December 16, 2024

Biden's belated attempt to divert Africa's critical minerals

By: Azhar Azam

In a last-ditch effort to woo Africa and meet his yearslong promise of visiting sub Saharan Africa, lame-duck US President Joe Biden visited Angola, marking the first trip by a sitting US president to the region in almost a decade.

Lobito Corridor – first strategic project launched under the flagship Partnership for Global Infrastructure and Investment that connects Democratic Republic of Congo (DRC), Zambia and Angola to regional and global markets though Angolan port of Lobito – was Biden’s key focus over its proximity to the Atlantic, closer to the US and Europe.

America wants to use Lobito Atlantic Railway to secure critical minerals, required for global low-carbon transition such as electric vehicles, solar panels and semiconductors, with the Corridor being the quickest route for exporting these raw materials from the central African copper belt to the US. Washington has also declared to expand the railway project to the Indian Ocean through Tanzania.

Many critical minerals, vital for US economic and national security, are mined in Africa where China has a stranglehold on these raw materials. For instance, DRC is home to the world's largest deposits of copper and cobalt and China owns 80% of its copper mines and 76% of the cobalt. Out of the seven lithium assets in Africa expected to start production by 2027, Chinese companies also have at least 50% equity ownership.

Through initiative, Washington seeks to alter this longstanding status-quo by transporting Africa’s critical minerals to the US in a bid to lessen its reliance on China and its clean energy competitiveness. This is crucial for the US and NATO, facing serious risks of mineral shortages over the Ukraine war. In an attempt to counter China, the US is also presenting itself an alternative while taking advantage of billions of dollars of investments from China in Africa.

It isn’t however easy for the US to blunt China’s influence in Africa given Beijing over the last two decades has become Africa’s largest trading partner, biggest financer including in infrastructure, mining and energy and a leading source of foreign direct investment. Through initiatives and platforms such as Belt and Road Initiative and FOCAC, Beijing has won over the continent.

China at this year’s FOCAC summit pledged to provide nearly $51 billion in funding to Africa and create one million jobs across the continent. China’s support of African modernization is reflected in the continent’s youth and decision makers who have a high approval rate of the world's second largest economy compared to the US and Europe over their excessive interference in their domestic politics and sovereignty in the name of democracy and human rights.

In a background press call ahead of Biden’s visit, White House official boasted that 80% of US $55 billion investments in Africa in 2022 through 2025 have been met; much of those investments didn’t bring visible benefits to average Africans, raising doubts whether America would be able to replace China in near future.

The US efforts could also suffer a setback as more and more African countries are considering reducing export of raw materials to promote local processing. Sensing African demands, China has already pledged to develop local value chains, manufacturing and deep processing of critical minerals, which will be backed by direct investment in refining and processing. This would allow Africa to tap its potential of generating $16 trillion revenues from extraction of just four key minerals – copper, nickel, cobalt and lithium – over the next 25 years and reduce the $100 billion annual infrastructure financing gap.

As America looks to serve its own interests and blunt China’s influence in Africa, many in the continent accuse the West of holding a predatory attitude toward the continent citing their colonial legacies, admitting Chinese investments have modernized the continent and generated thousands of jobs.

China’s track record of delivering infrastructure projects has raised its credibility and attractiveness across Africa, underscoring why the continent will not allow the US to use the Lobito Corridor as a strategic tool against China. What’s more, the African leaders will be keen to see the approach of Donald Trump who has made “America First” as his top priority with a history of disparaging the African nations.

The Lobito Corridor will be completed by the end of the decade, suggesting the US will have to stay committed to the continent for at least six years, keeping in view its historical ambivalence to Africa, looks highly improbable. America’s interest in a narrow group of African countries, crucial to build its critical minerals supply chain, further reveals that its commitment, if continued, will be largely confined to a handful of African countries, stoking uneasiness in the rest of Africa about US self-centered behavior.

Biden’s belated attempt to deepen partnership with Africa is unlikely to result in a meaningful outcome since it comes at the tail end of his career, contains cosmetic measures to reinstate US image, boosts ties with selective African countries and aims to solely divert the continent’s resources to America. It could have bolstered Africa-US relations had it come earlier, focused on overall Africa’s development and didn’t make his visit look as extractive and exploitative.

*My article that first appeared in the "Express Tribune"

December 10, 2024

How China is outsmarting the US in Latin America

By: Azhar Azam

In a latest sign of booming relations, Chinese President Xi Jinping and Brazilian President Lula da Silva upgraded their bilateral relationship and struck more than three dozen agreements including on agriculture, trade, investment, infrastructure, industry, science and technology and energy.

Bilateral relations have shown significant dynamism with Beijing being Brasilia’s largest trading partner since 2009, one of the main sources of foreign investment and biggest export destination. Brazil maintains a whopping $51 billion trade surplus with China and its exports to Beijing have surpassed the combined sales to the European Union and the US.

China, once a major buyer of the US soybeans, has been diversifying its farm purchases from America and Brazil is emerging as a ley beneficiary of this trade war. In 2023 alone, the South America agriculture powerhouse shipped more than $60 billion of agricultural products to Beijing, up $9.5 billion from 2022. Brasilia continues to eat the US share by flooding the Chinese markets with its corns and soybeans.

Donald Trump’s return is already helping Brazil as new agreements have opened the Chinese market for four new Brazilian agri products: sorghum, fresh grapes, sesame and fishmeal. Given China buys almost all of its sorghum from America, it indicates that Beijing has made the first move on the geopolitical chessboard to put pressure on Trump, anticipating the coming January storm when he assumes office and dials up his trade war.

One of Lula’s successes in his last year’s visit to Beijing was resumption of Brazilian beef exports. This by the end of 2023 allowed Brazil to export more than $8.2 billion of meat to China, forcing Brazil’s major competitors including the US to slow their production. Brazil, unequivocally, is scooping up the opportunity to boost its agricultural exports to China at the expense of the US.

Brazil has been pursuing an independent and non-aligned foreign policy; under Lula, Brasilia has become fiercely emboldened in its international approach. Declaring his country’s relations with China “extraordinary,” hoping them to “go beyond” trade, the Brazilian president in 2023 stated “Nobody can stop Brazil from continuing to develop its relationship with China.” This represented his blatant pursuit of autonomy in international relations and opposition to the Western decoupling (now de-risking) from the world’s largest economy.

Last year, Lula and Xi sought to renew space cooperation and build a seventh satellite in the China-Brazil Earth Resources Satellite (CBERS) program. The CBERS-6 would be launched from China in 2028, improving Amazon monitoring, providing more information on deforestation, agriculture, droughts, land use and water reservoirs.

The recent agreement between China’s SpaceSail and Brazil’s Telebras, aiming to challenge Elon Musk's Starlink by delivering satellite communication services and broadband internet services to Brazil, although will account for just 0.5% of the Brazilian total broadband market; it's blow to the US, seeking to hobble China's tech advancement globally, and the manifestation of Lula’s vision to deepen cooperation with China beyond trade.

Brazil and China are partnering to lead the global south, pushing for a more central role of the developing and under-developed economies in the multilateral institutions and supporting their development through science and technological innovation. While Lula is positioning himself as a new leader of the global south and envoy of peace, climate and global governance reform, Xi is patting Brasilia and Beijing to “assume the great historical responsibility of safeguarding the common interests” of the developing world.”

