News / Africa

Analysts See African Backlash Against China

Chinese President Hu Jintao (2nd R) and Ghana's President John Atta Mills (2nd L) attend a signing ceremony after a welcoming ceremony at the Great Hall of the People, in Beijing, China, September 2010.Chinese President Hu Jintao (2nd R) and Ghana's President John Atta Mills (2nd L) attend a signing ceremony after a welcoming ceremony at the Great Hall of the People, in Beijing, China, September 2010.
x
Chinese President Hu Jintao (2nd R) and Ghana's President John Atta Mills (2nd L) attend a signing ceremony after a welcoming ceremony at the Great Hall of the People, in Beijing, China, September 2010.
Chinese President Hu Jintao (2nd R) and Ghana's President John Atta Mills (2nd L) attend a signing ceremony after a welcoming ceremony at the Great Hall of the People, in Beijing, China, September 2010.
Anne Look
Ghana has arrested more than 100 Chinese nationals accused of illegally mining gold in that country. Zambia seized a Chinese coal mine in February over safety concerns. And Gabon is planning to take back assets from three foreign oil companies - including one from China. These moves and others have some analysts pointing to a backlash against Chinese investment on the continent. While experts say the China-Africa honeymoon may be over, divorce is not likely.
 
China became Africa's top trade partner in 2009. Bilateral trade hit nearly $200 billion in 2012. Some Africans believe they are getting the short end of the stick, however, as they export valuable natural resources to China without receiving much in return by way of jobs or revenue.

Bright Simons, the director of development research at the Ghana-based IMANI group, said China is no longer seen as just a benefactor giving out loans and sending workers to build cheap or free roads, hospitals and stadiums. China is a business partner.
 
"That newfound pragmatism is all the sudden showing up in so many different places at the same time, which is maybe creating the impression that there is some kind of rolling back of the Chinese-African relationship," said Simons. "My view is that it has just gone to another phase, a more mature phase, where Africans are much more sober about what it will take to engage China on a level playing field. It's becoming quite clear that the Chinese are just as vigilant about potential profits as the Western firms and the Western governments are. And for that reason, there is less of that wide-eyed enthusiasm about China."

Crackdown

Ghana is cracking down on foreigners involved in small-scale gold mining, known as "shallow mining," which Simons said has surged in recent years as the global price for gold has fallen making the more capital-intensive deep-pit mining less profitable. The government has rounded up more than 100 Chinese nationals for deportation.  
 
Only Ghanaians can get government concessions for shallow mining, but Simons said they then "rent" them out to foreigners who have the resources and training to actually get the gold.
 
Analysts say African countries, like Niger and Gabon, just want to get more for their natural resources - more state revenue, more local jobs and a better standard of living.  Worldwide demand for resources like oil, coal, iron ore and uranium has strengthened their bargaining position.  Many countries are also increasingly concerned about exploitative or illegal practices.
 
Ben Payton, Africa analyst for the London-based risk analysis firm Maplecroft, says ties between China and African governments are for the most part "very good and getting stronger." But he said the alleged tough treatment of local workers by Chinese firms could put relations to the test.
 
"In places like Zambia, like Ghana, there's a lot of resentment against the Chinese and a lot of pressure on the government to avoid granting concessions to Chinese companies. In the longer term, pressure from below really is going to be the challenge for the China-Africa relationship," he said.
 
Payton said African countries are setting quotas on the number of foreign employees that companies bring in, and are demanding that investors build refineries to process raw resources locally.
 
China is the world's second largest consumer of oil after the United States. It gets about a third of its oil from Africa, including a small portion from Gabon.

Offshore drilling licenses up for grabs

The central African country is about to kick off a new round of bidding for offshore drilling licenses. At the same time, Gabon's government says it is planning not to renew licenses for existing oil fields held by three international oil firms, including Addax, a subsidiary of China's Sinopec.  

