's shift and adopted an "open door
policy" towards Africa as an equal partner in international affairs. This
approach emphasized cooperation and fostered bilateral and multilateral
engagements between China and African nations. As a result, China's diplomatic
strategy with Africa became an integral part of its foreign policy, enabling
the country to pursue its economic interests while projecting its global
influence.
With China's growing influence and power in international relations, particularly in the global South, its approach to development cooperation has evolved significantly. Initially described by Taylor I. (1998) as "socialism with Chinese characteristics," China's modernization process necessitated foreign investment and technological assistance. Over time, China transitioned to a state-controlled development model, emphasizing economic cooperation and mutual assistance through bilateral and multilateral engagements. To enhance socio-cultural, political, and economic engagement, China established regional organizations such as the Forum on China–Africa Cooperation (FOCAC) in 2000. FOCAC serves as a platform for collective dialogue between China and African countries, based on principles of equality, mutual benefit, peace, and development. These engagements are supported by aid, trade benefits, and debt relief mechanisms, contributing to the strengthening of China-Africa relations.
China has also taken a leadership
role in establishing multilateral development institutions. Notable examples
include the BRICS New Development Bank and the Asian Infrastructure Investment
Bank (AIIB). These institutions are led by countries from the Global South and
aim to facilitate China-Africa relations, enhance cooperation, and protect the
interests of both partners. Furthermore, China's foreign policy in Africa
emphasizes bilateral engagements, primarily driven by Free Trade Agreements
(FTAs). These agreements enable China to secure resources from individual
countries. From 2000 to 2014, China's trade with Africa witnessed a significant
increase from US$10.5 billion to US$220 billion, underscoring the centrality of
trade in China's foreign policy approach. China's demand for resources to
support its domestic growth and its position as a manufacturing powerhouse
necessitated a strategic, state-driven approach to resource acquisition.
China's pursuit of resources and
markets has driven the adoption of the "going out" policy, which
entails the Chinese government actively supporting domestic companies through
legal and administrative means, granting them preferential access to financial
resources, and offering diplomatic assistance. This policy aims to facilitate
the global expansion of Chinese businesses in their quest for investment
opportunities and access to resources and markets. Consequently, this has
fostered the development of the China-Africa relationship, whereby China
imports raw materials from Africa while exporting consumer and capital goods to
the continent.
While this approach has contributed
to China's remarkable economic growth and trade surpluses with Africa, it has
also sparked controversies due to perceived imbalances. Critics argue that
excessive Chinese exports to Africa have resulted in domestic
deindustrialization in African countries. Consequently, the trade relationship
has been criticized for its asymmetry, with China benefiting disproportionately.
Some contend that this phenomenon reflects a neo-colonial dynamic, where
Africa's raw materials are extracted to fuel Chinese factories, perpetuating an
unequal trade structure. Therefore, although China's rise has often been seen
as a peaceful one, concerns persist regarding the trade dynamics between China
and Africa. The rapid growth of Chinese influence in Africa is seen by some as
an indication of a neo-colonial relationship, characterized by an imbalanced
exchange of resources.
IMPLICATIONS OF THE CHINA-AFRICA
RELATIONSHIP
Considering recent developments, it
is important to examine the implications of China's presence in Africa,
considering the criticisms that have been raised. By analyzing the instruments
of engagement between China and Africa within specific African contexts, we can
identify the benefits and consequences for both Chinese and African countries
within the region. This analysis serves as an extension of the dimensions of
Chinese foreign policy mentioned earlier, specifically within the African
context. To fully comprehend the complexities and various aspects of
China-Africa relations, it is necessary to conduct an analysis at different
levels: the nation-state level, the international system level, and to a lesser
extent, the individual decision-maker level. This approach enables us to
capture the involvement of different policy actors, both domestic and
international, and assess the benefits and impacts associated with their
actions.
There are two identifiable contrasting
perspectives on China's policy in Africa: the optimist and pessimist views.
Optimists perceive China as a development partner, offering equal and valuable
economic opportunities, and presenting an alternative developmental model to
the West. On the other hand, pessimists argue that China acts as a rogue actor,
supporting rogue regimes in Africa and hindering fundamental development in the
region. It is important to note that the perception of
China's policy in Africa depends on one's vantage point, as the saying goes,
"where you stand depends on where you sit". To provide a balanced
analysis that combines theory and reality while avoiding broad generalizations,
this section will utilize case studies and secondary data, such as newspaper
articles, to shed light on China-Africa relations. By doing so, we can better
understand the complexities and nuances within China's policy towards
individual African countries and present a more comprehensive assessment of the
relationship.
