One morning in March, a Chinese-built train departed the Kenyan capital of Nairobi and headed to the middle of nowhere.
The World Bank warned that building the new SGR would cost 18 times as much as simply rehabilitating damaged or neglected sections of the old one. But Kenya’s leaders cared more about grandiosity than fiscal responsibility. Generations of Kenyans will be paying the price.
Read: The Dial Mag
In 2007, the Bill & Melinda Gates Foundation announced an ambitious endeavor: To eradicate malaria across the globe.
It was late to the game. That year, Chinese scientists working with a Chinese philanthropist had already begun eradicating malaria from the small African nation of Comoros. Now they’re setting their sights on a more ambitious location: Kenya, the East African nation of nearly 50 million people.
Read: The Atlantic
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In 2009, China surpassed the United States as the continent’s largest trading partner. By 2012, its trade with Africa was double the United States’.
Western media tend to inflate the rhetoric surrounding China’s rise in Africa. Headlines are often resentful and sometimes border on fear-mongering: China is “winning” Africa from the West. The United States must “catch up” to China if it hopes to maintain economic, security and cultural relevance in Africa. A monolithic “China” sees Africa as a place to get rich quick, and doesn’t care much about the consequences.
But behind these hyperbolic headlines there are people, actual Chinese moving to Africa — one million over the past 15 years according to the rough but generally accepted estimate.
“Big projects completed by big, government-owned companies dominate the headlines about the advancing Chinese agenda in Africa,” wrote Howard French, a longtime New York Times correspondent in both China and Africa, in China’s Second Continent. “But history teaches us that very often reality is more meaningfully shaped by the deeds of countless smaller actors, most of them for all intents and purposes anonymous.”
Read the full article at VICE, and watch the full documentary, Chinafication of Africa, which I helped produce, on VICE HBO on April 22nd, 2016.
When Europeans began arriving in the New World at the end of the 15th century, they used the region to source silver, gold, coffee, and wool. Today, China is the foremost trading partner with several Latin American countries, and buys oil from Venezuela, Mexico, and Ecuador; iron ore from Brazil; beef from Argentina; and copper from Chile and Peru.
According to a new book, The China Triangle: Latin America’s China Boom and the Fate of the Washington Consensus, by Boston University global development professor Kevin P. Gallagher, Chinese investment in Latin America is outpacing even its famed liaison with Africa.
Gallagher argues that the Washington Consensus—by which the U.S. pressured Latin American countries to open their markets to free trade and deregulation during the 1990s—failed to help those states develop. “While the United States wasn’t paying attention, Latin America quickly became of the utmost strategic importance for China—as a source for many of the key natural resources it needs to grow its economy and the appetites of more than a billion people,” he writes.
But therein lies the hitch in Gallagher’s thesis. The antiquated notion that the U.S. and China are in a sort of dichotomous or binary economic arms race—a sense highlighted by the “triangle” reference upon which his book is titled—overlooks the fact that these two nations cannot possibly account for all of Latin America’s gains and losses during the two decades that he studies. If Gallagher’s strongest argument is that China’s Latin American presence is surprisingly large, his weakest is that it is almost singularly responsible for the region’s recent growth.
Read the full book review at Columbia University Global Reports.
The million Chinese who’ve landed in Africa are plucky, hugely ambitious and have an eye for opportunity. They’re also helping make China a big player on a continent once dominated by the West.
You’ve seen the headlines: China is taking over Africa, and the United States and Africa’s former colonizers in Europe have lost sway.
Mostly, it’s true. Throughout Angola, Ghana and the Congo, some of China’s largest companies are building roads and railways. They’re backed by Chinese banks, and they’ll pay off their loans in kind through mining and oil deals. All the while, small-scale Chinese entrepreneurs are moving to Africa, opening pharmacies, trading furniture or buying land to farm, much as earlier generations did in Southeast Asia and North America. African governments are welcoming them with open arms, and for the most part, so are Africans themselves.
Earlier literature on China’s rise in Africa pushed us past the easy — and flawed — paradigm of China as Africa’s latest ”colonizer.” But in his forthcoming book, China’s Second Continent, Howard French argues the Chinese who migrate to Africa do so as individuals motivated by simple, familiar dreams of opportunity.
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A former China bureau chief for The New York Times and veteran Africa correspondent, French traveled the African continent, speaking Mandarin with Chinese men and women who had grown weary of the daily grind in their homeland. The characters French encounters are risk-takers: sometimes foulmouthed, often lucky and universally ambitious.
Read the full Q&A: Howard French on ‘China’s Second Continent’ | C-Notes | OZY
South Africa’s president arrives in Beijing for a Ministerial Conference of the Forum on China-Africa Cooperation (FOCAC). Photograph by GovernmentZA.
Chinese companies and banks were once seen as bold and fearless as they invested in countries Western investors deemed too risky. But this may now be changing.
By Jacob Kushner
In 2007, when two Chinese state-owned companies struck a deal with the Congolese government to build the biggest mine the country had ever seen, all involved were riding high. In a mega-deal originally worth some $9 billion, Sinohydro and the China Railway Engineering Corporation (CREC) would gain access to 6.8 million metric tons of copper, the future profits of which were to underwrite the prior building of hospitals, roads and other infrastructure.