Both Brazil and China have agreed to find synergies between the Brazilian development plans and Chinese Belt and Road Initiative. This effectively allows Brasilia to benefit from China's mega infrastructure plan without inviting any resentment from the US, which is the top source of foreign direct investment in Brazil and where Brazil last year dispatched $29.9 billion of manufactured goods to advance its trade diversification. In doing so, Brazil has successfully maintained a delicate balance between the two world powers.

One of the major US concerns is that China can leverage its influence in Latin America to undermine its interests and national security. Yet in contrast to the US Indo-Pacific strategy that relies on security alliances to counter China, this approach is driven by economic partnerships that would help Beijing to deter Washington from threatening the Chinese interests in the Indo-Pacific.

And China is being helped by the US indifference vis-à-vis its neighbors. Washington’s emphasis on vested interests and great power rivalries over the years diminished its influence in Latin America, leaving a vacuum for China to come in and fill the void. For instance, Beijing created some 1.8 million jobs in Argentina, Brazil, Chile and Mexico between 1995 and 2016 through trade, investments and infrastructure projects, helping elevate its positive perception in the key regional countries. Opening of a Chinese-funded mega port in Peru is the latest trailer of China's growing influence in the US backyard, pushing American officials on defensive.

After Xi’s trip, Brazil and China have emerged as like-minded countries. Yet unlike the US that deploy this term as a reference to contain China or dub it a challenge, Beijing are Brasilia are using this characteristic to jointly confront the global challenges, build a multipolar world, reform the international governance, promote peace and stability and accelerate the development of the global south. This empathy will trigger discomfort in the US with no clue whatsoever how to respond to the cascading Chinese diplomatic blitz.

*My article (unedited) that first appeared in the "Express Tribune"

China and Peru: Leading APEC's path to inclusive and sustainable growth

By: Azhar Azam

Under the theme – "Empower. Include. Grow." – leaders from Asia-Pacific Economic Cooperation (APEC)'s 21 member economies, which account for about two-thirds of world GDP and half of global trade, will gather in Peru's capital, Lima, to tackle challenges including climate change, sustainable energy solutions, digital economy transition, and trade facilitation.


Chinese President Xi Jinping is in Lima for the 31st APEC Economic Leaders' Meeting and paying a state visit to Peru. Peru is one of the first Latin American countries to establish diplomatic relations with China, and the two countries have been expanding cooperation in areas such as mining, energy, manufacturing and agriculture.

China and Peru released a joint statement on Thursday, saying that the two countries welcomed the signing of a protocol on upgrading the bilateral free trade agreement, and are willing to incorporate projects in emerging areas such as circular economy, sustainable agriculture, industrial and supply chains, digital economy investment and green development into bilateral cooperation. The two sides also renewed their advocacy for strengthening multilateral cooperation and jointly tackling global challenges.

This year's APEC Economic Leaders' Meeting focuses on three priority areas: Trade and investment for inclusive and interconnected growth, innovation and digitalization to promote the transition to a formal global economy, and sustainable growth for resilient development.

As a key proponent of a free, open, fair, non-discriminatory, inclusive and transparent trade and investment environment and as one of the leaders in innovation, digitalization and renewable energy, China can play a role in the APEC to achieve these ambitious goals.

There is a great similarity between Chinese and Peruvian approaches. While Peru seeks to liberalize trade, strengthen connectivity, narrow gaps through digital transformation, innovation and financial inclusion, and work collectively to foster sustainable development – President Xi has consistently urged APEC member economies to advance trade liberalization and facilitation, actively promote innovation, accelerate digital transformation, bridge the digital divide, and stay committed to inclusive and green development as part of his initiative to build an Asia-Pacific community with a shared future.

Chinese-backed Chancay Port has been inaugurated virtually by Xi and Peruvian President Dina Boluarte. It is set to become a major shipping hub for South America-Asia trade.

Reckoned as one of the Belt and Road largest successes in the region, the mega port will boost Peru's economy and enhance its competitiveness by allowing producers to export across the Pacific Ocean, increasing tax revenues, creating more jobs, reducing costs and time by up to 30 percent, and shoring up inter-regional integration. Peruvian exporters and analysts see it as a "window into Asia" and a trans-Pacific logistic node.

Trade and investment lie at the heart of the APEC agenda. For a long time, Beijing has played a key role in advancing the economic forum's trade and investment objectives.


China's role in the success and economic transformation of the APEC remains vital, given its trade volume in 2023 with fellow members had reached $3.5 trillion (almost three-fifths of the country's total trade). Nine of Beijing's top 10 trading partners were from the APEC, with China being the largest trading partner of 13 member economies.

Beijing and the bloc are also each other's major sources of foreign investment, suggesting both are entwined in a close trade and investment relationship. This economic interdependence among APEC members could translate into prosperity for the people of the region through greater integration and innovative, sustainable, and inclusive growth.

The APEC economies, especially those from Southeast Asia, could not only learn from China's remarkable poverty reduction story but also draw lessons from its unprecedented digital economic transformation. For instance, China's growth in the number of internet users, soaring per the World Bank from 8.8 million to about one billion, with per capita income rising from $873 to over $12,000, and its e-commerce growth from less than 1 percent to 52 percent between 1999 and 2022. The fast pace of digital development offers insights for the partners to accelerate their digitalization.

Several Southeast Asian states are also part of APEC. As green and digital economies feature prominently in version 3.0 of the China-ASEAN free trade agreement, cooperation between the two sides will help build an inclusive and interoperable digital ecosystem, as well as promote sustainable development in the region, in addition to achieving a higher level of openness and further reducing tariff and non-tariff trade barriers.

China is facing certain economic headwinds; however, it has still posted a robust growth rate of 5 percent in the first half of 2024, thanks to increased consumer spending, exports and investment in manufacturing and public infrastructure. This shows that the country is capable of overwhelming challenges and strengthening its position as a leading contributor to world economic growth.

Xi's attendance at the Lima meeting vindicates that China is economically resilient and ready to support the forum's goals, cementing its role in the organization as an important contributor to trade and investment, inclusive and shared growth, as well as innovation-driven green development.
*My article that first appeared at "CGTN"

November 30, 2024

Green cold war threatens survival against climate change

By: Azhar Azam

China and the European Union (EU) are inching towards a trade war after the two sides locked their horns in a battle over tariffs on Chinese electrical vehicles (EVs). Having failed to find a diplomatic solution, the European Commission (EC), which oversees the bloc's trade policy, on October 29 announced to impose duties on imports of unfairly subsidized battery electric vehicles from China for five years.

The EC Executive Vice-President Valdis Dombrovskis championed the EU “open, fair and rules-based trade,” insisting “By adopting these proportionate and targeted measures after a rigorous investigation, we’re standing up for fair market practices and for the European industrial base.”

But by barricading China’s green technology entrance into the EU through high tariffs, Brussels is threatening to obstruct its own economy, weaken its own fight against climate change and harm its own people.

That's because while these tariffs would shut out foreign competition in the EU, they will saddle the consumers with additional costs and undermine the bloc’s goal of becoming carbon neutral by 2050. Furthermore, they will provoke retaliation from Beijing that could deal a blow to the EU exporters to China, potentially complicating the bloc’s economic challenges.

China has already opened anti-subsidy investigations into the imports of the EU dairy and other products. In response, Brussels challenged the probe at the World Trade organization in September. This was for the first time that the EU had launched a consultation request at the initiation stage, indicating how quickly a trade war between Beijing and Brussels is simmering.