The Role of The State in The Chinese
Foreign Policy: Case Study: Angola
China's African strategy is primarily
driven by its resource needs, which is evident in its rhetoric of
"China-Africa engagement" and "South-South partnership."
Since the economic reforms of 1978, China has experienced exponential growth
and emerged as a global manufacturing and production hub. This rapid
development has created an insatiable demand for natural resources,
particularly energy, and minerals, as outlined in its energy strategy.
Angola, being resource-rich, has
become a target for China's resource acquisition. China's focus on Angola is
primarily centered around oil, as it became a net importer of oil in 1993.
Following the civil war in Angola, the country focused on post-war
reconstruction, with oil playing a significant role in its economic revival.
China's national oil companies (NOCs) have been actively involved in Angola
since 2003, acquiring stakes for exploration and production while importing
Angolan oil. The economic and trade ties between China and Angola have expanded
since the 1980s, reaching US$120 billion in 2010, making Angola China's largest
African trade partner. Angola's accession to the Organization of Petroleum
Exporting Countries (OPEC) in 2007 solidified its position as Africa's top oil
producer, surpassing Nigeria in 2008. Oil constituted a significant portion of
Angola's GDP, exports, and government revenue, enabling economic recovery,
infrastructural development, and trade opportunities with China.
While the China-Angola relationship
is often hailed as a win-win cooperation and an alternative path to development
without Western democratic conditions, it presents challenges to Angola's
democratic processes. The "First Law of Petropolitics" by Thomas L.
Friedman suggests an inverse relationship between crude oil prices and the pace
of freedom and democracy. Therefore, the extensive reliance on oil revenues may
hinder democratic progress in Angola. From a macroeconomic perspective, the
China-Angola bilateral relationship is asymmetrical. Angola primarily uses its
oil to repay Chinese debt, leading to limited benefits for Angola and a
potential trap in China's so-called "debt trap diplomacy." This
approach involves using natural resources as collateral security for loans,
resulting in Angola's liquidity crisis, with an accumulated debt of
approximately US$60 billion over two decades.
The discussion of China-Angola
relations often focuses on state-level interactions, neglecting the
socio-economic dimensions within Angola. The oil sector, which relies heavily on Chinese investments and loans, has failed to create enough jobs and diversify the economy. The presence of Chinese workers has also increased social tensions in Angola, where the unemployment rate reached 32.7% in 2020, causing distress in Angolan society. Additionally, the
influx of cheap Chinese imports may lead to deindustrialization, although this
aspect requires further examination and contextual understanding. Overall,
China's foreign policy interests in Angola revolve around resource acquisition
and economic cooperation, but they also have consequences for Angola's domestic
economic and social dynamics. The over-dependence on Chinese investments in the
oil sector and the associated challenges highlight the need for a comprehensive
analysis of the long-term impacts of China's engagement in Angola.
The Role of Chinese Multinational
Cooperations (MNCs) In Chinese Foreign Policy: Case Study of Tanzania And
Zambia
Chinese foreign policy has been
significantly shaped by its "going global" strategies, which
prioritize trade diversification, secure access to raw materials, overseas
investments, and contracting opportunities. In this context, Chinese
multinational corporations (MNCs) play a central role, particularly in
China-Africa relations, as they heavily influence the dynamics of the
relationship. These state-owned and funded
MNCs are transforming not only the African economic and political landscapes
but also the global stage. Spanning various sectors such as telecommunications
(e.g., Huawei), information and communication technology (e.g., Lenovo),
agriculture, and construction, these Chinese MNCs are instrumental in
furthering China's interests.
According to the latest data, China's overseas direct investment (ODI) reached $43 billion in 2022, of which about $5.2 billion was allocated to Africa. China's
state-owned enterprises, such as the China National Petroleum Corporation
(CNPC), have invested in oil assets in countries like Sudan and Chad.
