China Free Trade Agreement With Africa

The current volume of trade is about $100 million, with the volume of Chinese exports about three times that of Lesotho`s exports to China. China mainly exports textiles and electromechanical products to Lesotho and imports mohair, jewellery and precious metals. „The agreement will open up opportunities for Ghanaian producers,“ said Ghana`s Minister of Trade and Industry, Alan Kyerematen. He also noted that it will „stimulate new local businesses and continue to attract foreign direct investment.“ All of China`s engagement in Africa in recent years has been quite intense. Chinese companies have invested heavily in the establishment of a number of free trade zones and special economic zones, in partnership with relevant African governments across the African continent. Work is still underway to fly this free trade giant. Although tariff reductions have been agreed, some nations will have a direct impact when they come into force, including Burkina Faso, Ghana, Malawi and Zimbabwe. However, competition policy and intellectual property issues have already been agreed, which means that it is largely up to African entrepreneurs and businessmen to bite into the acid apple and adapt to a common market instead of focusing on their purely domestic trade. These are quantifiable points, although partially dependent on the political landscape. It will take time. In the longer term, and given the huge network of Chinese free trade zones and economies that has emerged along the Belt and Road Initiative, including throughout Africa, further study is warranted. Some major projects are stopped, such as in Angola, where 2/3 of a $4 billion CIF fund has disappeared, we do not know where this money went.

[30] [31] Subsequently, a major Chinese-backed oil refinery project was rejected by Angolan officials for unclear reasons, causing problems for Sino-Angolan relations. [31] The Chinese government helps „by all possible means“ by providing information, legal advice, low-interest loans, and cheaper countries after their return to China, in exchange for all services provided to the Chinese nation in Africa. [59] PRC embassies are full-time supporters of Chinese economic progress in Africa and use the many well-organized Chinese pioneers in the diaspora.