China

As China’s presence has expanded into the Horn of Africa, Somaliland has opted to distance itself from Beijing and presented itself as a democratic ally of the West – and Taiwan. On March 17, 2022, three Republican Congressmen introduced a bill titled the “Somaliland Partnership Act,” requiring the American Secretary of State to submit annual reports to Congress on assistance provided to Somaliland and conduct a feasibility study on establishing a security partnership with Somalilan ...

Emerging market and developing economies (EMDE) face a common set of external shocks: rising energy and food prices; tightening in global financial conditions caused by the prospect of sharper interest rate hikes and anticipation of "quantitative tightening"; and return of restrictions on mobility in China, on account of the Covid zero policy, leading to slumping in growth and weakening one of the primary growth drivers for the other EMDE. However, the impacts of those common shocks ...

The White House  classified the speech as “remarks by President Obama to the People of Africa”, their representatives gathered at Mandela Hall, Addis Ababa,  Ethiopia, July 28, 2015. It was the first address by a US-President to the African Union. He was standing before the audience as “a proud American” and “the son of an African”. His father, Barack Hussein Obama, who grew up near a small village in Nyanza Province, Kenya, won a scholarship to study economics and made h ...

Not all is quiet on the Chinese/Chinese front. Warships are sailing through the Taiwan Strait. One day, an American missile guided US destroyer, the next a Canadian Frigate, some Chinese submarines, or one of Beijing’s new aircraft carriers. Shadows of a new cold war, possibly turning into an unpredictable escalation. America’s National Public Radio (NPR) reporter Scott Neuman stated (October 6, 2021), “Taiwan says tensions with China are at their worst in 4 decades.” With the situ ...

Concerns are real, but the country fares as well as peers at similar levels of development China holds a paradox: Western policy-makers and many firms decry discriminatory business practices — concerns that have culminated in a trade war between the US and China — yet foreign direct investment (FDI) in China continues to thrive. In the first quarter of this year, FDI into China soared by 40% compared to the same period a year prior and, as reported by Unctad, the country overt ...

On July 21, the Official Monetary and Financial Institutions Forum (OMFIF) published its eighth annual report on Global Public Investors (GPI). It included a survey the asset allocation plans of reserve managers of central banks, sovereign wealth funds, and public pension funds. Together, the 102 investors who responded to the survey manage $42.7 trillion in assets (Figure 1). Source: OMFIF analysis (GPI 2021).   The survey highlighted notable changes in the composition of p ...

For years, no one knew why dozens of battered wooden ghost boats, often with the corpses of North Korean fishermen, whose starved bodies were reduced to skeletons, routinely washed up on the Japanese coast, wrote Ian Urbina in an August 2020 report for Yale University’s 360 environment project. The explanation, he said, could be that “China is sending a previously invisible armada of industrial boats to illegally fish in North Korean waters, forcing out smaller North Korea ...

China is the world's largest exporter of goods. It is also, by any plausible criterion, a developing country. China's dual status needs to be better reflected in Chinese policies - recognizing its global responsibilities -- and in those of the Western powers - recognizing China's limitations. Across three important agendas - macroeconomics, development assistance, and climate - important differences between China and the West remain, yet none of these issues appears intractable. ...

Commodity prices have recovered their 2020 losses and, in most cases, are now above pre-pandemic levels (Figure 1). The pace of Chinese growth since 2020 and the economic recovery that has accompanied vaccine rollouts in advanced companies are seen as driving demand upward, while supply restrictions for some items—oil, copper, and some food products—have favored their upward adjustment. Some analysts have started to speak of the possibility of a new commodity price ‘super-cycle’ af ...

CGTN, 25 September 2020 China’s economy keeps recovering from the coronavirus pandemic-led crisis through the third quarter of 2020, as revealed by the numbers of August activity. Its GDP grew by 3.2% in the second quarter, after falling by 6.8% in the first quarter, in both cases as compared from a year before. It is now the only major economy expected to exhibit growth this year. Successful containment of the pandemics has allowed it to be first-in-first-out relative to others. ...

The crisis of the new Coronavirus is exacerbating the tensions between the United States and China, thus foreshadowing a war without guns, in which the stakes are neither territorial nor ideological, but economic. Having adopted a vehement attitude towards China, well before this crisis, the tenant of the White House has brandished the threat of economic sanctions against China and is pushing towards its isolation on the international scene in order to contain its influence. In cont ...

