China is providing duty-free benefits to many African countries to promote trade and reduce trade imbalances. This move is intended to help African nations, especially for those countries who is capable for manufacturing, and gain access to the vast Chinese market. Mainly China is eliminating tariffs on imports from many African countries, including middle-income nations like South Africa, Nigeria, and Egypt.
They announced that, it is ready to lift existing tariffs on imports from 53 African countries. The decision will apply to countries with which China has diplomatic relations. The announcement was made at a meeting on China-Africa cooperation.
There are fears that the US will impose additional tariffs on African goods. However, despite the announcement, Beijing has not yet given a specific date for it to take effect, based on BCC News. But all African countries will benefits, only Eswatini will be excluded from this duty-free benefit because the country recognizes Taiwan as an independent state, which is against China’s “One China” policy.
Reasons behind the duty-free benefit
1.Geopolitical influence
China has been Africa’s largest trading partner for 15 years. In 2023, African exports to China amounted to about $170 billion. While the United States is imposing additional tariffs on African goods, China is taking the opposite path. Through this, it wants to attract African countries to itself and reduce the influence of the United States.
2.Ensuring uninterrupted supply of raw materials
China imports a large amount of raw materials from Africa, especially cobalt, bauxite, copper, etc. from Congo and Guinea. These raw materials are essential for China’s technology and construction sectors. Providing duty-free benefits will make it possible to import these raw materials at a lower cost, which will keep China’s industrial sector affordable and competitive.
Read More: Yunus Says in Meeting with Tarique Rahman Election Possible Before Ramadan 2026 If Reforms Progress
3. Show support to least developed countries
China says this is an extension of its previous initiative. In 2023, it exempted tariffs on goods from 33 least developed countries in Africa. This time, major economies like Nigeria and South Africa are being added to the list. It is part of China’s “development cooperation” policy.
4.Strategies to gain loyalty to the ‘One China’ policy
Only Eswatini will be excluded from this benefit, as the country recognizes Taiwan. China wants to send a clear message through this, “those who adhere to the ‘one China policy’ will receive China’s commercial benefits, those who do not will be deprived.”
5.Trade competition with the United States
In 2024, the United States imported about $39.5 billion worth of goods from Africa. But US President Trump has imposed additional tariffs on many African countries, such as 50% on Lesotho, 30% on South Africa, and 14% on Nigeria. China is using this opportunity to present itself as a ‘better trading partner’ than the United States by offering duty-free benefits to Africa.
6.Support for the expansion of the Belt and Road Initiative (BRI)
Africa is an important partner in China’s global trade project BRI. Providing duty-free benefits will encourage African countries to show more interest in Chinese investment and infrastructure projects, which will help increase China’s global trade power.
Source: Prothom Alo
