China to get rid of tariffs for 53 African states

China will negotiate and sign a new economic pact with Africa that will get rid of all tariffs on the 53 African states it has diplomatic ties with, it said, a move that could benefit middle-income nations, reports TimesLIVE. China offers duty- and quota-free market access to least developed countries (LDCs), including many in Africa, but the new initiative will level the playing field by also offering middle-income countries similar market access. In recognition of the significant disadvantages that businesses from LDCs like Tanzania or Mali could face from their more developed counterparts like SA once the market is fully opened, China pledged additional measures to support LDCs, including training and marketing promotion. ‘It enables middle-income countries like Kenya, SA, Nigeria, Egypt and Morocco ... to be able to now enter the Chinese market duty-free,’ said Hannah Ryder, founder of Development Reimagined, an Africa-focused consultancy. Trade between China and Africa has been growing in recent years, but it has been heavily skewed in favour of China, which had a surplus of $62bn last year. ‘Unless we have an equivalent increase of African exports to China, then trade deficits will continue to increase,’ Ryder said, adding that the initiative announced by Beijing could help to balance trade.

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