Posts
China is now Brazil's largest export market, surpassing the U.S. However, in 2008 China also surpassed the U.S. becoming Africa’s largest trading partner. Trade between China and Africa totaled $107B in 2008. See below the staggering difference bwteeen China's and the U.S.' Balance of Trade charts:
This weekend saw more proof of this. The fourth FOCAC, ministerial Forum on China-Africa Cooperation took place in Sharm el-Sheikh. Chinese Premier Wen Jiabao and Chinese President Hu Jintao presented several measures on bilateral cooperation, as well as $10B of low-interest loans to African countries.
Premier Wen said: “The Chinese people cherish sincere friendship toward the African people, and China’s support to Africa’s development is concrete and real,” “We will help Africa build financing capabilities".
Not to mention that Africa has all lots of coomodities, most of which China desperately needs. Africa is essential to China’s growth. If they could build a water pipeline from Africa to China they would too.
Chinese oil companies have announced plans to spend at least $16B in Africa. CNOOC Ltd. (symbol CEO on the NYSE) is in talks with Nigeria to 1/6th of the country's oil reserves. At today's prices that is about USD $50B.
China has also very significant investments in Africa in exchange for iron ore, nickel, copper, cobalt, bauxite, silver and gold.
China's GDP:
No comments:
Post a Comment