The economic impact of the rising China on the China-Africa relationship : a case study on China's relationship with South-Africa, Uganda and Nigeria | |
| Author | Desta, Amleset |
| Call Number | AIT RSPR no.SM-06-05 |
| Subject(s) | China--Foreign economic relations--Uganda China--Foreign economic relations--Nigeria |
| Note | A research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration, School of Management |
| Publisher | Asian Institute of Technology |
| Series Statement | Research studies project report ; no. SM-06-05 |
| Abstract | This research paper aims to provide insights to the current status of the China-Africa relationship, prospects and challenges that it faces now and in the future and gives a brief recommendation on how to enhance this relationship for long-term mutual gain. China-Africa friendship is embedded in the long history of interchange. Sharing similar historical experience, China and Africa have all along sympathized with and supported each other in the struggle for national liberation and forged a profound friendship. China and Africa have a past linked by a long and deep friendship, which has stood the test of time and many changes of international affairs. Most African countries today uphold the one-China policy, and 46 of 53 African countries have established diplomatic relations with China. To enhance friendship and cooperation with African and other developing countries is a key element of China's foreign policy. Since the founding of the People's Republic of China in 1949, the succession of Chinese leaders have all attached much importance to the relations between China and Africa, and have worked out a series of principles and policies for the development of China-African relations. Since the establishment of China-Africa Cooperation Forum in 2000, the bilateral trade and economic cooperation entered into a new stage of all-round, rapid and steady development. Africa became the important area of China to completely utilize the international and domestic markets and resources and to implement market diversification. In 2005, China and African countries maintained close high-level exchanges, which indicated the willing of leaders of China and Africa to further enhance friendly cooperation and strongly push forward the development of China-Africa trade and economic cooperation. China-Africa relationship surely faces a number of challenges that need to be resolved using proper political and economic policies. Trade between China and Africa has almost quadrupled since the start of this decade, jumping 36% last year to $39.7bn, according to official Chinese figures. China expects to more than triple the trade volume with Africa in five years to SIOObn According to the China Customs, the bilateral trade volume between China and Nigeria in 2004 reached USS2.18 billion, up by 17.5%, among which China's export to Nigeria was US$1.72 billion, down by 3.7%, while China's import from Nigeria was USS460 million, up by 546.4%. China had a surplus of USS 1.26 billion. In 2002, the trade volume between Uganda and China came to USS33.66 million, among which China's export was USS28.06 million, and import USS5.6 million. The bilateral trade volume between China and South Africa totalled USS 5.91 billion in 2004, up 52.8% over 2003, among which China's exports to South Africa stood at USS 2.95 billion, an increase of 45.5%, while China's imports from South Africa grew by 60.9% to reach USS 2.96 billion. Chinese tourism to Africa has boomed with official numbers doubling 2004 to 110,000. Although China's involvement in Africa is largely viewed as to resource extraction, with the enhanced trade agreement and strengthened Forum for Africa-China Cooperation, the trade mix and trade level can be further enhance to include more non-oil exporting countries into this booming relationship. China-Africa relationship will surely go through highs and lows, but with enhanced and more balanced trade agreements and better governments' policies and commitments of both sides, it xvill not be exaggerated to say it will prosper in the long term |
| Year | 2006 |
| Corresponding Series Added Entry | Asian Institute of Technology. Research studies project report ; no. SM-06-05 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Tang, John C.S.; |
| Examination Committee(s) | Guenou, Roland Amoussou;Ogunlana, Stephen o.; |
| Degree | Research Studies Project Report (M.B.A.) - Asian Institute of Technology, 2006 |