The worldwide spread of the Covid-19 pandemic has had a severe human impact, mainly in the United States and Europe. For the time being, Africa seems to be less affected, based on the relatively small number of infected people and deaths. Several explanations have been put forward to support this finding, ranging from hot climates to acquired immunity from previous health challenges to traditional miracle cures. In their management of the new epidemic, African countries must logical ...

Analysts are trying to understand why the COVID-19 pandemic is progressing in Africa at a much slower rate than expected. According to one report, the continent had by the beginning of May seen 37,000 infection cases and 1600 fatalities, compared to the rest of the world, which has 3.2 million cases and 228,000 deaths1. Various explanations have been proffered to explain this disparity: Africa’s warm climate, the youthfulness of the continent’s population (60% of the population is u ...

Les rumeurs autour de la pandémie Covid-19, partie de la Chine centrale en minovembre 2019, alimentent plusieurs fantasmes conspirationnistes. Il s’agit, notamment, d’hypothèse d’attaque biologique sur fond d’une guerre commerciale ou d’une fuite du pathogène SARS Co-V2 d’un programme biologique chinois. En marge de cette spirale, au demeurant spéculative, se réactualise le débat sur l’emploi des armes biologiques. En fait, plusieurs germes pathogènes d’origine naturelle, génétique ...

Jamais dans l’Histoire de l’humanité la configuration d’un ennemi commun à toutes les nations ne s’était produite. La crise pandémique du Coronavirus ne guète pas une race, une religion ou une couleur en particulier. Celui qui est menacé est bien l’espèce humaine dans sa totalité. C’est une guerre d’un contre tous. Or, plutôt que d’apporter une réponse commune, les Etats fonctionnent en isolation clinique et le système institutionnel, aussi bien multilatéral que régional, peine à co ...

A feeling of collective insanity has overtaken the world since the Coronavirus Disease 2019 (COVID-2019) emerged in Wuhan, China. The virus—more lethal than influenza—was initially treated lightly by the West. This approach showed the lack of preparedness of many countries in dealing with the epidemics we are currently facing. Instead of implementing immediate measures to deal with the challenges imposed, some political and business leaders started labeling COVID-19 as the Chinese v ...

The outbreak in China has already affected economic sectors in Latin America. Is there more to come? China’s economy has come to a sudden stop. Large parts of the country remain in shutdown mode after the end of the Lunar New Year holiday, with national passenger traffic declining by 85% on the Wednesday after the break compared to 2019.   Outside of China, the impact of the slowdown has already been felt, with companies like Apple and Land Rover warning o ...

China and the European Union have an extensive and growing economic relationship. The relationship is problematic because of the distortions caused by China’s state capitalist system and the diversity of interests within the EU’s incomplete federation. More can be done to capture the untapped trade and investment opportunities that exist between the parties. China’s size and dynamism, and its recent shift from an export-led to a domesticdemand- led growth model, mean that these oppo ...

The growth slowdown became evident in late 2017. World GDP at market exchange rates slowed from a seasonally adjusted annual rate of between 4 and 5% in the second half of 2017 to between 1.5% to 2% in the first half of 2019. The slowdown came as a big surprise and led to continuous revisions downwards of growth forecasts as shown yet again by the IMF’s World Economic Outlook issued last week. Nearly all observers and experts had expected the expansion of 2016/2017 to con ...

The Trump government has been imposing restrictions on access to technologies by Chinese telecommunications firms. Why and what are the consequences? The Federal Communications Commission is about to ban carriers from using government funds to buy equipment from Huawei and ZTE. Other government agencies are expected to take similar measures. This is just the latest episode of a gradual squeeze that the Trump government has been giving over China's telecommunications giant Huawei, ...

Decades of rapid economic growth have dramatically expanded China’s energy needs. The magnitudes are impressive. China is now the world’s largest consumer of energy, the largest producer and consumer of coal, and the largest emitter of carbon dioxide. It is increasingly looking toward securing its future energy needs with sustainable alternatives. China has also become the world’s largest producer, exporter and installer of solar panels, wind turbines, batteries, electric vehicles, ...

The objective of this paper is to better understand the evolution of manufacturing employment across the world. Manufacturing value added has grown rapidly since 2000, at least matching world GDP growth, even after the global financial crisis, reflecting mainly rising demand for manufactures especially in developing countries. However, manufacturing employment increased at only a slow pace, both before and after the global financial crisis. Manufacturing employment growth provided o ...

