Economy

In a massive windfall for its domestic semiconductor industry, China has unveiled plans to build a giant particle accelerator to assist in the production of semiconductors. Recent reports suggest the world’s second largest economy is preparing to build a 150-metre facility that will use electron beams to produce the important chips – essential for everything…

South Africa is close to securing a deal that would see it receive 66-gigawatts worth of solar panel components from trade partner China. The deal is expected to be finalised at the 15th annual BRICS summit, when representatives from Brazil, Russia, China, India and South Africa meet in Johannesburg, said electricity minister, Kgosientsho Ramokgopa. The…

South African authorities have announced construction on the Mtentu Bridge has begun. The R4.05 billion cantilever bridge will span the Mtentu River in the Eastern Cape’s Winnie Madikizela-Mandela municipality and, with an estimated height of 223 metres, will be the tallest on the African continent. Conceived by Danish architecture house, Dissing and Weitling, the Mtentu…

Kenyan authorities have reached out to Chinese businesses in a bid to improve their industrial production capacity by establishing manufacturing hubs and special economic zones (SEZ) nationwide. The developing nation is looking to attract investors from several sectors, including textiles, electronics, pharmaceuticals, lifts and elevators, and medical equipment. The initiative forms part of the East…

A Chinese consortium will construct a $650 million toll road in the Zambian Copperbelt province, after several years of delay amidst the Covid-19 pandemic. The proposed 327-kilometre-long roadway joins the Zambian capital, Lusaka, with the country’s third most populous city, Ndola. Once complete, the dual carriageway toll road will form a reliable trade route between…

Trade between Tanzania and its largest import-export partner, China, skyrocketed by nearly 25 per cent in 2022, as the two parties continue to reinforce diplomatic ties after 60 years of cooperation. Trade figures reached $8.32 billion in 2022, said Tanzanian ambassador to Beijing, Mbelwa Kairuki in February, addressing an audience in Hong Kong while promoting…

As the world’s automotive players continue to ramp up electric vehicle (EV) production, Africa is ideally placed to take profit from it. EV manufacturers are scrambling to access rich deposits of lithium, copper, nickel, cobalt and platinum, all essential to the development of zero-emission cars. China, the world’s top EV manufacturer, remains relatively unchallenged in…

Chinese imports of South African agricultural products are proving increasingly valuable, as local and global economies continue to stutter. Citrus and apples grown in the country’s favourable conditions are also growing in demand amongst Asian customers. South African exporters have worked diligently to open new international destinations for produce since 1994. The country has steadily…

Chinese officials have announced a massive infrastructure project that will reroute water from the Three Gorges Dam to Beijing, in an effort to boost food production in the country’s drier regions by as much as 540 million tons. Freshwater resources are concentrated predominantly in the country’s south and east. China’s two great rivers, the Yangtze,…

Cape Town-based mobility firm, GoMetro, has assembled a group of companies and research agencies to test electric minibus taxis in the Western Cape town of Stellenbosch. The news comes as surging fuel prices and emissions targets are forcing many of the world’s governments to move away from fossil fuels and internal combustion engines (ICEs) in…

Bikita lithium mine in Zimbabwe will receive a mammoth $200 million investment after Chinese mining firm, Sinomine Resource Group, announced it plans to construct a complex capable of producing millions of tons of lithium ore per annum. Realising the strategic importance of the element in the electric vehicle (EV) industry, Zimbabwean officials are making moves…

Huayou, the Chinese chemicals and minerals firm, says it expects to create 1 000 new job opportunities for local Zimbabweans during the construction and development phase of the new Arcadia lithium project. The announcement came after the Tongxiang-based company acquired the project from several Prospect Resources Plc shareholders in April 2022. It would invest $300…

China has contacted South African officials regarding the construction of a high-speed rail network and several other large projects, including 5G infrastructure. Large-scale investment into the country is expected to create thousands of jobs in the next three years, said Chinese ambassadors to South Africa. The ambitious rail project had been discussed between the two…

After a bumper year in 2021, South African farmers are gearing up for another stellar export season. Last year, citrus, wine, apple and maize exports saw significant growth. This year, South African pear farmers have cause for celebration as the Chinese market has finally opened up to them. The announcement, which came in late December…

The second-ever China-Africa Economic and Trade Expo in Changsha has wrapped up, strengthening the bond between the two trade allies. The four-day event themed ‘New Start, New Opportunities, and New Accomplishments’ was held in person and online, and featured nearly 1 000 enterprises and government officials, including representatives from more than 40 African countries, according…

South Africa’s citrus season may be coming to an end, but local lemon exporters can look forward to a welcome increase in their export numbers to China. In June 2021, South Africa’s Department of Agriculture, Land Reform and Rural Development signed a new shipping protocol, allowing farmers and exporters to gain an improved foothold in…