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At the time, the China’s involvement in Africa was booming and the Sicomines deal embodied much that was symptomatic of Sino-African relations: it was massive-scale, involved vast infrastructural construction linked with similarly vast mineral resources, and was taking place in a country many other investors would have deemed too unstable.
It was not long, however, before confidence in the deal began to wane, especially amongst the deal’s financiers, China’s Export-Import Bank (Exim).
Read the full article at Think Africa Press.
China’s economic rise in Africa has brought a whole army of managers and engineers to the continent. Many of them have come with state-owned companies to extract minerals and build infrastructure. One example where this is happening is the Democratic Republic of Congo. Newsday has spoken to journalist Jacob Kushner who travelled around the country meeting different communities of Chinese immigrants for his book “China’s Congo Plan”
Listen to the interview at BBC World Service Newsday.
To single out Chinese companies for entering into shady business in the DRC is to miss a fundamental point: Western firms have been at it for centuries, and still are.
Last January I was in the Democratic Republic of Congo (DRC) to research Sicomines, China’s controversial $6.5 billion megadeal in which Chinese companies will construct roads, schools and hospitals in exchange for mining and untold billions of dollars worth of copper and cobalt with Congo’s state mining agency.
On a sunny morning in the south-eastern mining city of Lubumbashi, I called a Congolese official to pose some hard questions about the deal – particularly, what happened to the $350 million ‘signing bonus’ that was handed over by the Chinese. But I hardly got a word in before his response betrayed his fear as to the more sensitive concern on his mind: “Is this about COMIDE?”
It wasn’t, of course. But perhaps it should have been, because the corruption scandal that burns hottest among Congolese officials today has nothing to do with the Chinese. In 2009, the International Monetary Fund started a $551 million loan to improve the DRC’s business climate through a series of projects. As a condition of the loan, Congo’s government would have to make all its mining contracts and transactions public.
So it must have come as a surprise to the IMF when Bloomberg revealed the DRC had sold its 25% stake in a copper mining venture called COMIDE SPRL – a trade the Congolese government hadn’t disclosed. The IMF responded to the news by refusing to renew the loan, meaning the DRC will essentially forfeit an incredible $225 million because a few Congolese officials didn’t want the world to know what they were up to.
Read the full story as it appeared at Think Africa Press.
Robein Wei in Lubumbashi, Congo. / Jacob Kushner
In Congo, Chinese are settling in with businesses and bargains that locals love. At one copper smelting plant, Chinese and locals work together but live apart.
LUBUMBASHI, CONGO — Some 6,000 miles away from his home in China, Robin Wei awakes on a cot beneath a white mosquito net. He gets dressed, opens the door of his bunker, and walks out into the rainy season toward the factory where he works.
Four years ago, Mr. Wei bade goodbye to his wife and daughter in Shanghai and boarded a flight to the heart of Congo’s mineral belt. He lives and works at a Chinese-owned smelting plant that extracts copper from the rich ore, which is then sold for wire and pipes that go into building skyscrapers and cargo ships.
Congo also holds nearly half the world’s known reserves of cobalt. It has vast reserves of high-grade copper, tantalum, and tin. Just 10 years ago, a ton of copper could fetch $1,700 on the world market. Today it goes for about $8,000.
Wei is one of hundreds of thousands of Chinese men and women – as many as 1 million by some estimates – who, at least for now, call Africa home. (Wei goes home to visit his wife and daughter once a year.) China has been investing heavily in Africa for more than a decade, and both China and its migrants are in what could be called a settling-in period as the story of a fast-growing Africa and a rising China unfolds.
Read the full story as it appeared at the Christian Science Monitor. This story was adapted from the new e-book China’s Congo Plan.
“Kushner is fair-minded and has invested much time and effort in figuring out the interplay between the new superpower and a poor but strategically important African country.”
-Ian Johnson, The New York Review of Books
What does China see in the world’s poorest nation? An opportunity for big business. Congo is known for poverty and conflict, but it is home to an enormous wealth of buried minerals such as copper, whose value is rising on the world market. Already, tens of thousands of Chinese men and women have left their families behind to live in Africa to dig and process ore.
Now, two Chinese state-owned companies are opening the biggest mine Congo has ever seen. In exchange, they’re spending billions of dollars to build new roads and modernize Congo’s infrastructure.
But will Chinese mines and roads help transform Congo in a way Western aid and business have not? Or will Chinese businessmen and Congolese officials get rich while the people continue to live in poverty?
In “China’s Congo Plan”, Jacob Kushner takes us street-side to a grand, Chinese-constructed boulevard in Congo’s capital Kinshasa, to a mountain range where Congolese men, women and children dig for minerals with picks and shovels, and to a factory where Chinese immigrants melt aqua-blue rocks into molten copper lava. Two years after China overtook the United States as Africa’s largest trading partner, Kushner brings us inside the world of China’s rise in the continent.
Kushner’s reporting was supported by the Pulitzer Center on Crisis Reporting, and his research was advised by faculty at the Columbia University Graduate School of Journalism. “China’s Congo Plan” was awarded the Grand Prize in the Atavist Digital Storymakers Award for Graduate Longform, sponsored by the Pearson Foundation.
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