Africa the local community. But projects in trade only are more demanding, mainly because the after-sales service can not catch up with the growing expansions.” According to Ministry of Commerce, P.R.C., by the end of 2010, the accomplished turnover of China’s foreign contracting projects in Africa amounted to US$35.83 billion, accounting for 38.9% of the total, 27.5% growth compared with the previous year, involving in fields of mining, financial, manufacturing, construction, agriculture, business and trade, wholesales and retails, etc. However, the attitude of local government towards cooperation with Chinese enterprises often falls in a dilemma. “They hope Chinese enterprises can boost the local economy, as well as create more job opportunities for the local community. However, they also worry if too many Chinese enterprises march into the market at one time, it would be a threat to the local companies, and risk the market balance.” Zhang said. “Politically, China is easy to make friends with Africa, particularly when the land was bullied by the Western countries. But, in other cases? Hard to say. Africa has been influenced so much from the West: language, religion, culture, social system, technical principles, even life style. Significant numbers of Africans respect or even encourage the Western society style and the westerners. This probably dates back to African history itself which China missed the chance to be involved in early developments. It will take a long time for China to win their real respect and trust.” Zhang said. “Chinese business in Africa still remains in a low level in internationalization. There are many stories of unethical practices and lack of social responsibility among Chinese companies.” Xie said. Wang added, “It’s important for every Chinese company to build confidence, trust and establish a fair and honorable reputation. Yes, indeed, a few Chinese companies who attempt short cuts have disturbed the normal market stability by not following the rules. For each instance where one company breaks one rule, many companies will have to do a lot of things to pay back the loss and build back up the reputation again.” he said. In fact, those Chinese who have travelled outside China are more likely to have a more open and international mind. However, their ways of thinking, communication, and behavior style...all these need to adjust to fit for the game rules of the global market. It is still a long way ahead. “In my eyes, it is still difficult for Chinese to blend into the global village; maybe Chinese culture is too unique in itself. We still need time to adjust, to get familiar with acceptable global business practice.” remarked Zhang. More opportunities in future The China-Africa Cooperation Forum was established in October 10, 2000. In the past decade, trade and investment between the two sides grew rapidly, which proved that they need each other, and indicated more potential to explore further in future. According to China’s Ministry of Commerce data, from 2000 to 2009, the trade value between China and Africa has increased from US$10.6 billion to US$91.0 billion. China now is the largest trade partner of Africa. From July 1, 2010, China has reduced 60% tariff for 26 countries in Africa, involving over 4700 items. This will, no doubt, promote, encourage and grow the bilateral trade. In 2009, China announced to offer a US$10 billion preferential loan to African countries in 3 years. “The financial aid from China will mainly focus on the areas of agriculture, health, education, clean energy and talents training. This is the main focus of people’s livelihood in Africa, also what they need most.” said Gao Yuanyuan, vice director of Department of Aid to Foreign Countries of MoC. “Financial cooperation will be the main highlight in our future work.” From 2000 to 2009, China’s direct investment in Africa increased from US$210 million annually to US$1.44 billion. Meanwhile, the FDI from Africa to China increased from US$280 million annually to US$1.31 billion. Wei Jianguo, former vice-minister of commerce commented, “Now is the best time for Chinese firms to invest in the continent as Africa needs to upgrade its economic structure.” It is a land full of opportunities. When Dawn Zhang saw the vast idle land in Africa, he often wondered if the land could be tapped by Chinese, how much wealth would be created from it. Zhang’s dream is now encouraged by Chinese government. “Chinese companies can explore more chances in sectors like agriculture and manufacturing, as well as the current focus on infrastructure and energy resources,” Lu Shaye, director-general of the African affairs department with the Ministry of Foreign Affairs, said at a China-Africa forum in Beijing last May. According to Zhong Manying, director of the Department of Western Asian and African Affairs of MoC, currently, there are only 30 direct flights between China and Africa every week. “That is quite a small number (considering that the direct flights between China and United Arab Emirates per week exceed 30). Moreover, those flights are mainly run by African airlines. China can explore its chance in this and related areas.” Zhong said. “Very few large and medium-sized supermarkets in Africa are operated by Chinese. Though Chinese products are very popular in Africa’s market, the distribution and logistics ability is very limited,” Zhong added, “To enhance an all-around service is our target there.” 32
2011 Congratulatory Messages For The Spring Festival SCO 尊 敬 的 中 国 外 贸 的 读 者 朋 友 们 : 值 此 中 国 传 统 节 日 - 春 节 即 将 来 临 之 际 , 谨 向 大 家 致 以 节 日 的 祝 贺 ! 在 过 去 的 2010 年 里 , 上 海 合 作 组 织 全 力 落 实 2009 年 6 月 16 日 叶 卡 捷 琳 堡 峰 会 、2 010 年 6 月 11 日 塔 什 干 峰 会 、2 0 0 9 年 10 月 14 日 北 京 政 府 首 脑 理 事 会 会 议 确 定 的 目 标 和 任 务 , 包 括 2009 年 10 月 通 过 的 《 上 海 合 作 组 织 成 员 国 关 于 加 强 经 济 合 作 、 应 对 全 球 金 融 经 济 危 机 、 保 障 经 济 持 续 发 展 的 共 同 倡 议 》。 上 海 合 作 组 织 致 力 于 贸 易 和 投 资 便 利 化 、 落 实 本 地 区 和 地 区 间 交 通 、 运 输 基 础 设 计 的 共 同 项 目 , 扩 大 和 深 化 人 文 合 作 , 为 推 动 上 海 合 作 组 织 地 区 各 国 的 经 济 社 会 发 展 、 维 护 本 地 区 的 和 平 与 稳 定 做 出 了 重 要 贡 献 。 2011 年 是 上 海 合 作 组 织 成 立 十 周 年 。 我 们 愿 以 此 为 契 机 , 将 上 海 合 作 组 织 框 架 内 的 各 领 域 合 作 提 高 到 崭 新 的 水 平 , 造 福 于 本 地 区 各 国 人 民 。 祝 大 家 身 体 健 康 , 万 事 如 意 ! 穆 · 伊 马 纳 利 耶 夫 上 海 合 作 组 织 秘 书 长 H.E. Mr. Bolat Nurgaliyev Secretariat of SCO UNICEF On the occasion of the 2011 Spring Festival, I would like to extend my best wishes to all and express my sincere hope that all children, everywhere, will have a better future. Dr. Yin Yin Nwe UNICEF Representative People’s Republic of China 33
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