Kenyan fintech startup, Wapi Pay, recently raised $2.2 million in a pre-seed round of funding, the largest of its kind on the continent. The African startup specialises in cross-border payments between Africa and Asia using bank accounts and mobile money platforms. Wapi Pay was founded in 2019 by brothers Paul and Eddie Ndichu, after the…

A video of a ten-storey building being built in just over a day has captured the attention of internet users worldwide. The video shows the erection of the large residential skyrise building in Changsha, Hunan Province, China. Assembled by a small crew of builders and several cranes, the multi-level housing block was erected in an…

The skyline of Egypt’s New Administrative Capital (NAC) will be forever changed after the Iconic Tower, Africa’s tallest building was completed, thanks to the latest Sino-African cooperation. Minister of Housing, Utilities and Urban Communities, Essam el-Gazzar, said the new 385-metre skyscraper was modern Egypt’s latest architectural achievement. Construction of the mega-project began when the China…

Currently there are over 5 000 cryptocurrencies in existence and China is fast developing its own digital currency pilot programme.  The Asian power became the first major economy to trial the concept last year and since then, a slew of tech firms and cities have started circulating China’s ‘renminbi’, or digital yuan. China started testing the…

Mauritius and China have signed the first Sino-African Free Trade Agreement, opening the African island nation to new trade opportunities with the globe’s second-largest economy. The deal, which was made official on Friday, coincides with the signing of the African Continental Free Trade Agreement (AfCFTA) which went into effect on the first day of 2021.…

On the back of a stellar citrus season, South African fruit farmers will benefit further as China and South Africa have signed a memorandum of understanding (MOU), boosting trade between the two nations for the next five years. The MOU was signed by the vice president of the China Chamber of Import & Export Foodstuffs…

China, Australia, Japan and 12 other nations in the Asia-Pacific region have signed a free trade deal worth 30% of the world’s economic output and encompassing more than a quarter of the globe’s population, making it the largest of its kind in history. The Regional Comprehensive Economic Partnership (RCEP) was eight years in the making.…

China said it would offer aid and assistance to its African trade partners in their prolonged battle with the Covid-19 pandemic. It has also committed to build on existing economic partnerships across the continent.   Speaking at the virtual China-Africa Cooperation summit on 27 August, Zhao Xiyuan, an official from China’s embassy to Kenya, told…

China has begun trials on the e-RMB or digital Yuan, the world’s first digital currency to be rolled out by a major economic player. The digital Yuan will debut in four of China’s largest cities, according to local media. After initial scepticism about coin offerings, China’s central bank will launch the digital currency before its…

Restrictions on movement, production and trade have seen the global automotive industry grind to a halt. But China, once the epicentre of the Covid-19 outbreak, is seeing its employees slowly returning to work. After car sales in China fell 80% in February during the apex of the pandemic, markets a month later are easing back…

Chinese internet giant, Tencent, and UAE airline, Etihad, will work together to reignite tourism and travel amidst the Covid-19 outbreak. The two signed a Memorandum of Understanding (MoU) in March to establish a partnership focused on increasing consumer comfort and inflight digital activity. Tencent, the tech giant responsible for WeChat, and Etihad, the official airline…

Money transfers between China and Kenya made easier thanks to a partnership between M-Pesa and WeChat London-based fintech firm, SimbaPay, established the link between the two tech giants Millions of people in Kenya use M-Pesa, a cellphone-based service that offers money transfers, financing and microfinancing. Founded in 2007, M-Pesa has more than 80% of the…

There are key lessons that can be learnt from China for sustainable growth in the agricultural industry Solutions at scale and innovation are key China offers various lessons on sustainable growth in the agricultural business. They are: Finance The long-term sustainability of agriculture relies on natural resources, which are affected by climate change. This is…

Chinese firms in Kenya have created around 130 000 jobs for Kenyans 50 000 local jobs created in 2018 Over 400 Chinese operated businesses in Kenya have collectively created about 130 000 jobs for local residents, according to the 2018/19 Social Responsibility Report by the Kenya China Economic and Trade Association. In 2018, 50 000 jobs were created by…

China invests $16 billion into Nigeria’s oil sector China faces dwindling oil production at home China has invested US$16 billion in Nigeria’s oil and gas industry, according to Nigeria’s state-owned National Petroleum Corporation. As Africa’s top oil producer, Nigeria produces two million barrels of oil a day, which it wants to grow to three million…

Sunday 7 July saw leaders from 54 African nations meet to agree on the pan-continental free trade zone China is said to have played a part in the trade agreement The African Continental Free Trade Area, AfCFTA, is a continental free trade zone that, if successful, will connect 1.3 billion people and create a US$3.4…

Strengthening of ties between Chinese and African universities China-Africa meet opens in Uganda for vocational education China and Africa are increasingly working together on educational initiatives. Scholars from various African universities recently visited institutions and cultural centres in China, where they agreed to collaborate with the Chinese on joint research projects in humanities and social…

