U.S. President Barack Obama and Tanzanian President Jakaya Kikwete (L) greet Tanzanians during an official welcoming ceremony in Dar Es Salaam, July 2013. This is true both across sectors as well as within the same sector (or same market). The training of Ghanaian journalists in China and visits to that country to attend conferences and seminars on media and interact with Chinese journalists could be viewed as a calculated attempt by Chinese leaders to influence the perspectives of African journalists. One case study of Sudan deals with the political presence of China in Sudan and the extent to which Chinese arms suppliers contributed to the current crisis in Darfur. This is particularly true in the least developing economies. Men wave Chinese and Senegalese flags as they await the arrival of China's President Hu Jintao and his Senegalese counterpart in Dakar, Senegal, February 2009. . RAND researchers have assessed Chinese and African goals, African perceptions of China, how China has adjusted its policies to address local reactions, whether the United States and China compete in the region, and how Washington and Beijing might actually cooperate to their mutual benefit. Major HBR cases concerns on a whole industry, a whole organization or some part of organization; profitable or non-profitable organizations. Impact of China-Africa Investment Relations: Case Study of Ethiopia . Many African leaders believe that as a fellow developing country, China has more altruistic motives than Western governments and corporations do. Institute of African Economic Studies. Read more, One Woodrow Wilson Plaza1300 Pennsylvania Ave. NWWashington, DC 20004-3027, By Hands Now Known: Jim Crow's Legal Executioners. For instance, investments (stock) (2010-2018) in the manufacturing sector reached ETB 29.17 billion (about US$570million). As a result, China has built trading relationships with countries rich in raw materials, which many African countries are. September 29, 2022 The way Chinese firms behave in foreign countries largely depends on their local improvisation and ability to bargain with host country states. It identifies three models, namely traditional agro-aid, innovative agro-aid and agribusiness models, of Chinese current agro-development cooperation with Africa, and In this edition of Wilson Center NOW we speak with Southern VoicesNetwork for Peacebuilding Scholar Emmanuel Matambo. RAND is nonprofit, nonpartisan, and committed to the public interest. And that the firms have region-specific characteristics. This contrasts with the fact that Chinese construction firms are ubiquitous, especially in infrastructure projects. Most analyses of Chinese engagement with African nations focus on what China gets out of these partnerships primarily natural resources and export markets. He is based in Ghanas capital, Accra, and has been practicing journalism for 32 years. These modifications include a greater emphasis on "sustainability" in the economic and trade relationship; the promotion of Chinese soft power, culture, and people-to-people exchanges; and proactive engagement in the security and stability of conflict-prone areas in Africa. First, it wants access to natural resources, particularly oil and gas. with Christopher J. Dodd, John E. Sununu and Amy Walter Furthermore, studies of determinants of Africa-China trade highlight that Chinese imports from resource-rich African countries is not deterred by poor governance of these economies (Alden, 2007; Wood et al., 2014). It is estimated that, by 2020, China will import more oil worldwide than the United States. To achieve this, Beijing has launched a multipronged approach, including engaging the media directly by sponsoring African journalists visits to China to cultivate how the media should function from Chinas perspective. One common problem with this perception is the seeming acceptance of what's called. Their entry into Ethiopia was driven mainly by its proactive industrial policies and its committed political leadership which highlights the countrys comparative advantage. China is attracted to Africa by its natural resources and export markets, while African leaders hope Chinese engagement brings economic development. But they have distinct characteristics in comparison to global private firms. It also revealed that most private firms in Ethiopia are from specific coastal regions. by Paul J. Angelo It has, to a certain extent, my research refutes the assertion that African countries are passive or impotent . African governments look to China to provide political recognition and legitimacy and to contribute to their economic development through aid, investment, infrastructure development, and trade. Dr Weiwei Chen works in the Department of Development Studies at SOAS,University of London. To guarantee future supply, China is heavily investing in the oil sectors in countries such as Sudan, Angola, and Nigeria. Susan Devlin. A feature of this engagement is inter-elite brokerage which tends to bypass domestic channels of accountability and so undermines good governance. In her book The Specter of Global China, sociology professor Ching Kwan Lee points out that: popular discourse and consciousness do not distinguish between state and private Chinese investors, who were all lumped together as Chinese companies. Guiding this undertaking is Beijing's view of Africa as a continent well-suited to China's political governance and economic development model. Indeed, the concepts of neo-colonialism or neo-imperialism have been often used to describe Chinese interest