German Association of the Automotive Industry's President Hildegard Müller has already given a warning to the bloc, dubbing these tariffs “a step backwards for free global trade.” “The industry is not naive in dealing with China but the challenges must be resolved in dialogue,” She said adding “the countervailing tariffs increase the risk of a far-reaching trade conflict.”

The uneven duty rates such as 17%, 18.8%. 35.3% and 7.8% EVs from BYD, Geely, SAIC and Tesla respectively on top of the EU standard 10% import duty are considered “measured”; such analysis ignore the impacts of these measures on the battle against climate change and that they violate the very basic principles of free trade and speak volumes of the EU’s targeted treatment.

Duties on Chinese EVs have divided the European capitals. For instance, German Chancellor Olaf Scholz wanted to continue negotiations with China as five EU member states including the bloc’s largest economy reportedly voted against the measure with 12 abstentions, unveiling inside rifts over the tariffs on EVs from China.

20.7% tariffs on German auto giants BMW and Volkswagen, manufacturing EVs in China, would infuriate Berlin for it considers Beijing “most important” and “a key business partner for Germany and all of Europe.” It’s pertinent to note that despite geopolitical tensions, economic headwinds, pressure from the US to pare back investments in China and calls of de-risking from their leaders, German carmakers and other companies have been reluctant to de-risk from China and are investing heavily there.

The EC cited unfair state subsidies, which helped Chinese EV manufacturers to undercut rivals in the EU on price, as a reason for imposing heavy taxes on Chinese EVs. True, they have played an important role in China's EV development yet other factors such as fierce domestic competition and technological innovations over the years have also helped accelerate Chinese EV evolution. What's more, battery production in China is more integrated than the US and Europe, courtesy of its leading role in upstream stages of the supply chain.

Tesla’s Elon Musk observation earlier this year “the Chinese car companies are the most competitive car companies in the world” highlights why the EV manufacturers in China today are much more competitive than their competitors elsewhere. China has also set an ambitious target of having 45% new energy vehicles of all new auto sales by 2027. This also helped promote competition between domestic and foreign EV manufacturers in China as well as contributed to global environmental goals.

Seeing Beijing’s climate contributions through the geopolitical lens just cannot snatch away the credit from China of indigenously developing a robust EV industry and giving the world a hope to foster clean energy transition through wide EV adoption.

If geopolitics is to be accounted for, the EC ex-officio anti-subsidy investigation – initiated by the Commission itself rather than in response to industry complaints – too is a geopolitical move to buy time to improve Europe’s future competitiveness and assert its “green industrial leadership” even this agenda slows the pace of the EU green transition.

Data has shown that duties are unlikely to make a significant impact on the market share gains of Chinese EV makers in Europe. But what the EU tariffs could do is that they would stoke divisions within the bloc and handcuff its climate ambitions. The US and Canada’s sweeping tariffs on China’s electric cars too indeed would delay the global sustainable transition.

Climate change is a global challenge. It must not fall victim to anyone’s geopolitical ambitions. This cold war for green industrial leadership should be stopped immediately and focus should be given to dialogue and on exchanging experiences in developing green technologies if the world is to be secured from the unfathomable consequences of global warming, environmental degradation and greenhouse gas emissions.

*My article (unedited) that first appeared at "Express Tribune

November 29, 2024

CIIE: A symbol of globalization and an antithesis of protectionism

By: Azhar Azam

At the opening ceremony of the seventh China International Import Expo (CIIE), Chinese Premier Li Qiang delivered a keynote address and underscored the need for upholding, expanding and upgrading China's opening-up, stating it was the only effective way to promote lasting peace, stability, development and prosperity in the face of rising unilateralism and protectionism and the backlash against globalization.

High-standard opening-up has been a key feature of China's economic journey. Over the past six editions of the CIIE, companies from 173 countries and regions have made appearances with transactions of more than $424 billion and over 2,400 products, technologies and services debuting annually.

The sheer size of the CIIE is so appealing that chief executive officers see even their firms' participation as "very rewarding" for it presents them with the opportunities to showcase their latest innovations to one of the world's largest and fastest-growing consumer markets.

Hailed as an access point for international businesses looking to make a footing or expand their market presence in the large Chinese market, last year's expo saw the largest-ever delegation from America comprising more than 200 U.S. companies such as Ford and Tesla, among others. This reflected their approach to distance themselves from their country's unilateralist and protectionist policies and bracket their interests with China's development.

The number of exhibitors for this year's expo alone has hit a new record with participation from 152 countries, regions and international organizations. With another record 297 Fortune-500 companies and industry leaders set to attend the exhibition, China is increasingly becoming a hub for global business development activities.

The 2024 Investment Promotion Conference in support of this year's edition has already taken place, attracting attendees including consular officials from Argentina, Mexico and the Czech Republic as well as delegates from foreign investment promotion agencies. The successful event again describes the interest of foreign officials and companies to invest in China and their trust in the country's openness.

China's opening-up isn't just about removing trade barriers, boosting and facilitating economic and trade cooperation or encouraging investment; by holding such exhibitions, Beijing is also opening up minds and hearts to new ideas and cultural exchanges, bringing countries and regions closer to each other. From this perspective, the CIIE is a platform of innovation, cross-cultural interactions and transnational harmony, all of which are crucial to bringing stability, development and prosperity to the world.

The exhibition is taking place in a complex geopolitical environment where the escalation of regional conflicts, especially in the Middle East, poses serious threats to international security and economic growth. At this critical time, orchestration of the expo delivers a treasured message of cooperation, peace and mutual coexistence with China's openness presenting an invaluable opportunity to global nations and companies to make or expand their footprint in one of the world's largest consumer markets.

The Enterprise and Business Exhibition, comprising six major areas – including an Innovation Incubation Special Section, aiming to provide opportunities for small and medium-sized enterprises – will remain the cornerstone of this year's edition, offering an equal level-playing field to the companies from developed and developing nations to showcase their innovations and promote their products.

Due to the expo's potential to grow their businesses, global industry groups and countries are keen to take advantage of this international business development opportunity that would allow exporters to exhibit their brands and products in one of the world's largest trade shows.

According to the International Trade Center, since its onset, the CIIE has been providing an "unparalleled" platform to hundreds of small businesses from dozens of developing countries to connect to the colossal Chinese market. This year too, more than 120 complimentary booths have been provided to exhibitors from 37 least-developed countries to familiarize them with the high-quality demand in China and facilitate their efforts to push their exports to Beijing.

The CIIE is promoting healthy competition among companies to foster a green transition. In the 2023 expo, 40 awards were presented to the winners with their technologies in the fields of green hydrogen, energy efficiency and clean energy innovation which were showcased in one of the booths.

Since its unveiling in 2018, the expo has been working as an antithesis of protectionism and unilateralism, becoming a symbol of trade liberalization and economic globalization. Due to these essential characteristics, the CIIE continues to garner the support of countries from all over the world, providing an opportunity to jointly work for peace, development and prosperity while serving as a platform for China's high-standard of opening-up and representing Beijing's unshakable confidence to share the rewards of its economic dynamism with the rest of the world.

My article that first appeared the "CGTN"

November 8, 2024

Lammy’s ‘progressive realism’ kicks off with his China visit

By: Azhar Azam

Britain's Foreign Secretary David Lammy wrapped up an official trip to China as part of the new Labor government’s effort to take a "pragmatic" approach to engage Beijing, reconsolidating relations with the world's second largest economy from scratch.