Deals totalling $20.8 billion concluded at first China-Africa Economic and Trade Expo 1 600 delegates attended from 53 African countries Trade between Africa and China grew by US$20.8 billion following the first China-Africa Economic and Trade Expo held in Hunan province, China, from 27-29 June. The conference, with the theme “Win-Win Cooperation for Closer China-Africa Economic…

Chinese and SA companies sign 93 trade agreements The deals are valued at R27 billion Chinese and South African companies signed 93 trade agreements to the value of R27 billion at a signing ceremony in Cape Town on Friday 21 June. Trade and Industry Minister Ebrahim Patel thanked Chinese companies for having invested over US$10…

The first expo of its kind is set to take place in China’s Hunan province The expo will be the first of many, to be held every two years The first joint Sino-African trade expo will take place in the capital of Hunan – Changsa – from 27 to 29 June. Traders from 52 African…

Africa-China relations have strengthened over the years In turn, Africa has benefited from China’s input Africa has seen steady economic transformation over the years – in part, assisted by the relationship between Africa and China. The transformation is visible in infrastructure, agriculture, communication technology and manufacturing, among others. China’s “going out” strategy, which encourages Chinese…

China donates agricultural equipment to Zimbabwe This will help boost agricultural production China has donated US$136 000 of agricultural equipment to Zimbabwe to help the country reach its goal of becoming an upper middle-income economy by 2030. The equipment will help improve agriculture, which in turn will boost the economy as farming is the backbone of…

China commits to fixing existing trade imbalances with Africa by increasing non-resource imports African nations could benefit by increased trade with other countries China and Africa’s relationship has traditionally seen China extracting resources from mineral rich African countries. While this has allowed African nations to develop their industries, it has led to a large dependency…

In 2016, Chinese vehicle manufacturer Beijing Automotive Group (BAIC) announced an R11 billion investment into a vehicle assembly plant near Port Elizabeth The plant is expected to begin production before the end of 2019 BAIC’s R11 billion investment is the single largest investment in South Africa in 40 years. BAIC officially opened its vehicle assembly…

Chinese firm opens US$45m plastic waste recycling plant in Kenya  Weeco Recycling Company plans to set up another one in Mombasa  Weeco Recycling Company, originally from China, opened the recycling plant in Athi River town in Eastern Kenya. The plant has the capacity to process 2 000 tons of PET bottles every month, which equates…

Chinese President Xi Jinping launched his grand vision in 2013 The plan incorporates two physical routes linking China to a network of countries in Europe, Asia and Africa Africa falls into the Maritime Silk Road route that begins in China and passes along the Ocean littoral to East Africa and then follows onto Europe. The…

The 21stcentury is said to belong to China, but the 22ndcentury could be Africa’s The rising of the African Century could be due to rapid Chinese investment coupled with homegrown innovation  Since 2000 China has invested or committed to invest in excess of $359 billion in Africa, according to the China Investment Global Tracker. This…

Trade and Industry Minister Rob Davies praises R72 million investment in Hisense factory in Cape Town  150 jobs created Hisense started producing a television production line in Johannesburg in 2000. This was its first foray into South Africa. In 2013, it expanded to Cape Town with a R350 million plant in Atlantis. The company expanded…

China has significantly reduced poverty in a decade South Africa can learn lessons, especially having appropriate policy and disciplined implementation South Africa could learn some lessons from China on how to reduce poverty. Over a decade China reduced poverty to such an extent that now only 1.4% of its population are classified as extremely poor.…

China has pledged $60 billion to finance projects in Africa Eskom has secured a loan with the China Development Bank of $33.4 billion. South Africans fear China is ‘taking over’ Africa The outcry by South Africans that China is trying to recolonise Africa are based on a number of myths. Myth 1: Infrastructure financing China’s…

The label ‘Made in China’ used to mean poor quality, cheap products – but this is no longer true Most workers enjoy decent working environments, not slave-like conditions China has a reputation for producing poor quality products in slave-like conditions. While this may be true of some manufacturers, these are in the minority. One widely…

China is considering to postpone its “Made in China 2025” technology plan that aims to develop local expertise and skills and reduce the nation’s reliance on foreign technology. According to sources that spoke to Bloomberg, the country is revising its plans to become an advanced manufacturing leader within a decade until 2035. Initiated in 2015,…

Chinese President Xi Jinping has committed investments of US$14.7 billion (about R) to South Africa on his visit to South Africa this week. The investment was announced by South African President Cyril Ramaphosa at a media briefing held in Pretoria. Jinping is currently visiting South Africa while attending the Brics Summit in Sandton. The Purpose…

South Africa’s beneficial deals such as the BAIC auto plant, launched in Coega, outside Port Elizabeth, won’t be affected by trade tensions between the United States and China, business leaders from the two countries said. According to a report from Fin24, BAIC International chair Xu Hey said the so-called trade war between the two superpowers…