There is no doubt that China's 70th Anniversary celebration was the display of a new world superpower. From the military parade to the issuance of a paper reporting China's role in the New Era, it is clear that the country, whose current political system was established on 1 October 1949, is much different, more assertive and with a clear perspective of the role it wants to play in the international scenario. Everywhere in Beijing, the Chinese National Anthem was played, r ...

Despite some short-term benefits, trade deviation to the region shouldn’t be expected to last. Has the U.S. trade war with China been good for Latin America? An increase in Chinese demand for primary products from the region, as well as recent news of production transfers from China to Mexico, might give the impression that it has. But any positive short-term effects of the confrontation should also take into account its negative medium- and long-term impacts on the region and on gl ...

Thirty months into President Trump's radical trade policy, it is time to take stock. American firms tend to give the President the benefit of the doubt - that the aim is not protection (which most don't want) but opening up markets overseas, striking better trade deals, and reducing the nation's big trade deficit. So far, however, none of this has happened. Instead, there is virulent uncertainty, barriers against American firms are going up, Europe, Japan and China have struck impor ...

China’s economic records over the past four decades generated the intellectual curiosity of many foreign observers and researchers . The development pathway of Beijing is interesting to study as it proves that a country can take its destiny in its own hand. This paper tries to draw possible lessons from the Chinese development path to see if some of them could be adaptable to feed the development of the African countries. Introduction Forty years ago, China opened up its economy t ...

From 2010 onwards, China has become a relevant foreign investor in Brazil, mainly through State-owned companies investing in infrastructure – particularly in the energy sector. In the first years of the current decade, Chinese investment has been widely welcomed in an environment characterized by declining investment rates and low economic growth. However, more recently, some concerns have been raised of an “excessive” dependence of China state companies in sectors perceived as stra ...

The world is navigating through turbulent waters, witnessing one the most significant transitions ever in its history. With the ascension of China and the steady decline of the United States, there is a general sense of insecurity and fear about the future and the unknown. Change is never a comfortable period due to the turmoil it frequently generates. The relationship between the United States and China will never be the same, but it will not end up in war, as some expect ...

There is no doubt that the ascension of China, which is at the centre of the global debate, is the most relevant fact of the 21st century. A rising power with many vulnerabilities, yet a clear understanding of what they are and with the willingness to actively reduce them to a minimum, manageable level. China has managed to become, after all, the second largest economy in the world, with outstanding economic performance. Globalisation has brought China from the periphery into the co ...

In a recent brief, titled” The Crisis in World Trade”, my co-authors and I conclude that whether we still have a rules-based system a few years from now depends on the answer to three questions: Can the WTO be revitalized? Is protectionism in the United States a temporary aberration? Will China reform and fit the liberal economic order? If the answer to these three questions is yes, the system will likely endure. If the answer is no, we will return to the power based non system ...

The world trading system has been remarkably successful in many respects but is presently under tremendous strain. The causes are deep-seated and require a strategic response. The future of the system depends critically on reinvigorating the WTO and policy change in the largest trading nations. Important measures are required to sustain the multilateral trading system, and urgent action is needed to avoid a scenario where the system fragments. The worst scenarios will disrupt global ...

The trade tensions between the United States and China will cause only minor immediate damage to their giant economies. However, tariffs have important and diverse effects on individual sectors and cause heightened uncertainty. The main adverse effects on Sub-Saharan Africa will therefore be through global investor confidence, economic growth and commodity prices, and these effects could be severe if the dispute escalates further and endangers the rules-based trading system. The tra ...

Reform and Opening-up profoundly altered the face of China. From an agricultural backwards country, which had suffered humiliation by Western powers and Japan in the 19thand early 20th century, to the largest economy in the world in Purchasing Power Parity terms, the Chinese saga for reinsertion into the global scene is not a miracle. It is the result of hard work, visionary leadership and the wise use of its most widely available commodity: its hard-working people. Of course, there ...

So much hope: Expectations, anticipation, and promises. So many emotions: Excitement, sentiment, and joy. Mild winds caressing leaves of palm trees, moving in the stimulating rhythm of rumba, possibly salsa. The dancing bodies in harmony with the Caribbean mood. Happiness despite misery. Laughter overwhelming fear. Barack Obama visiting Cuba. Rain and tears unite, pomp unmatched by the Pope visiting the island some years earlier, enthusiasm pure. An Afro-American President is willin ...