Under the Conservatives, China-UK “golden era” relationship towards the end of 2020 shifted into a higher gear as Theresa May in 2018 visited Beijing and discussed cooperation with Xi Jinping. Boris Johnson, despite America’s pressure to block Huawei, in 2020 allowed Chinese telecom giant to operate in the UK on a limited level, seen as a “strategic defeat” for the US.

But ecstasy didn’t last long with London, just six months later, banning purchase of new Huawei equipment and announcing to root out its 5G networks by 2027, shoving both countries into a vicious circle of a diplomatic war. A UK parliamentary committee’s recommendation to counter Beijing’s “‘whole-of-state’ threat” poured gasoline on a fiery relationship. This “violent” shift from “courtship to aversion” was Tories “biggest mistake” that tipped China-UK ties into further ambiguity.

Things seem to have slightly changed with new Labor Prime Minister Keir Starmer in a call with Xi in April sought to forge a long-term and closer economic relations with China and work together on international challenges, hoping to have "open, frank and honest discussions" on disagreements.

This helped melt the ice between two large economies, making some significant developments as UK's Chancellor Rachel Reeves is reportedly planning to visit China in early next year to mull over resumption of Economic and Financial Dialogue with Beijing.

Britain's economy, after falling into recession H2-2023, bounced back, posting an average of 0.6% growth H1-2024. As China-UK trade dropped 21.1% to £86.5 billion in 2023 and Beijing accounted for just 0.2% of total UK FDI in 2022, Starmer is seeing an opportunity to strengthen trade and investment ties with China and build on this year's economic gains. Reeves remarks Britain benefits from trade links including with China, exports and imports and FDI suggest London's inclination towards an economic dialogue with Beijing.

It's the same mission former Labor Prime Minister Tony Blair embarked on two decades earlier, predicting China to become the world's largest economy in the next 20-30 years. By augmenting trade and investment relations, he paved the way for the “golden era,” which lasted for more than a decade before collapsing over US edginess of China’s remarkable economic and technological advancement. Those heydays may be hard to emanate but impart diplomatic wisdom on how to rebuild the relationship.

Other instances also suggest that London is cozying up to China. For example, UK Trade Secretary Jonathon Raynolds recently slammed previous government for doing little to build China-UK relationship and sought "more engagement with China,” ruling out imposing tariffs on China-made electric vehicles.

Labor’s approach is hinged on “progressive realism,” a fusion of policies adopted by two Britain’s former foreign secretaries, Robin Cook and Ernest Bevin, who respectively brought climate action and human rights to the diplomatic fore and helped create NATO and the country's accession to military alliance.

Setting out his vision of “progressive realism,” which American author Robert William claimed to have coined in 2006, Lammy in April criticized UK’ China policy had “oscillated wildly over the past 14 years” of Tory rule, urging Britain to “adopt a more consistent strategy, one that simultaneously challenges, competes against, and cooperates with China.”

This strategy pursues a realist approach to advance progressive goals rather than just confining to disagreements. Lammy's doctrine is being widely vilified; it could enable Britain to explore realistic means of cooperation with the world's largest producer of clean energy, solar panels and electric cars that without engagement isn't possible.

The “broad consensus,” Lammy wrote, “economic globalization would inevitably breed liberal democratic values proved false. Instead, democracies have become more economically dependent on authoritarian states…China provides a particularly stark case.” "In today’s world, Western governments must partner with the Global South," he added, acknowledging they “undermined” the sovereignty of weaker states.

While this economic dependence, with Beijing’s exports also relying on foreign demand, has been reciprocal, The West itself is responsible for decline in share of world trade between democracies between 1997 and 2022. As the West squandered trillions of dollars in wars and operations to change regimes it deemed were incompatible with its liberal values, China spent those years in producing and flooding the world market with cheap goods.

As the West retreated over economic fallouts of wars after killing hundreds of thousands of people, triggering antipathy for it in the Global South, China became aggressive and channeled trillions of dollars in infrastructure development across the developing world. The West has only itself to blame for China ending the era of US "hegemony.”

With America focusing on Indo-Pacific to counter China, Britain is being warned against consequences of any retrenchment from region out of UK new Defense Secretary John Healey’s comments last year that Britain can’t be a “strong military force in Indo-Pacific and Euro-Atlantic simultaneously” and “there needs to be a realism about military commitments.”

Both Britain and Europe are cautious. Over US sea-change, the EU is being urged to “defend Europe with less America” as Britain prioritizes “NATO First” and limits its engagement in the Indo-Pacific to "advancing technology (and) developing military capabilities.”

China's role in net zero and world trade is driving Labor into maintaining a “constructive" relationship with China even in areas where both countries’ "viewpoints" diverge. UK government's readout – accentuating significance of "working together" on global challenges and commitment to promote "secure and resilient growth through increased trade and investment" – suggests Lammy’s realism has come into play in Labor's foreign policy. How his vision will meet the progressive ends though remains yet to be seen.

*My article (unedited) that first appeared in "Express Tribune"

November 4, 2024

Great power struggle for undersea dominance


Laid on the ocean floor, undersea cables are arteries of international communication, digitalization and globalization and the lifeblood of the global economy. These 600 fiber-optic cables, activated or planned, spanning 1.4 million kilometers carry 95% of global data by transmitting $10 trillion every day while offering the fastest and reliable route.

These thin wires, as wide as a garden hose, are owned by a consortium of parties because of high costs associated with laying of new undersea ecosystems. Over heightened risk of being damaged by natural disasters, fishing nets, ship anchors and sharks, there is a greater need for interstate cooperation to protect the flow of information they electronify.

But by proclaiming principles that aspire to advance cooperation between a handful of countries to “promote selection of secure and verifiable subsea cable providers,” Washington is stonewalling cooperation on an area that delivers international bandwidth, necessary for global digital transition.

A blend of America’s megaphone and coercive diplomacy, through which it denigrates China and strong-arms allies and telcos to dissuade them from partnering with Chinese companies, and geopolitics around information superhighways, underpinning the global economy and finance, to retain its subsea hegemony could stoke tensions with Beijing for the plan's ulterior goal is to phase one of the fastest-growing companies, China’s HMN Technologies, out of the market.

America’s SubCom, Japan’s NEC and France’s Alcatel historically dominated the sector before a seismic shift took place as HMN Tech (then Huawei Marine Networks) entered the fray in 2008 and disturbed status quo, becoming an important player in the market over the next 15 years.

Emergence of a Chinese firm shook the US Department of Justice whose Team Telecom in 2020 raised national security concerns about China’s “sustained efforts to acquire sensitive personal data of millions of US persons.” In 2021, Washington finally added HMN to its entity list.

A Guardian’s investigation of documents disclosed to it by NSA’s whistleblower Edward Snowden, in 2013 revealed the UK’s spy agency, GCHQ, had tapped into more than 200 fiber-optic cables to access a huge volume of communications including between entirely innocent people, sharing sensitive personal information with its American peer.

NSA and other US intelligence agencies have been eavesdropping on its own Five Eyes’ allies such as Australian and New Zealand and snooping on American people including protesters, racial justice activists, journalists, political commentators, campaign donors and Congressmen; there is no clear evidence that subsea cables are being tapped or sabotaged by any country, let it be US, China or Russia.