The government accuses Addax of irregularities in reporting its bottom line that reduced Gabon's cut of the revenues generated. Addax has denied this.
 
Payton said this dispute reflects Gabon's desire to derive more benefits from its own natural resources.

"What I suspect is that by cracking down on Addax - because this is the second time that Addax has had one of its licenses revoked -- it's probably trying to create a space for the new state oil company, the Gabon Oil Company, to operate because the fields that were operated by Addax will go to the Gabon Oil Company," he said.
 
But Payton said production at that first oil field seized from Addax has declined considerably since the GOC took over, raising questions as to whether the state-owned company is up to the task.
 
Despite the recent turbulence in Chinese-African economic deals, analysts tend to agree that the partnership is here to stay and will only grow - but perhaps on more equal terms.

You May Like

Photogallery Americans Celebrate Thanksgiving With Feasts, Festivities

Holiday traditions include turkey dinners, 'turkey trots,' American-style football and New York parade with giant balloons More

Video For Obama, Ferguson Violence is a Personal Issue

With two years left in term, analysts say, president has less to lose by taking conversation on race further More

Video Italian Espresso Expands Into Space

When Italian astronaut Samantha Cristoforetti headed for the ISS, her countrymen worried how she would survive six months drinking only instant coffee More

This forum has been closed.
Comment Sorting
Comments
     
by: Wangchuk from: NYC
June 14, 2013 9:50 AM
China is in Africa for only one purpose: to obtain natural resources to feed China's economic development. The Chinese Govt doesn't care about human rights in Africa. They side consistently with authoritarian govts who oppress their own citizens. China doesn't believe in labor or economic rights. They even sided w/ the genocidal regime in Sudan when it started killing African Sudanese.


by: Sam from: Ethiopia
June 12, 2013 7:25 AM
The advantage with the chinese is that they are productive and if govts. are strong and the system less prone to corruption, they can help African countries develop. The reverse is true if govts. are weak and corrupt system prevails. Visible physical end product are the quality of the chinese, unlike the west. I anticipate no backlash in short time period, maybe in decades when what they can contribute dwindls.

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
To Make A Living, Nairobi Street Vendors Face Legal Hurdles, Physical Violencei
X
Lenny Ruvaga
November 27, 2014 7:05 PM
The Nairobi City Council has been accused of brutality in dealing with hawkers in the Central Business District - in order to stop them from illegally selling their wares on the streets. Lenny Ruvaga has more for VOA News from the Kenyan capital.
Video

Video To Make A Living, Nairobi Street Vendors Face Legal Hurdles, Physical Violence

The Nairobi City Council has been accused of brutality in dealing with hawkers in the Central Business District - in order to stop them from illegally selling their wares on the streets. Lenny Ruvaga has more for VOA News from the Kenyan capital.
Video

Video For Obama, Ferguson Violence is a Personal Issue

Throughout the crisis in Ferguson, Missouri, President Barack Obama has urged calm, restraint and respect for the rule of law. But the events in Ferguson have prompted him to call — more openly than he has before — for profound changes to end the racism and distrust that he believes still exists between whites and blacks in the United States. VOA White House correspondent Luis Ramirez reports.
Video

Video Online Magazine Gets Kids Discussing Big Questions

Teen culture in America is often criticized for being superficial. But an online magazine has been encouraging some teenagers to explore deeper issues, and rewarding their efforts. VOA religion reporter Jerome Socolovsky went to this year’s Kidspirit awards ceremony in New York.
Video

Video US Community Kicks Off Thanksgiving With Parade

Thursday is Thanksgiving in the United States, a holiday whose roots go back to the country's earliest days as a British colony. One way Americans celebrate the occasion is with parades. Anush Avetisyan takes us to one such event on the day before Thanksgiving near Washington, where a community's diversity is on display. Joy Wagner narrates
Video

Video Aung San Suu Kyi: Myanmar Opposition to Keep Pushing for Constitutional Change

