China’s Investment In Africa – The African Perspective (via Forbes)
By Steven Kuo
JOHANNESBURG – China’s interest in Africa is often said to come on the back of colonial aspirations. Newspaper headlines scream that Chinese firms, backed by the powerful and deep-pocketed Chinese state, will mop-up Africa’s business opportunities to the detriment of Western and indigenous firms. Given these developments, is it possible for Africa to benefit from increasing Chinese investments in Africa?
While it is easy to conclude that China is taking over and ‘colonizing’ Africa when one sees ‘Made in China’ goods in every African marketplace and Chinese construction crews on seemingly every construction site, it is easy to forget that Chinese goods and labor are able to entering the African marketplace amicably, rather than the historical model by which Beijing would be sailing a warship up to the coast and forcing African governments to accept trade. In fact, Chinese goods and companies are possible in Africa because WTO efforts over the past two decades have decreased trade tariffs and opened up the African marketplace. Ironically, therefore, it is not a ‘colonialist’ China, but the WTO that set the playing field for Africa as an attractive opportunity for China.