Recent reports have seen such threats as overblown. Labeling concerns vis-à-vis "tapping into cables to derive, copy or obfuscate data" as “highly unlikely,” a European report in 2022 found “no publicly available and verified reports” indicating deliberate attacks including from China. The threat scenarios “could be exaggerated and suggest a substantial risk of threat inflation and fearmongering,” it said.

Still, US unabated offensive against Chinese company continued as it through incentives and pressure on consortium members including warnings and threats of sanctions and exports controls flipped the contract of Southeast Asia-Middle East-Western Europe-6 (SEA-ME-WE-6) cable, snaking its way from Singapore to France, to SubCom.

Per Reuters, it was one of the six private undersea cable deals in Asia-Pacific where the US government had intervened to prevent HMN from winning or forced rerouting or abandonment of cable deals, unveiling Washington’s innate impulse to monopolize undersea ecosystems and marking a beginning of underwater geopolitical rivalry.

Yet China struck back through a $500 million Europe-Middle East-Asia internet cable. Known as PEACE (Pakistan and East Asia Connecting Europe) cable, the project directly competes with SEA-ME-WE-6 and supersedes its rival project with a planned length of 25,000+ km against latter’s 21,700 km, providing even higher bandwidth.

US efforts to control subsea cables shone as market share of HMN, which had built or repaired almost 25% of world's cables and supplied 18% of them in the last four years through 2022, is expected to contract to mere 7%. The top beneficiary of US interventionism is its SubCom that has grabbed only 12% of contracts but accounts for a whopping 40% of cables laid.

At the core of this competition is America’s fear of conceding a critical component of the digital economy to China. US officials have voiced concern the Chinese repair ships could be used for spying; there is no evidence of such an activity either. While some have dubbed submarine cables as “a surveillance gold mine" for world intelligence agencies, most experts believe the biggest risk isn't espionage, sabotage or even rogue anchors rather an uneven spread of cable infrastructure that threatens the very promise of digital equity and demands East-West cooperation to end this digital injustice, especially with the Global South.

For decades, America, France and Japan dominated the global underwater ecosystem. Wary of losing their ascendancy, they are pooling efforts to exorcize Chinese demon and retain influence over submarine cables. The involvement of security alliances such as Quad "to support and strengthen quality undersea cable networks in the Indo-Pacific" and Biden's push to bolster cooperation in the region on cybersecurity including undersea cables and whisk regional submarine plans away from China are beseeching Beijing to respond, elevating risk of kicking off a cold war under the sea.

Multination cooperation has been the catalyst of submarine cable expansion and is essential for the future of the digital economy. But this kiasu approach of asserting a closed group's unwater dominance is threatening to black out collaboration and divide the world in two geopolitical or ideological blocs. This simmering struggle for subsea hegemony should be lulled before it boils up and compounds global challenges, being faced by a fragmented world.

*My article (unedited) that first appeared in "Express Tribune"

October 26, 2024

Biden's de minimis move risks weakening Harris' campaign


Just days after the Democratic lawmakers urged the US President Joe Biden to exercise his executive powers to end a tariff “loophole,” his administration announced new actions to clamp down on the “abuse” of “de minimis” shipments, in particular from Chinese e-commerce platforms. These consignments over the last ten years had increased from about 140 million to one billion, making it challenging to block illicit synthetic drugs such as fentanyl, the White House readout asserted.

It is despite the proponents spurned the likelihood of any loophole in the exemption or that these low-value shipments contained fentanyl, citing screening of the “de minimis” imports by the Custom and Border Protection (CBP). All imports, regardless of value, are in fact rigorously monitored by the CBP for anti-forced labor compliance including the Uyghur Forced Labor Prevention Act and to enforce trade laws vis-à-vis intellectual property rights.

Leading industry groups have also rejected such propositions. National Foreign Trade Council (NFTC) – whose board includes Amazon and Walmart – in its letter to the Biden administration in March said there was no evidence that illegal drugs were prevalent in "de minimis," alluding to CBP data that showed 99% of fentanyl seizures occurred across areas, which were not a major channel for “de minimis," and estimate only 3% of fentanyl doses in 2024 would come through air cargo. A CBP official last year too dismissed the "misconception" the "de minimis" was a "loophole" and these cargoes were not screened.

In its recent report, the Drug Enforcement Agency has also acknowledged "Fentanyl (mainly sourced from China and India, which is becoming a "major source country" for illicit chemicals) manufactured by the Mexican cartels is the main driver behind the ongoing epidemic of drug poisoning deaths in the United States." The Department of Homeland Security's own data, which states 89% of all seizures in the cargo environment this fiscal year through July originated as “de minimis” shipments including 72% of health and safety seizures of prohibited items, further reveals the low-value packages are scrutinized at arrival in the US.

The administration's intent to "work with Congress" for key reforms including exclusion of "de minimis" shipments, covered by the Section 301, Section 201 or Section 232, as well as argument that the exemption is resulting in a flood of low-value products such as textiles and apparel into the US market duty-free unveils the flipside of the coin: curbing China's clothing exports to the US.

Inexpensive items like $5 t-shirts and $10 sweaters and dresses and digital advertisements by Chinese e-commerce platforms have benefited consumers and the US ad and shipping industry. As 70% of textiles and apparel imports from China are already subject to the Sections 301 tariffs, an imposition of duties on Chinese low-value goods will directly hit the US importers and consumers who, per the US government’s last year report, absorbed these costs and loved the torrent of ultra-cheap clothing.

The new rule risks firing back given it would wreak havoc on American consumers and businesses by triggering higher prices of everyday products like bags, dresses, toys and shoes from Chinese online marketplaces and fast fashion companies at a time when spiking inflation is set to become a burning issue in the presidential campaign.

In a recent debate with Donald Trump, the US Vice President Kamala Harris panned his rival’s plan to hike tariffs on all imports from 10% to 20% as well as slap 60% or more on Chinese goods for they would hurt the working families, characterizing it as “Trump’s sales tax.” With the administration’s new actions contradicting Harris' condemnation of Trump’s tariffs, the Democrats have given a tactic endorsement to the former president.

If enacted, the new rule could cause a drop in Harris’' approval rating, which has just edged past Trump. It's politically an unwise decision in an election year as per the NFTC, average price of "de minimis" package could double from $50, in case it "were to be eliminated or significantly degraded," suggesting American consumers would bear the brunt.

Over the years, “de minimis” has encouraged competition among e-commerce giants and delivered cheaper clothing, electronics and other home products to Americans. Purging of exemption will impact the revenues of Chinese firms; it could derail growth trajectory of the US ad industry while culminating in an estimated $8 billion to $30 billion in additional annual costs to American consumers other than harming small businesses and provoking retaliation.

Biden’s intent to crack down on Chinese e-commerce companies could inspire other countries to make changes in their “de minimis” policies, undermining American exporters’ competitiveness; they will add to the sufferings of the US low-income communities and small businesses, who could take the Democrats aback in the November election.

Rather than aggrandizing threats to American consumers and attracting their wrath by levying sweeping tariffs on “de minimis” shipments, the Biden administration should focus on staving off the challenges, being faced by the US citizens, to circumvent their angst later this year that would help Harris’ prospect to become the first ever woman president in the US history.

