News and discussions are circulating about China’s intention to negotiate and sign a new economic pact with Africa that will remove tariffs on 53 African countries (Eswathini not included). Many people are excitedly touting the great opportunities for Africa, including access to China’s sizable domestic market.
However, if you are an African nation-builder who lives in a perpetual state of envisioning and strategic thinking of African interests, seeing beyond the surface and assessing every global geopolitical action from the strategic position of its potential 100-year effect on African development… you will not be moved one bit by such news. Rather you would be cautious, ask objective questions, and even be prompted to conceive and enact safeguarding measures for the welfare of the African people.
There is much value in this proposal for Africa. However, one of my objective concerns is that, considering the disunity and lack of collective strategic cooperation among African leaders, the zero tariff measure is a potential trojan horse for China to capture the benefits that the AfCFTA was supposed to provide Africa.
I will briefly highlight a few points of many others:
The AfCFTA is meant to promote inter-African trade through zero-tariffs, so Africa becomes one marketplace. Increased production and increased supply and demand will increase purchasing power by increasing the rotation of African currencies within Africa. However, by removing tariffs for African countries China has now shrewdly pulled the carpet from under Africa and taken power from the AfCFTA (African Continental Free Trade Agreement)… without many noticing it. How?
China is a master of processes, logistics and efficiency. While that is one of Africa’s weakest points, and African countries have not yet developed the efficient systems and logistics required to fully harness the AfCFTA.
Now China is deeply embedded in African countries today, so with this zero-tariff measure they will just use their established presence and pipeline to make it easier and more efficient for African goods to go to China INSTEAD of another African country. Thereby intercepting the AfCFTA! This is not nefarious on China’s part, just shrewd business!
And once again, African leadership is in disarray and found sleeping! And of course, the African Union as usual will remain in the ineffective shadows, comatose.
When I look at Africa, my mind is seriously always blown by the chaotic and terrible state of its leadership (few exceptions). I search my soul, and I find no understanding for the poor and embarrassing display of statesmanship that I see from African leaders today. The people are so talented and accomplished, but its leadership…! Let me stop now before my blood pressure rises and I get a headache.
In short, African leadership needs leadership.
~Dr. Ikenna A. Ezealah, Ph.D., MBA
Builder of the African Future
See: China says it will remove all tariffs on African exports to boost trade