Myanmar opposition leader Aung San Suu Kyi says she and her supporters will continue pushing to amend a constitutional clause that bars her from running for president next year. VOA's Than Lwin Htun reports from the capital Naypyitaw in this report narrated by Colin Lovett.
Video

Video Mali Attempts to Shut Down Ebola Transmission Chain

Senegal and Nigeria were able to stop small Ebola outbreaks by closely monitoring those who had contact with the sick person and quickly isolating anyone with symptoms. Mali is now scrambling to do the same. VOA’s Anne Look reports from Mali on what the country is doing to shut down the chain of transmission.
Video

Video Ukraine Marks Anniversary of Deadly 1930s Famine

During a commemoration for millions who died of starvation in Ukraine in the early 1930s, President Petro Poroshenko lashed out at Soviet-era totalitarianism for causing the deaths and accused today’s Russian-backed rebels in the east of using similar tactics. VOA’s Daniel Shearf reports from Kyiv.
Video

Video Hong Kong Protests at a Crossroads

New public opinion polls in Hong Kong indicate declining support for pro-democracy demonstrations after weeks of street protests. VOA’s Bill Ide in Guangzhou and Pros Laput in Hong Kong spoke with protesters and observers about whether demonstrators have been too aggressive in pushing for change.
Video

Video US Immigration Relief Imminent for Mixed-Status Families

Tens of thousands of undocumented immigrants in the Washington, D.C., area may benefit from a controversial presidential order announced this week. It's not a path to citizenship, as some activists hoped. But it will allow more immigrants who arrived as children or who have citizen children, to avoid deportation and work legally. VOA's Victoria Macchi talks with one young man who benefited from an earlier presidential order, and whose parents may now benefit after years of living in fear.
Video

Video New Skateboard Defies Gravity

A futuristic dream only a couple of decades ago, the hoverboard – a skateboard that floats above the ground - has finally been made possible. While still not ready for mass production, it promises to become a cool mode of transport... at least over some surfaces. VOA’s George Putic reports.
Video

Video Falling Gas Prices Impact US Oil Extraction

With the price of oil now less than $80 a barrel, motorists throughout the United States are benefiting from gas prices below $3 a gallon. But as VOA’s Kane Farabaugh reports, the decreasing price of petroleum has a downside for the hydraulic fracturing industry in the United States.
Video

Video Tensions Build on Korean Peninsula Amid Military Drills

It has been another tense week on the Korean peninsula as Pyongyang threatened to again test nuclear weapons while the U.S. and South Korean forces held joint military exercises in a show of force. VOA’s Brian Padden reports from the Kunsan Air Base in South Korea.
Video

Video Mama Sarah Obama Honored at UN Women’s Entrepreneurship Day

President Barack Obama's step-grandmother is in the United States to raise money to build a $12 million school and hospital center in Kogelo, Kenya, the birthplace of the president's father, Barack Obama, Sr. She was honored for her decades of work to aid poor Kenyans at a Women's Entrepreneurship Day at the United Nations.
Video

Video Ebola Economic Toll Stirs W. Africa Food Security Concerns

The World Bank said Wednesday that it expects the economic impact of the Ebola outbreak on the sub-Saharan economy to cost somewhere betweenf $3 billion to $4 billion - well below a previously-outlined worst-case scenario of $32 billion. Some economists, however, paint a gloomier picture - warning that the disruption to regional markets and trading is considerable. Henry Ridgwell reports from London.
Video

Video Chaos, Abuse Defy Solution in Libya

The political and security crisis in Libya is deepening, with competing governments and, according to Amnesty International, widespread human rights violations committed with impunity. VOA’s Al Pessin reports from London.
Video

Video US Hosts Record 866,000 Foreign Students

Close to 900,000 international students are studying at American universities and colleges, more than ever before. About half of them come from Asia, mostly China. The United States hosts more foreign students than any other country in the world, and its foreign student population is steadily growing. Zlatica Hoke reports.

All About America

AppleAndroid