*My article unedited that first appeared in "Express Tribune"

October 23, 2024

China-Africa summit sparks new vision for Global South development

By: Azhar Azam

Lead: The Forum on China-Africa Cooperation in Beijing heralds a new era in Sino-African relations, with agreements poised to benefit millions. Could this partnership be the blueprint for equitable growth across the Global South?

Beijing is increasingly becoming an icon and center of global cooperation. This was evident at the recently concluded 2024 Summit of the Forum on China-Africa Cooperation (FOCAC) in Beijing. Heads of state and top delegates from Africa, home to the world's largest number of developing nations, gathered in droves. They were greeted with reciprocity and respect by their counterparts from China, the world's largest developing country.

Contrast this with the U.S.-Africa Leaders Summit in December 2022. President Joe Biden held no one-on-one meetings with African leaders, raising questions about Washington's approach. The limited interactions sparked debate over whether the U.S. views Africa as a monolithic bloc or recognizes the diversity of its individual countries. Biden held a multilateral meeting with six African leaders, which is merely part of a broader U.S. strategy to promote liberal internationalism, with the U.S. acting as hegemon.

In Beijing, Chinese President Xi Jinping on last Monday alone had bilateral meetings with leaders from South Africa, Guinea, Eritrea, Seychelles, Djibouti, Togo, Comoros, Mali and the Democratic Republic of the Congo. These meetings, and others that followed, were characterized by mutual respect, support for individual development paths, mutually beneficial cooperation and equal treatment.

This is one of the reasons why FOCAC has historically attracted more African leaders than many other global forums, including some of the world's most prominent multilateral gatherings. The 2024 FOCAC Summit drew more than 50 African leaders, underscoring its incredible significance. The high level of attendance reflects the strong bond between China and Africa, their trust in each other, and their determination to counter challenges and grow together.

Xi echoed this in his keynote speech at the summit's opening ceremony, emphasizing that modernization is an "inalienable right" of all countries. He described this modernization as just, equitable, open, and mutually beneficial. Xi added that it should be people-centered, eco-friendly, and embrace diversity and inclusiveness, all while being founded on peace and stability.

The Chinese president's commitment to modernization of Africa was backed by 10 partnership actions. These include mutual learning among civilizations, trade prosperity, industrial chain cooperation, connectivity, development cooperation, health, agriculture and livelihoods, people-to-people exchanges, green development and common security.

Xi pledged 360 billion yuan ($51 billion) in financial support over three years to help lay the foundation for Africa's modernization, meaning the 1.4billion Chinese people will each pay 85 yuan annually to support their African brothers and sisters. The plan includes increasing exchanges of state governance experience, providing zero-tariff treatment for all products from 33 African countries — making China the first major developing country to take such a step— expanding market access for African agricultural products, supporting Africa's industrialization efforts, and building 30 infrastructure connectivity projects.

Unlike the U.S., which pursues an interventionist foreign policy seeking world hegemony and often ties its aid to governance requirements (seen in Africa as meddlesome), China emphasizes noninterference and greater respect for cultural diversity. Beijing's policy of collective development aims to support Africa's growth on its own terms. This ensures that African countries can develop their own governance capabilities and explore modernization according to their own visions and national conditions.

Beijing's military assistance aims to build the continent's capacity to protect its peace and ensure that Africa's economic rejuvenation isn't hampered by regional instability. Nigerian President Bola Tinubu, after meeting with Xi, said the Beijing-Abuja comprehensive strategic partnership would result in "robust development, stability and security" in West Africa, describing how regional leaders saw China's security engagement as a contribution to peace.

Xi also pledged to provide emergency food assistance, build about 6,670 hectares of standardized agriculture demonstration areas, deploy 500 agriculture experts, and establish a China-Africa agricultural science and technology innovation alliance. Through these initiatives, Xi reinforced his support not only for Africa's deprived people but also for African farmers and the development of the continent's agricultural sector.

Xi also hosted South African President Cyril Ramaphosa, and the two leaders announced an "all-round strategic cooperative partnership in the new era" between their countries. They also signed several agreements covering areas such as trade, market access and the application of China's Beidou navigation satellite system.

South Africa's key priorities include poverty reduction, job creation for millions and advancing artificial intelligence. Xi proposed deepening cooperation in several areas that align with these goals, such as the digital economy, AI and new energy. Beijing has also committed to sharing its experience in poverty alleviation and rural revitalization with Pretoria. These initiatives will bolster both the bilateral relationship and South Africa's economy.

Xi's pledge to encourage Chinese companies to invest in Africa's pharmaceutical production, establish 20 digital demonstration projects, support poverty reduction efforts and create 1 million jobs will help ensure continental development is inclusive and widespread. This will allow China and Africa to "embrace together" the latest round of technological revolution and industrial transformation.

China's stellar economic growth and desire to share the outcomes of its development have long inspired African countries. Shedding light on China-Africa's more than six-decade-old relationship, Kenyan President William Ruto recently admired how the China-invested Global Trade Center in Nairobi had become a landmark of China-Africa cooperation, attracting many companies to invest and start businesses in the region.

Ruto proposed combining China's renewable energy technologies with Africa's abundant resources. This approach, coupled with Beijing's expertise in green development, could significantly boost the continent's sustainable growth, enhancing the region's climate resilience. Xi's announcement to launch 30 clean energy projects, establish 30 joint laboratories and launch a China-Africa peaceful nuclear technology forum sets the tone for a sustainable Africa and opens new avenues of cooperation.

China has been accused of extracting critical minerals from Africa. However, Beijing is estimated to account for just less than half of what Western countries control on the continent, and its presence is largely concentrated in just a few countries. Meanwhile, Gotion High Tech, a Chinese electric vehicle manufacturer, plans to build a gigafactory in Morocco. The project aims to boost Africa's electrification and decarbonization efforts. Morocco's Prime Minister Aziz Akhannouch, who represented his country at FOCAC, has expressed support for the initiative.

Beijing is a key African partner in narrowing the continent's energy accessibility gap. Through its global leadership in solar panel manufacturing, China has become instrumental in reducing the costs of clean energy worldwide. Beijing's triumphs in green development are evident in Africa, where Chinese companies are involved in several major renewable energy projects such as South Africa's 100-megawatt Redstone Concentrated Solar Thermal Power Plant, Botswana's first 100-megawatt solar plant and China's Africa Solar Belt Program. These projects are delivering benefits to local communities.

During the summit, 30 African countries either established or elevated their strategic partnerships with China, solidifying the China-Africa partnership as a "main pillar" of South-South cooperation. The Beijing Declaration, adopted unanimously by China and 53 African countries, affirms China's approach of equal treatment, respect for Africa's political and economic choices, and noninterference while supporting the continent's modernization. This will, as Xi said, "set off a wave of modernization in the Global South," offering equitable, inclusive and just opportunities for the developing world.

*My article that first appeared at "China's Diplomacy in the New Era"

October 19, 2024

China builds conditions for Africa's stability and sustainable growth

By: Azhar Azam

Held every three years alternately in China and Africa, the 2024 Summit of the Forum on China-Africa Cooperation (FOCAC), set to take place in Beijing shortly, is one of the longest existing and most sought-after global diplomatic events, as well as the most comprehensive and impactful platform that promotes collective dialogue and practical cooperation between the two historic partners.

Several African leaders are gearing up for the fete as they look to strengthen their strategic partnerships with China, upscale regional and multilateral cooperation to support global peace and security, intensify cooperation in the green and blue economies, agriculture, technology and infrastructure development, derive benefits from the summit and seek China's role in post-conflict reconstruction.