in Africa. Describe China's strategy in Africa. In Zambia the mining industry, construction and agriculture are described. Increasingly, Ethiopia has been seen as an emerging destination for light industry such as textile, apparel and footwear. By 2012, the number will be up to 5500. by Claire Klobucista Labor unions, civil society groups, and other segments of African societies criticize Chinese enterprises for poor labor conditions, unsustainable environmental practices, and job displacement. It is an African philosophy and a principle that is being promoted by the international bodies of social work. These include: the policies of the newly structured Prosperity Party under Dr Abiy Ahmed, which has been in power since 2019, an ongoing and escalating civil war between Tigray Peoples Liberation Front and the federal government, The USs termination of the trade agreement-the African Growth and Opportunity Act from Ethiopia on 1 January 2022. It has, to a certain extent, my research refutes the assertion that African countries are passive or impotent when it comes to outward foreign direct investment. Common perceptions about Chinese engagement in Africa are that it is one-dimensional and sometimes biased. Beijing's adjustments have the potential to benefit both China and its African partners. Meanwhile, Africa, a continent with 54 officially recognised states, has often been portrayed as a fragile, vulnerable single entity that has been exploited by China. with Alan Cooperman and Elaine C. Kamarck, with Christopher J. Dodd, John E. Sununu and Amy Walter, Chinas Approach to Development in Africa: A Case Study of Kenyas Standard Gauge Railway, Potential Scenarios in Thailands Election. Emmanuel K. Dogbevi is the Managing Editor of the Ghana Business News, a website he founded in 2008, and the Executive Director of NewsBridge Africa, a media training and advocacy nonprofit organization. My research focused on Chinese private investment in Ethiopia between 2008 and 2018. Author, calculated and compiled based on data collected from EIC (2019), Senior Research Fellow, Environmental Biogeochemistry. Case Study: China in Africa Executive Summary Africa has been open for many businesses in foreign countries for centuries. Ubuntu generally means humanity. My findings showed that that the going out strategies of Chinese firms were as a result of increasing costs. These include: small to medium-sized family-owned firms that focus on the domestic market, traditional original equipment manufacturing that focus solely on the export market, and. The potential lack of resilience of the emerging sectors and new investors could derail the successful industrialisation process to which many Chinese firms have greatly contributed in Ethiopia. This is to generate greater employment Then those from inland China. In the EU's case, the reverse could also occur, with an expansion to include Turkey . owner-operated firms in the construction materials sectors. /content/admin/rand-header/jcr:content/par/header/reports, /content/admin/rand-header/jcr:content/par/header/blogPosts, /content/admin/rand-header/jcr:content/par/header/multimedia, /content/admin/rand-header/jcr:content/par/header/caseStudies, China's Role in the Global Development of Critical Resources, Ambiguities of Bruen Decision Will Affect State Gun Regulation, Lessons from the Pandemic, Diplomacy in Ukraine, Defending Taiwan: RAND Weekly Recap, Wait Times for Veterans Scheduling Health Care Appointments, The Equity-First Vaccination Initiative's Challenges and Successes, Improving Psychological Wellbeing and Work Outcomes in the UK, Getting to Know Military Caregivers and Their Needs, Planning for the Rising Costs of Dementia. A04/2011 . Many have relocated their industrial capital there. July 19, 2022, Climate Change and Regional Instability in Central America, Report Finally, China has sought a more constructive role as contributor to stability in the region, partly to mitigate security-related threats to China's economic interests. The study by the African Futures and Innovation team at the Institute for Security . A study conducted in 2018 found that 270 out of 1,814 BRI-related projects had problems related to debt sustainability, labor and environmental standards, national security, transparency, and corruption. To do so, it employs five major lines of effort: 1) Exporting methods of . This challenges the common perception of Chinese engagement in Africa being dominated by state owned enterprises in mining and infrastructure construction sectors. In the EU's case, the reverse could also occur, with an expansion to include Turkey and a . China's Approach to Development in Africa: A Case Study of Kenya's Standard Gauge Railway . The trade between Africa and China has seen explosive growth over the last two decades, from $10 billion in 2000 to over $200 billion in 2018, and China has become the continent's largest trading partner. Addis Ababa, Ethiopia . While the United States and China may not be strategic rivals in Africa, the two countries could increasingly compete commercially if American businesses become more engaged in African markets something that President Obama clearly hopes to foster though the multiple trade- and infrastructure-related initiatives he announced during his summer 2013 trip to Senegal, South Africa, and Tanzania. Renewing America, Backgrounder Alemayehu Geda (Addis Ababa University and IAES ) Atnafu G. Meskel (PhD Candidate, Addis Ababa University ) IAES Working Paper Serious NO. October 27, 2022 Good-governance watchdogs