Implication of china’s accession into the w.t.o for sub saharan africa

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This study has undertaken an empirical assessment of the implication of China’s accession into the W.T.O for Sub Saharan Africa. It was motivated by the increasing debate about the Sino-African relationship over the past decade and what inherently underlies china’s increasing interest. Is it in the genuine interest of china to form a new south-south partnership with the emerging African continent, or a calculated attempt to re-ignite the structure of Neo-imperialism? As some policy observers would suggest, maybe it is simply the hunger of china for natural resources that continues to motivate its increasing interest in Africa. This study investigates these interesting debates and the specific channels through which the impact of china manifests on Sub Saharan Africa. In achieving our broad objectives, we adopt the case study approach by presenting the case of Angola and South Africa. Using the competitive-complimentarity framework, it was found that china plays a positive role in Africa, but its competitive force is unduly exerting a tremendous influence on SSA small businesses and especially the manufacturing sector.



For China, the world’s 7th largest and most populous economy, November 2001 was to a much interesting extent its Eureka moment when it made a giant leap into the much quested aura of free market regime by becoming a member of the world trade organisation (WTO). Although she had embarked on market liberalization policies since the 1970’s however, membership into the W.T.O. was a compelling window to standardise its trade principles and practices in accordance with those of other free market economies and international rules. According to UNCTAD (2002), “the WTO is seen as a “significant frontier of globalization” that will allow China to “become a respectable member in the open international economic system,” enabling it to enjoy equal trading treatment and to take part in formulating trade regulations”

The implication of this great milestone although is remarkable for the global market system and China itself. However, for (S.S.A.) Sub-Saharan Africa, the accession of china into the W.T.O. marked a new era of economic milieu for the fact that, conventionally, the western powers were the countries with substantial interest in trade, aid and economic partnership and unfortunately due to recent challenges facing those individual nations, the attention given to SSA has been fast declining. Thus, the last ten years have brought china closer to the need of African countries. As observers would note; this increasing role does single-handedly invalidates the growing marginalization of Africa by the much traditional European and American powers (Mandy, 2005).

In contrast to the western powers, by offering aid without preconditions, China has presented an attractive alternative to conditional Western aid, debt cancellation and a boom in Sino-African trade while gaining valuable diplomatic support to defend its international interests. While the continuous engagement of china with SSA has continued to spawn important policy implications for growth and investment distribution, there are growing concerns about its adverse effects on key developmental areas such as manufacturing,

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