General

The Economist Intelligence Unit says China will deepen its ties with Africa over the next decade with a focus on trade and is unlikely to be squeezed out by the West trying to re-engage with the continent.

The Asian country is likely to continue investing in Africa's natural resources, and it is also likely to see the continent as a source of food, increasing its agriculture-related inputs, the think tank said in a report published on Thursday. The research house also said that Asia could see Africa's young population as a source of labor for manufacturing and Africa as a market for consumer goods.

According to the Economist Intelligence Unit, China hopes to surpass the European Union and become Africa's number one trading partner by 2030; at the same time, Western powers are also working to promote relations with the continent. But the EU's relationship with the continent is complicated, given Europe's colonial history in Africa and the erratic engagement of the past few decades that has led to doubts about its intentions in Africa.

The Economist Intelligence Unit believes that Africa is also skeptical of the motives behind the West's attempts to re-engage. The move, it said, reminded Africa of unfulfilled promises in the past, and was seen as more about countering Chinese influence than working with business partners.

China has held several meetings with African leaders, and its geopolitical rivals are now following suit. Meanwhile, Russia, Turkey, Brazil and Saudi Arabia are also working to develop ties with the continent. In February this year, the EU had already held a summit with the African Union.

The Economist Intelligence Unit said this "will help counter China's influence on the continent to some extent, but not enough to crowd it out".

China has spent about 20 years developing political and economic relations with Africa, so stronger relations between China and Africa now may be good for the economy.

According to the Economist Intelligence Unit, China's focus on food security and its huge demand for food imports are expected to drive large-scale trade and investment flows in African agricultural products and agricultural production.

The think tank also said Africa has a large, young and low-cost workforce that could be a potential outlet for China's labor-intensive manufacturing sector. As China's workforce ages and costs rise, this outlet will become increasingly attractive.

China-Africa relations are already very important. Citing official statistics, the Economist Intelligence Unit pointed out that in 2021, the total bilateral trade between China and Africa will increase by about 35% year-on-year to US$254.3 billion. Among them, exports from Africa to China reached US$105.9 billion, hitting a new high. Nigeria is the African country that imports the most from China, while South Africa is the African country that exports the most to China.

Pat Tucker, editorial director for the Middle East and Africa at The Economist Intelligence Unit, said: "Africa-China relations are clearly entering a new phase. The latest policy initiatives, development strategies and financial commitments all point to deepening and broadening engagement between the two sides. ."