Similarly, CNOOC, another state-owned enterprise, has acquired energy interests
in Morocco, Nigeria, and Gabon. According to recent data, China is the world's top importer of both crude oil and natural gas since 2018, and Africa is its second largest supplier after the Middle East. Angola, Congo Republic, and Libya are the main African exporters of crude oil to China, accounting for more than 15% of its total imports in 2019. China's NOCs are also investing heavily in the exploration and production of oil and gas resources in Africa, especially in Nigeria, Angola, Uganda, and Mozambique.
While some state-owned MNCs are
undergoing structural changes and privatization to diversify industries and the
economy, Chinese MNCs continue to play a crucial role in advancing Chinese
foreign policy objectives. These MNCs exhibit variations in terms of size,
capacity, capability, ownership structure, and methods of operation. Analyzing
the diverse nature of these MNCs and their consequences is essential to
understanding the broader implications for Chinese foreign policy. To explore
these variations and their effects, the cases of Tanzania and Zambia will be
examined as comparative studies.
A comparison of the construction industries in Tanzania and Zambia reveals some interesting differences and similarities. According to the latest data available, the construction sector in Tanzania contributed about USD 6.7 billion to the country's GDP in the first three quarters of 2021, accounting for about 14.4% of its total output. In contrast, the construction sector in Zambia added about USD 3.3 billion to its GDP in 2016, representing about 27.5% of its economic activity. Despite the disparity in their economic sizes, the analysis of Chinese construction companies in these contexts is still relevant.
In Zambia, the government, led by
former President Levy Mwanawasa, implemented legislation and regulations aimed
at curbing corruption in the awarding of public tenders. Consequently, local
indigenous construction companies have become the dominant players in the
industry. In Tanzania, however, the construction sector continues
to be dominated by foreign companies, including Chinese firms. This is
primarily due to the lack of competitive skills, experience, and financial
resources among indigenous companies, making it difficult for them to engage in
large-scale projects.
China, through its Ministry of
Foreign Relations and Trade (MOFERT), continues to provide financial and
economic support to both Tanzania and Zambia. This assistance primarily takes
the form of soft commercial loans and aid focused on infrastructure development,
including transportation and water supply projects. Additionally, China offers
technical assistance across various sectors. Despite the efforts
made by the two African governments to facilitate local companies' access to
credit lines, Chinese firms still maintain a competitive advantage. Local
companies face significant challenges in securing capital for major projects
and winning tenders. Moreover, Chinese construction companies often import
materials from their home country or from Dubai, arguing that the quality of
local construction materials, such as iron, is inadequate due to their high carbon
content. This practice negatively affects local markets that produce similar
products.
The relationship between China and Africa in the construction sector has a significant dimension of labor. Chinese firms have been criticized for exploiting their own and local workers by paying low wages and exposing them to harsh working conditions. The proportion of local workers employed by Chinese companies in Africa varies widely, depending on the host country's labor regulations, the type of industry, and the size of the firm. However, they also note that there is a lack of career progression for African workers, who are often hired as casual laborers under short-term contracts and rarely attain managerial positions.
A Human Rights Watch report published on November 3, 2011, exposed the poor labor rights and safety standards of Chinese-owned companies in Zambia, especially in the copper mining and construction sectors. The report, based on interviews with 170 copper miners, revealed that workers in Chinese-run mines faced long hours, low wages, threats of dismissal, and hazardous conditions. The report also compared the situation in Zambia with a 2005 study by the International Labour Organization (ILO) that found similar abuses by Chinese contractors in Tanzania. According to the report, China's investment in Zambia's copper industry could benefit both countries, but only if the Chinese companies respect the workers' rights and comply with Zambian laws.
These findings underscore the
persistent challenges faced by workers employed by Chinese enterprises in
various African countries. The disregard for fundamental labor rights not only
undermines the well-being and safety of the workforce but also raises concerns
regarding the ethical conduct and social responsibility of these companies.
Addressing these issues is crucial to ensure fair and just working conditions
for all employees, regardless of their nationalities or the companies they work
for.
CONCEPTS OF CHINESE FOREIGN POLICY IN
AFRICA
Chinese foreign policy in Africa is centered around promoting bilateral and multilateral trade agreements that facilitate the exchange of commodities between China and African countries. Upholding the principle of mutual agreement and benefit, China has opened its market to African goods while simultaneously meeting the resource demands of its growing industries through outsourcing from Africa. A prime example of this dynamic is the China-Angola relationship, where Angola has utilized oil trade with China and Chinese investments to drive post-war reconstruction and infrastructural development. However, this relationship has also exhibited imbalances, with China leveraging oil-backed loans to its advantage and exchanging natural resources for infrastructure, resulting in limited Angolan oil reaching the open market. In line with the dependency theory, this exploitative relationship, characterized by a core-periphery dynamic, is not unique to Angola but extends to other African countries as well.