China's push for Latin American consumers reflects changes back home. Chinese financing in Latin America is changing. After becoming a major source of capital flows to Latin America and the Caribbean over the past 15 years, a more diverse range of investors has surfaced, interested in channeling resources towards infrastructure, governments and state companies. The profile of the Chinese investment in the region tracks the evolution of China’s economy as it moves toward a higher r ...

China’s economic growth has been in a downslide trend since 2011, while its economic structure has gradually rebalanced toward lower dependence on investments and current-account surpluses. Steadiness in that trajectory has been accompanied by rising levels of domestic private debt, as well as slow progress in rebalancing private and public sector roles. As the ongoing trade war with the US continues to unfold, it remains unclear at which growth pace China’s rebalancing will tend to ...

L’arène africaine n’est qu’un épisode dans le feuilleton sino-américain, mais l’importance du continent comme opportunité pour les grandes puissances en fait également un espace où s’expriment les rivalités de ces puissances. C’est sous cette enseigne que pourrait se lire l’amorce du retour de l’Afrique dans l’agenda des intérêts américains. ...

China’s Belt and Road Initiative (BRI) is an international trade and development strategy. Launched in 2013, it is one of the ways China asserts its role in world affairs and captures the opportunities of globalisation. The BRI has the potential to enhance development prospects across the world and in China, but that potential might not be realised because the BRI’s objectives are too broad and ill-defined, and its execution is too often non-transparent, lacking in due diligence and ...

China’s dominance in the production of rare earth elements symbolizes the competition for once obscure sets of mineral resources in our increasingly digital, low carbon world. For the last two decades China has produced between 80 and 95 percent of the world’s rare earths – a group of 17 metals that have become key components of revolutionary technological progress in fields ranging from energy, to ICT, to medical devices, to defense. Despite their name, rare earths are not rare, an ...

BIG BROTHER IS WATCHING YOU The term “Orwellian,” the descriptive of totalitarianism or authoritarian repression has entered the language of literature with many of its neologisms, including “Big Brother,” “thought police,” double think,” “un person,” “face crime,” and “thought crime.” George Orwell, the British author, had a sinister, utopian vision of the world, himself obviously disappointed by Marxist theories, communist dictators, or his experience during the Spanish civil war ...

There are various definitions of Energy Security (ES) and numerous ways of understanding the concept. For this blog’s purpose, we will choose the familiar understanding of the latter as put forward by the George W. Bush Administration, i.e. it represents a situation where four characteristics are met, an energy supply that is: (1) Reliable (2) affordable (3) environmentally sound and (4) accessible.  Thus, ES represents the situation where there’s availability of energy a ...

“Teach a parrot the terms ‘supply and demand’ and you’ve got an economist.” That parrot can explain to us what is happening with commodity prices (Chart 1, left side). That is, while agricultural and industrial metal prices - particularly copper - plummeted on average by over 10% since June, energy prices - especially oil - have risen nearly 20% since the beginning of the year. Brent's barrel price is now triple what it was in early 2016. Check the latest World Bank Commodities Pric ...

The Beijing Declaration “Toward and Even Stronger China-Africa Community with a Shared Future” - and the Forum on China-Africa Cooperation (FOCAC) Beijing Action Plan (2019-2021), resulting from the last FOCAC held on September the 3rd and 4th 2018, in Beijing, showed the China-Africa cooperation will increase deeper in the near future, clearly demonstrating a new era for both China and Africa. FOCAC currently comprises China and 53 African countries.  China, slowly but surely ...

The concern over global imbalances has become an effort to systematically reduce current account deficits and surpluses, feeding the protectionist narrative. However, global imbalances are driven predominantly by domestic policies and conditions, not external factors. We do not know enough about the determinants of current account balances to set out precise numerical norms. Policy-makers should pay more attention to establishing the conditions that make current account deficits and ...

Africa, preeminent recipient of Chinese aid, has benefited greatly from Chinese low-rate loans, infrastructure projects and trade relations. Consequently, these massive investments cause analysts to question whether this Chinese expansionism constitutes a new form of colonialism. The author examines the different economic intervention tools of Beijing, the Chinese capital’s economic engagement in the continent, and the long-term strategy of China in Africa. He also addresses approv ...