In 2021, China and Africa jointly formulated the China-Africa Cooperation Vision 2035. This Vision incorporated aspirations of the Africa Union (AU) Agenda 2063 and national development strategies of African countries such as sustainable economic and social development, job creation, ending poverty, improving education, water and power supply facilities and promoting peace, inclusive growth and industrialization, proposing green and low-carbon and digital development and renewable energy cooperation.

China's infrastructure projects – including highways, railways, ports, bridges and submarine cables – have served more than 900 million Africans through the Belt and Road Initiative (BRI). Beijing's water-saving pilot areas in Mauritania, Nigeria and Ethiopia are benefiting the local communities; the use of Juncao grass technology is creating green jobs in African countries, such as Kenya and Rwanda.

Regarding the energy crisis in Africa and its proneness to climate change, the continent's green development will be one of the key areas of focus at the FOCAC. Beijing has implemented several clean energy projects in Africa such as the Garissa Solar Power Station in Kenya and Kaleta Hydropower Station in Guinea, alleviating African countries' energy shortages; its emphasis on green development will accelerate Africa's clean transition and fortify its efforts to cope with the climate challenges.

China is helping African countries modernize their digital landscape by investing in the continent's internet infrastructure and connectivity through the BRI. Such investments are advancing Africa's aim of bolstering its telecommunications and data infrastructure as Chinese companies like Huawei and ZTE have helped expand mobile and internet access across Africa in addition to facilitating economic activities and furthering social development and digital inclusion.

The China-Africa internet development and digital cooperation forums are ascertaining the expansion of collaboration to artificial intelligence, which is estimated to increase Africa's GDP by $2.9 trillion through 2030, and the sharing of expertise in digital development and information and communication technology that will drive the continent's digitalization, and poverty alleviation efforts to build digital capacity.

Conversely, the U.S. is attempting to make Africa a theater of its strategic competition with China. As Kenya's President William Ruto arrived on a state visit to Washington this May, senior Biden administration's officials acknowledged countering China's influence was the shaping factor behind scheduling this trip.

The U.S. President Joe Biden's own commitment to Africa is vague. Hosting the U.S.-Africa Leaders' Summit in 2022, he vowed to visit Sub-Saharan Africa in 2023 but he broke his pledge. Resultantly, Ruto's visit to Washington was seen by observers as a "fig leaf" that was meant to compensate for the failure to keep his promise.

In comparison, Chinese President Xi Jinping last year visited South Africa for the 15th BRICS Summit and met several African leaders, receiving applause for China's contributions. In Kenya particularly, Beijing has undertaken vital projects such as the Mombasa-Nairobi Standard Gauge Railway and Nairobi Expressway, which have directly benefited people and boosted the Kenyan economy by significantly slashing logistics and transport costs, and underscore its goals of extending fiscal support to Nairobi.

China is criticized by Western analysts for a trade imbalance with Africa. Yet the criticism lacks substance given inexpensive Chinese goods have eased the pressure of regional countries' forex reserves and the scale of China-Africa trade has increased from less than 100 billion Chinese yuan (about $14 billion) in 2000 to 1.98 trillion yuan in 2023.

U.S. attempts to make the continent an arena for its geopolitical rivalry with China could instead complicate Africa's goals, posing a far bigger threat to Africa's peace and prosperity than that of China's.

China's relationship with Africa has been built on a common vision of mutual respect and shared peace and development. After getting rejected even from many of its own allies for its framing of a "great power competition" and hearing a "resounding no" from the Global South in 2023 for U.S. hegemony, America's new cold war psyche faces a strong rebuke from Africa.

As the U.S. continues to release mere statements of solidarity while trying to undermine Africa's unity in a bid to counter China in the continent, Beijing is making efforts to create conditions to help Africa pursue economic growth, focus on people's well-being and protect stability. China's booming approval by African people underscores that its approach toward the region is consistent with Africa's own vision and provides a solution to the pressing continental challenges.

*My article that first appeared at "CGTN"

October 16, 2024

The Economist cites an excerpt of my article

The Economist cites an excerpt of my article:

A view from elsewhere

Ms Harris has “panned” Mr Trump’s plan to increase tariffs as “Trump’s sales tax”, wrote Azhar Azam in the Express Tribune, a Pakistani newspaper. Yet the Biden administration is seeking to “clamp down on the ‘abuse’” of “de minimis” exemptions used by Chinese e-commerce platforms, which exclude low-value parcels from duties. This could cost American consumers, as well as potentially “harming small businesses and provoking retaliation”.

September 24, 2024

Upcoming China-Africa summit set to deepen ties

By: Azhar Azam

Beijing is set to host the 2024 Summit of the Forum on China-Africa Cooperation (FOCAC) from Sept. 4-6.

Since its inception in 2000, FOCAC has become the primary platform for China-Africa economic, diplomatic and political partnerships. Unlike other ad hoc initiatives, it was institutionalized from the outset with a clear operating structure and a robust monitoring mechanism. This ensures the implementation of all policies and measures agreed upon at the forum and the accomplishment of its objectives: equal consultation, enhanced understanding, expanded consensus, strengthened friendship and promoted cooperation.

China's Africa policy is guided by the Five Principles of Peaceful Coexistence – mutual respect for sovereignty and territorial integrity, mutual non-aggression, non-interference in each other's internal affairs, equality and mutual benefit and peaceful coexistence. These principles are considered in Africa as key elements to create a peaceful and prosperous world and they continue to be the centerpiece of the China-Africa relationship. This, alongside Beijing's clean slate regarding colonization of any state or region, in contrast to the West's colonial past, has made China Africa's most trusted development and trade partner.

The African Union (AU) Agenda 2063 outlines seven aspirations to realize its vision of a peaceful and growing Africa. Several of these aspirations align with China's foreign policy, including shared prosperity, dialogue-centered conflict resolution, African unity against external interference, and Africa's role as a global partner. This alignment suggests compatibility between Chinese and African approaches.

Beijing's relations with the continent have also blossomed over the decades through various mechanisms, especially FOCAC, which seeks to deepen trade, investment, infrastructure and economic cooperation with Africa. This contrasts with past Western perceptions of the continent and, in particular, U.S. efforts to influence and bully African nations.

At the Eighth Ministerial Conference of the FOCAC in 2021, Chinese President Xi Jinping announced plans to import $300 billion worth of products from Africa in the next three years. With imports of $117.5 billion in 2022, $109 billion in 2023, and $69.1 billion in the first seven months of 2024, China has almost met its promise ahead of schedule.

China has agreed to participate in developing the African Continental Free Trade Agreement (AfCFTA) and support its secretariat. Africa's welcome of Chinese involvement demonstrates Beijing's commitment to the continent, as the agreement aims to foster industrialization, create jobs, attract investment and lift 30 million people out of extreme poverty — areas where Africa can learn from China's experience.

As reported, Beijing has helped Africa build and upgrade more than 10,000 kilometers of railways, construct nearly 100,000 km of highways and lay over 60,000 km of submarine cables. It has also built nearly 1,000 bridges, 100 ports and over 100 health facilities and schools across Africa under the Belt and Road Initiative (BRI).