It is appropriate to look at China's exploitative engagement in
Africa, using structural realism to analyze bilateral relationships in terms of
relative power capabilities. As China seeks to bridge its resource gap by
engaging with smaller states like Angola, it's superior military and economic
might give it the upper hand. This asymmetrical and imbalanced relationship is
applicable to the broader African context, aligning with the principles of
structural realism. By doing so I can safely assert that great powers
naturally pursue territorial gain, economic benefits, and political influence,
often employing any means necessary to maximize their power and survival. As a
result, weaker states find themselves caught between alliances formed by great
powers, becoming pawns in the rivalries of these global actors. Consequently,
Angola and many other African countries find themselves entangled in the power
struggle between the West and the East, reminiscent of the historical
"scramble for Africa."
Investment, particularly through
foreign direct investment (FDI) and concession loans provided by Chinese
international banks, is another crucial aspect of China's foreign policy in
Africa. Chinese multinational companies receive financial support to secure
resources and markets globally. Key institutions supporting this policy include
the China Export-Import Bank (China Eximbank), established in 1994 to offer
preferential government loans facilitating trade and investment, particularly
in the Global South, and the China Development Bank (CDB), established with the
objective of meeting China's domestic and international development needs.
These banks provide credit lines and loans at low-interest rates without the
conditionality of "good governance." For instance, China offered a two-billion-dollar
oil-backed loan from Exim Bank to Angola, which was easily accessible compared
to the neoliberal loans offered by the IMF for post-war reconstruction.
However, the lack of conditionality
in Chinese aid has drawn criticism due to its potential to enable African
states to disregard environmental and human rights standards. China has become
one of the largest providers of foreign aid and financial assistance, but its
reputation as a “rogue donor” stem from media reports highlighting substandard
projects, low environmental standards, and mistreatment of workers. Cases in
Zambia and Tanzania exemplify this pattern. African leaders, dissatisfied with
condition-based aid from the West, have embraced China's non-condition and
non-interference-based financial aid. However, such a preference has
detrimental consequences for the general population, as these policies
primarily benefit a select few elite individuals who have a stake in these
questionable projects and deals.
To conclude Africa remains a crucial
component of China's South-South cooperation. Just like any other nation,
China's foreign policy towards Africa is primarily driven by its domestic and
state interests. In this context, China's foreign policy is heavily influenced
by its need to meet the demands of its rapidly growing economy, which requires
substantial amounts of energy resources. Consequently, Africa serves as a
valuable source of resources, such as oil and copper, to meet the production
requirements of Chinese industries.
Furthermore, China's foreign policy
is strategically designed to secure access to foreign markets, and Africa, with
its large population and lower levels of production, presents a favorable
environment for Chinese products. To achieve this objective, China utilizes
various diplomatic tools in its arsenal. These include providing financial
assistance in the form of foreign direct investment (FDI) and encouraging
Chinese companies to invest abroad, thereby gaining a competitive advantage
over Western counterparts. Additionally, China engages in bilateral and
multilateral trade agreements. Although these agreements are often presented as
based on principles of mutual benefit and equality, it is important to
recognize that China, as an emerging superpower, possesses a competitive edge
over African countries. Consequently, while there may be some benefits to be
gained, such as Angola's successful post-war reconstruction through bilateral
engagement with China, the overall relationship appears to be asymmetrical,
with China deriving greater advantages from the partnership.
Finally, one key concern regarding China's foreign policy in Africa relates to the issue of governance. Chinese financial assistance to Africa is not contingent upon principles of "good governance," meaning that China's priorities prioritize its own interests above considerations of governance. This lack of conditionality raises concerns about the long-term impact on governance structures in African nations.
In summary, Africa plays a
significant role in China's South-South cooperation, driven by China's domestic
and state interests. The pursuit of resources and access to markets are key
factors shaping China's foreign policy in Africa. While some African countries
have benefited from this relationship, there remains an inherent asymmetry,
with China reaping greater advantages. Additionally, the absence of
conditionality in Chinese financial assistance raises governance concerns.
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