“A WAKE UP CALL FOR THE WORLD” For Simon Elin, chief executive of the British Recycling Association, it’s “a tough time” his industry and country are facing just now. He does not think about Brexit, Britain trying to leave the E.U., dreaming to return to glorious times as a world power, one day soon. His colleague Arnaud Brunet, head of the Bureau of International Recycling, predicted “catastrophic environmental problems.” An assessment the London Times shared: “The world ...

Over the past decade, an increasing number of emerging markets has joined the liquefied natural gas (LNG) import club. From 7 countries in 2010, they were 17 in 2017: from traditionally export-oriented regions (such as the Middle East and North Africa) facing burgeoning gas and electricity demand, from emerging economies with growing energy needs (Southeast Asia), from countries facing severe energy and gas shortages and willing to replace imported oil in power generation (South Asi ...

Technology and inequality, China's special status, macroeconomic imbalances, and WTO dysfunction, are the challenges confronted by the world trading system, and which lie at the root of resurgent protectionism. Are the trade tensions that have been stoked by Trump unique to him or the outcome of forces that preceded him and will outlast him? ...

The launch of an oil futures contract on the Shanghai International Energy Exchange (INE) cannot be merely seen as a “technical” or secondary event, as it foreshadows what global commodities markets will become in a few years. The Shanghai Futures Exchange (SHFE) and the Dalian Commodity Exchange (DCE) have, indeed, seen their trading volumes increase significantly over the past decade thanks to steel and iron ore, which could suggest that the move is, in fact, not that unprecedente ...

President Trump’s proclamation that, because of national security concerns, he will apply a 25% tariff on all steel and a 10% tariff on all aluminium imports into the United States – except provisionally and dependent on NAFTA negotiations those from Canada and Mexico – affects, respectively 5.1 billion Euros and 1.1 billion Euros of EU exports. These are not trivial sums. However, the invocation of the national security exception in this case has implications that go far beyond nar ...

The Chinese presence in the Mediterranean is raising new questions among the diplomatic services of the Maghreb countries, as well as those of southern Europe. Indeed, over the past five years, China has been translating its national priorities with increasing activism in the Mediterranean. This activism can be summarised into three main areas: creating China-Southern Europe sectoral cooperation forums, investments in transport, energy and telecommunications infrastructure, and cond ...

Current technological developments in manufacturing are likely to lead to a partial reversal of the wave of fragmentation and global value chains that was at the core of the rise of North-South trade from 1990 onwards. At the same time, China – the main hub of the global-growth-cum-structural-change of that period - may attempt to extend the previous wave through its “One Belt, One Road” initiative. ...

As Shown by the diplomatic turnaround of the 1970's, the existence of a debate on China on the United States is not new. This debate - of strategic relevance - took center stage in the 1990's, however: in the aftermath of the fall of the USSR and on the eve of the 9/11 attacks, as China's economic and military might was beginning of the soar, the U.S. foreign policy community started to devote a lot of attention to this new, major actor of international relations. ...

The purpose of this paper is to propose the establishment of a forward-looking partnership between China and Morocco, centered around the agri-food issue in Africa. It is in Africa that the food demand will increase in a very significant way during the 21st century due, in particular, to population growth and the acceleration of urban development. Africa must succeed in its agricultural revolution in order to fight hunger and poverty, ensure the industrialization of its economy and ...

The prices of metals -most notably industrial metals- have risen significantly since January 2016, in contrast with 2014 and 2015, which were difficult years. This trend is due to substantial improvements in market fundamentals, both for demand and supply. However, the importance of speculative movements underlying this sharp rise in prices cannot be minimized or omitted. In the short term, it poses the risk of a correction linked to profit taking and a return to greater rationality ...

L’objet de ce travail est de proposer la mise en place d’un partenariat de progrès entre la Chine et le Maroc, centré sur la question agroalimentaire en Afrique. C’est dans ce continent que la demande alimentaire va augmenter d’une façon très sensible au cours du XXIème siècle notamment en raison de sa progression démographique et de l’accélération de son urbanisation. L’Afrique est dans l’obligation de réussir sa révolution agricole pour combattre la faim et la pauvreté, accéder à ...

This paper discusses the expanding links between China, Central Asia and Russia over the past quarter a century, most recently via the Belt and Road Initiative (BRI), in geopolitics and trade/ investment, as well connections in oil, gas and electricity. These links that continue to expand are likely to change the current economic, political and energy landscape beyond recognition. They are forging mutual economics dependencies and reducing security risks. The paper also assesses wh ...