Accusations that China is reducing infrastructure projects or creating dependence through the BRI are misleading. African leaders themselves have rebuffed such false narratives. For instance, South African President Cyril Ramaphosa said last year that the BRI had led to new road, rail, port and energy investments across the continent, generating jobs, improving regional connectivity and promoting innovation.

While others merely talked about investment, China actually poured investment into Africa without moral lecturing. "Perhaps China was more audacious, perhaps they have more vision and perhaps they trusted the potential in Africa," said Moussa Faki, chairperson of the AU Commission, at the G20 Compact with Africa summit in November last year.

At the Third Belt and Road Forum for International Cooperation, President Xi revealed plans for numerous signature projects and "small yet smart" people-centered programs. He announced that the China Development Bank and the Export-Import Bank of China would set up a 350-billion-yuan ($49 billion) financing window and inject an additional 80 billion yuan into the Silk Road Fund.

This, along with promoting green development in infrastructure, energy and transportation, will benefit Africa, powering its green growth and bolstering its capacity to fight poverty and climate change — key priorities within FOCAC.

Four in five people of the world's 675 million living without electricity are from Sub-Saharan Africa. Hundreds of China's renewable energy projects, including Morocco's NOOR II and NOOR III solar power projects, Egypt's 500-megawatt Gulf of Suez II wind farm and Kenya's Garissa solar power plant, are helping Africa address its energy and climate crises. FOCAC plays a critical role in building a climate-resilient African green economy.

Africa has a keen interest in industrialization. As the continent's integration has gradually deepened, several African governments asked China to consider focusing on their industrialization in recent years. In response, President Xi, last year at the China-Africa Leaders' Dialogue, announced three major programs: the Initiative on Supporting Africa's Industrialization, the Plan for China Supporting Africa's Agricultural Modernization and the Plan for China-Africa Cooperation on Talent Development. These aim to support Africa's industrialization, upgrade its agriculture sector and boost innovation.

China's efforts aim to boost Africa's independence and economic growth, reflecting its continued commitment to the continent's development. This is evident in the trade of intermediate goods, which are crucial for Africa's industrialization and diversification and account for nearly 68% of China-Africa trade.

Following Xi's pledge to open "green lanes" for Africa and support the continent's agricultural modernization, China has become the largest export market for African agricultural products. While the U.S. and other Western nations maintain high tariffs on African farm produce, China has held economic and trade expos to promote African imports. These include Ethiopian coffee, Kenyan avocados and flowers, as well as Madagascar's essential oils, marking a significant shift in African agricultural exports and bilateral relations.

A recent example of cooperation is the China-Africa Forum on Digital Cooperation, culminating in the Action Plan for China-Africa Digital Cooperation and Development. The forum provided a platform to share experiences in digital and information communication technology, potentially advancing African economies' digital transformation. It could strengthen China-Africa ties in areas such as e-commerce, digital infrastructure, security, 5G and 6G technology, artificial intelligence and e-governance.

FOCAC has evolved from a multilateral coordination mechanism into a model of South-South cooperation. Over the years, it has addressed challenges through collective consultation and strategic understanding. An African proverb aptly describes this relationship: "If you want to go fast, go alone. If you want to go far, go together." The upcoming FOCAC summit aims to reinforce bilateral friendship and further develop a China-Africa community with a shared future. Its success will not only benefit China and Africa, but also the world as a whole.

*My article that first appeared at "China's Diplomacy in the New Era" and "China Focus"

September 19, 2024

Hungary's 'peace mission' reveals a split within the EU

By: Azhar Azam

The EU foreign affairs meeting was held in Brussels on August 29. The informal summit originally scheduled under the rotating presidency of the EU council, Hungary, was moved to the Belgian capital over Hungarian Prime Minister Viktor Orban's "peace missions" to peacefully resolve the Ukraine conflict.

"We have to send a signal, even if this is a symbolic signal," said Josep Borrell, the EU's High Representative for Foreign Affairs and Security Policy and Vice-President of the European Commission, announcing the change of venue. Stripping Budapest of its right to hold the meeting prompted a swift condemnation from Hungarian Foreign Minister Peter Szijjarto who said, "What a fantastic response they have come up with…it feels like being in a kindergarten."

While this is unfortunate in the 21st century that a country is criticized, penalized and stigmatized for making efforts to start peace negotiations and seek a diplomatic solution of the conflict, it also reveals a clear divide in the Union.

Budapest has a keen interest in resolving the conflict given it is one of Ukraine's neighboring countries, and is directly exposed to economic shocks as well spillover effects of the conflict. Yet Budapest's concerns were not addressed, leading into a messy situation and differences within the EU.

Szijjarto is critical of Europe's peace approach and policy of following the U.S., a country with a long history of fanning the flames of war the world over. Stating Europe had no peace strategy and there was no consensus across the continent on key issues, Szijjarto said that he didn't understand why the continent was copying America with no voice of its own.

His remarks echoed those of French President Emmanuel Macron who has been urging the EU not to become a U.S. "vassal," saying it should become independent and self-reliant. Szijjarto's Facebook post, complaining about Brussels failing to ensure oil supplies for its own members, indicated a growing frustration and declining trust in the bloc's ability to protect interests of its fellow states.

The Hungarian foreign minister views all this as a fallout of Orban's multi-nation trips to promote peace. Early last month, Orban launched his "peace mission," meeting the Ukrainian President Volodymyr Zelenskyy and asking him to consider a ceasefire to speed up the peace talks and make his contributions to solve the biggest EU challenge. Hungary's president also offered his country's support to modernize Ukraine's economy, describing his pro-peace approach and intent to play a role to rebuild Ukraine.

While Orban's trip to Ukraine was itself a silent endorsement of his peace efforts by Kyiv, in a follow-up of his "peace mission," he went to Russia and discussed the prospects of a peaceful settlement of the Ukraine conflict. Some European officials criticized him even though he has been a longtime proponent of a cessation of hostilities to secure Europe and several other European leaders had also made such attempts.

The White House voiced concern, asserting the visit would "not advance the cause of peace" although the mission had just begun, exposing America's efforts to derail any potential peace process in addition to undressing its restiveness about the success of a ceasefire in a conflict that is helping the U.S. arms industry to thrive, yet ravaging European economies.

In the final leg of his trip, Orban arrived in China, which has also offered a peace plan to discuss a potential peace deal between Russia and Ukraine. Stating it was in the interest of all countries to seek a political solution through an early ceasefire, Chinese President Xi Jinping emphasized that the international community should create conditions for the resumption of direct dialogue and negotiations between the two sides and provide assistance.

China's Ukraine peace plan – covering important areas such as respecting sovereignty of all countries, resuming talks after ceasing hostilities and protecting civilians – has been widely debated and supported by countries worldwide. This underscored the global embrace of Beijing's peace proposal and the world's rejection of the U.S. propaganda that China was helping Russia by supplying dual-use goods.

The Ukraine conflict has not only inflicted serious damage on Europe but also the entire world. This "wartime psychosis," fueled by the U.S., could trigger a hemorrhage of the European economy, making it even more dependent on America. Moreover, a prolonged conflict will adversely affect the rest of the world.

A broad split within the EU on the shift of the meeting's venue and an intensifying belief across many European countries on the negotiated solution of the conflict is an explicit renunciation of the U.S.-imposed pro-war approach on the bloc, revealing the intent of several EU nations to regain the autonomy of developing an independent policy, which serves their own interests and bring peace to the region.

*My article that first appeared at the CGTN