China, South Africa mark 20 years of diplomatic relations

26th April 2019

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

     

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The win-win, shared development characterising the China-South Africa relationship has entered a new “golden harvest period” after 20 years of established diplomatic relations, says Changsha Municipal People’s Government vice-mayor Qiu Jixing.

Speaking during a week-long China (Changsha)-South Africa Bilateral Economic and Trade Cooperation Promotion Conference, in Johannesburg, in April, he noted that 2019 marked an important year for China-Africa cooperation.

South Africa’s ties with China display “strong developmental momentum” as more bilateral ties with Changsha are established, ahead of the inaugural China-South Africa expo and conference in June.

“The relations between China and South Africa have become an exemplary model for South–South cooperation, leading to a comprehensive strategic partnership,” he said.

China and South Africa have long been advancing their bilateral relationship from a strategic and long-term perspective.

Preliminary statistics show that China’s direct investment in South Africa has exceeded $25-billion in cumulative terms, creating hundreds of thousands of jobs for local communities.

In 2018, trade volumes between the duo reached $43.55-billion, a more-than-27-fold increase, compared with two decades ago.

Leap Forward

“The relationship between the two countries has achieved a leap forward [in] development, [growing] from a partnership into a strategic partnership [and eventually into] a comprehensive strategic partnership,” said embassy of the People’s Republic of China in South Africa economic and commercial counselor Zhao Zhongyi.

China had been the biggest trading partner for South Africa for ten consecutive years, and South Africa had been the foremost and biggest trading partner in Africa for China for nine consecutive years, he explained.

China-South Africa economic trade cooperation has flourished, the scale and areas of cooperation have been continuously expanding, and many achievements have been made over the years, with a strong development momentum of political mutual trust, economic and trade cooperation, cultural interchanges and strategy cooperation.

South Africa has the highest comprehensive strength among African countries, with three distinctive advantages: rich resources, mature economic development conditions and a prominent location, said Zhongyi.

“Infrastructure, science, manufacturing, communications and other fields are at the forefront of Africa, and South Africa has a strong lead over [its] neighbouring countries and can play a leading role in further development.”

Investment Projects

“Changsha had six investment projects in South Africa, with a total investment of $8.29-million and a contractual investment of $7.5-million, mainly related to firecrackers, medical equipment, electronic materials, mechanical products, mineral development, construction and other industries,” said Jixing.

In 2018, the city completed import and export trades of $153.6-million to South Africa, an increase of 127%.

“It is hoped that, through this visit, we will increase understanding, expand exchanges, deepen cooperation and further promote the all-round development of friendly exchanges between Changsha and South Africa,” he added.

The parties aim to further promote mutual exchanges, resource sharing and complementary advantages to open a new chapter in cooperation in infrastructure construction, agriculture, energy and minerals, finance and culture.

The Changsha-South Africa trade cooperation forms part of China’s active implementation of eight major actions to build a new mechanism for Sino-Africa cooperation.

In 2018, Chinese President Xi Jinping, during his third State visit to South Africa, presented a new blueprint for China-Africa cooperation and enhanced comprehensive cooperation between China and South Africa.

“To build an even closer China-Africa community with a shared future in the new era, China will, on the basis of the ten cooperation plans already adopted, launch eight major initiatives in close collaboration with African countries in the next three years and beyond,” he said during a keynote speech at the opening ceremony of the 2018 Beijing Summit of the Forum on China-Africa Cooperation.

One of these initiatives is the inaugural China-South Africa economic and trade expo and conference, to be hosted in the Changsha municipality of the Hunan province, from June 27 to 29.

The parties encourage Chinese companies to use this platform to increase investment and build and upgrade a number of economic and trade cooperation zones across Africa.

“This expo will foster visible trade and expose our trade and expertise to the market,” said Jixing, extending an open invitation for all South African businesses to participate.

Under the framework of the China-Africa Cooperation Forum, the China-Africa Economic and Trade Expo will create a platform for local economic and trade cooperation with Africa, as well as a base for the implementation of the China-Africa Cooperation Forum economic and trade measures.

The other initiatives under the eight-point plan span areas such as infrastructure coopera- tion plans; trade facilitation; green development; capacity building; healthcare; people-}to-people exchange; and peace and security.

To ensure the eight initiatives are implemented on the ground, China will extend $60-billion in financing to Africa in the form of government assistance, as well as investment and financing by financial institutions and companies.

Edited by Martin Zhuwakinyu
Creamer Media Senior Deputy Editor

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