China’s trade with Africa saw a significant boost in the first quarter of the year, with imports from the continent increasing by 8% to US$29.42 billion. This growth was primarily driven by a rise in imports of critical minerals used in electric vehicle (EV) battery production.
On the other hand, China’s exports to Africa also grew by 4.4% to US$41.4 billion, resulting in a trade surplus for Beijing. The trade relationship between China and Africa is heavily dependent on the exchange of raw materials for finished industrial products.
Resource-rich nations like South Africa, Angola, the Democratic Republic of the Congo (DRC), and Nigeria were among China’s largest trading partners in Africa during the quarter. These countries primarily export minerals such as oil, copper, iron ore, cobalt, and lithium to China.
Zimbabwe, in particular, has emerged as a key source of battery metals for China, with exports to the country increasing significantly. The rise in China-Africa trade can also be attributed to factors such as the soaring price of gold, increased demand for commodities, and more realistic exchange rates in certain African countries.
Experts believe that the strong trade figures between China and Africa are likely to continue, given the current market dynamics and projections for commodity prices. As China’s demand for minerals and African countries’ need for finished goods remain high, the trade relationship between the two regions is expected to remain robust in the foreseeable future.
