China strongly moving forward in Africa.Egypt begins courting russia and china
2006-11-06
This evening those of the 48 African heads of state who are not staying on for a bit of sightseeing will quit Beijing after a three-day meeting that represents a major new move in China's expansion of its diplomatic and global presence. Though the China-Africa summit was ostensibly to celebrate 50 years of diplomatic relations with Africa, it was in reality a marker for China's future dealings with the continent. Beijing's trade with Africa has burgeoned in a decade and was last year worth some $40 billion. China bought 38 million tons of crude oil from Africa, equivalent to 39 percent of its voracious demand for hydrocarbons. It is also buying up more and more of Africa's other raw materials such as copper, iron ore and timber. This year Sino-African trade is expected to exceed $50 billion. The relationship is, however, not simply mercantile. China is investing both commercially and by soft loans in some 50 black African countries. Beijing does not appear to share the West's concern about African indebtedness and loan defaults. Indeed, unilaterally China has already cancelled $1.5 billion of debt owed it by 31 of Africa's poorest countries. The Chinese are also unbothered by the nature of the regimes with which they are dealing. One government spokesman recently told reporters that business was business. He added that the citizens of a prosperous country were more likely to be able to seize their own political destiny than those in a poor dictatorship where a regime could bolster its power by doling out the means to survive only to those that supported it. In wooing sub-Saharan Africa so assiduously, China is opening up new markets. Its construction firms are gaining invaluable overseas experience working on challenging infrastructure projects. Expect in the next few years to see the arrival of Chinese automobiles in Africa. Beijing will be following Japan's export strategy 30 years ago which focused first on flooding the African market with cheap and durable four-wheel drive vehicles and sturdy trucks. In building close and substantial trading ties, the Chinese are certainly facing economic risks. But a few loan defaults and failed projects will signify nothing in comparison to the advantages that Africa offers Beijing. A secure supply of raw materials is clearly the most pressing need. However, the long-term advantage of creating a large bloc of African support within the UN is clearly also part of the plan. Africa has been plundered by Europe and manipulated shamelessly during the Cold War by both Washington and Moscow. Even now, Western commercial relations are driven by the bloodless economic calculations of the IMF and the World Bank. The Chinese don't have to follow such rules. They can rely on their genius for business, coupled with the fact that as far as Africa goes, historically they have entirely clean hands. The only other emerging economic power that might challenge Beijing is India which, in fact, ought to benefit from its expatriate communities in Africa which have been there for decades. +++AL-AHRAM WEEKLY 1-7 Nov.'06:"Editorial:Eastward ho" QUOTES FROM TEXT: Russia and Kazakhstan are awash with natural resources ... the visit is extremely timely", "Egypt is not being painted as 'an Arab US ally' --Egypt is far too big for this humble positioning" ----------------------------------------------------------------------------------------------------------- EXCERPTS: The Eurasian tour of President Hosni Mubarak, which started yesterday, The Eurasian tour of President Hosni Mubarak, which started yesterday, spells a new beginning for Egypt's relationship with Asia and Russia -- which straddles both Europe and Asia. Mubarak is scheduled to visit Russia, China and Kazakhstan -- three of the world's fastest- growing emerging economies. Russia and Kazakhstan are awash with natural resources, and both Russia and China are industrial giants. Indeed, the visit is extremely timely. . . . . So while the final say in world affairs might be made in the White House, it is important for Egypt, a regional power in its own right, to secure enough world support for its agenda of regional stability. Moreover, Mubarak's visit -- that comes against a backdrop of two years of no presidential trips to Washington -- serves as a good reminder to the "American friend" that Egypt is not being painted as an "Arab US ally" -- Egypt is far too big for this humble positioning. Indeed, reaching out to one of the most influential countries of Central Asia, Kazakhistan, is a clear message about the true weight and wide diplomatic interests that Cairo holds. ============================== Sue Lerner - Associate - IMRA. IMRA - Independent Media Review and Analysis Website: www.imra.org.il

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