warn that China negotiates unfair deals that take advantage of African governments' relative weaknesses and that foster corruption and wasteful decisionmaking. This study's goal is to determine whether China is using a new form of neo-colonization on African countries, and if so, how China is doing this. China has four overarching strategic interests in Africa. Addressing economic and investment resilience remains a critical challenge. African leaders praise China's contributions to their nations' infrastructure, highlighting visible improvements that contribute to expanded economic activity, job creation for local workers, and tangible improvements to roads, rails, bridges, and other transportation networks all things that benefit ordinary citizens, if indirectly. For this case study, see here. The Chinese government believes that strengthening Sino-African relations helps raise China's own international influence. China's economic involvement with the continent has steadily expanded over the past decade. Venter and others published Towards Sustainable Livelihoods: Case study in the Eastern Cape Province, South Africa: A Multi Criteria Analysis Approach . The Africa Program works to address the most critical issues facing Africa and U.S.-Africa relations, build mutually beneficial U.S.-Africa relations, and enhance knowledge and understanding about Africa in the United States. Given Chinas enormous soft power, governments in Africa could clamp down on media coverage that is critical of China to appease the Chinese government. Chinese interests on the continent encompass not only natural resources but also issues of trade, security, diplomacy, and soft power. Pyle Center for Northeast Asia Studies, John M. Shalikashvili Chair in National Security Studies, Center for Innovation, Trade, and Strategy. Analysis shows that China impacts on African development in multiple ways that go well beyond aid. Like other Western knowledge, its capacity for indigenisation should be a shared interest nowadays. This article assesses the utilisation of Ubuntu for a rural development programme in China. Much of this investment in Africa has come via the Belt and Road Initiative (BRI). In reality, neither the Chinese state nor Chinese businesses can be thought of as homogeneous. Considering the fact that media organizations in Africa have limited resources and most are faced with sustainability challenges, a wealthy country like China, which has shown considerable interest in investing in media, could be seen as a potential ally and possible source of funding. This essay considers Ghana as a case study of Chinas strategy to influence media in Africa and thereby strengthen its foothold on the continent. Educational co-operation within the China-Africa Relation has been identified as an important sector on which Africa can leverage to boost its education and skill development, that have been some of the bottlenecks of Africa's development. Combine state intervention with economic incentives to attract private investment. by Lindsay Maizland The occasion of the Chinese ambassador to Ghana calling on the Ghanaian government to tell journalists how to report about China is a good example of the use of soft power to get favorable news coverage. Former Southern Voices Network for Peacebuilding Scholar; Director of Digital Programming; Moderator, Wilson Center NOW, 2022 The Wilson Center. This report is part of the RAND Corporation Research brief series. The first is the type of firm (in terms of scale, history and origin of investment). China is both a long-established diplomatic partner and a new investor in Africa. China has four overarching strategic interests in Africa. Matambo discusses his project which focuses on China's relations and investment in Zambia and how this has shaped politics and recent elections in that nation. For information on reprint and reuse permissions, please visit www.rand.org/pubs/permissions. February 2009. China or the EU. Chinese exports to Africa [3] amounted to USD 113 billion in 2019, while imports from Africa [4] reached USD 78 billion; the volumes have been steadily increasing for the past 16 years. This document and trademark(s) contained herein are protected by law. As of 2018, FOCACs commitment stood at U.S. $155 billion. RAND research briefs present policy-oriented summaries of individual published, peer-reviewed documents or of a body of published work. To guarantee future supply, China is heavily investing in the oil sectors in countries such as Sudan, Angola, and Nigeria. The trade balance with China was generally favourable to Africa until 2012, but it has since been marked by large trade deficits ($46 billion . As of 2018, FOCAC's commitment stood at U.S. $155 billion. Examples include the supposedly dominant role of state-owned enterprises in Chinese investment in Ethiopia. Global Climate Agreements: Successes and Failures, Backgrounder Evidence shows that profit-making and market-seeking are common interests for Chinese private firms. This is true by the number of projects and as well as by value. To stave off climate-induced instability in Central America, national governments and regional and international organizations all have a role to play to develop both immediate crisis response and long-term instability mitigation, argues Paul J. Angelo. Midterm Elections, Virtual Event In their view, China perpetuates a neo-colonial relationship in which Africa exports raw materials to China in exchange for manufactured goods. 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