In a keynote address at the Africa-China Business Forum held in China, South African President Cyril Ramaphosa highlighted the critical importance of strengthening trade and investment ties between South Africa and China. The forum, hosted on the sidelines of the Forum on China-Africa Cooperation (FOCAC) summit and a State Visit, provided an opportunity for business leaders and policymakers to discuss avenues for collaboration in key sectors.
President Ramaphosa emphasized South Africa’s diversified and advanced economy, underlining its strategic position as a gateway for Chinese companies looking to expand into the African continent. He noted that China remains South Africa’s largest trading partner, with bilateral trade growing by a third since 2019. South Africa primarily exports minerals and agricultural products to China while importing mainly manufactured goods.
In recent years, Chinese companies have made significant investments in South Africa, spanning industries such as manufacturing, finance, agriculture, and technology. Prominent investments include the Industrial and Commercial Bank of China’s 20% stake in Standard Bank, and the establishment of Hisense’s Atlantis plant, which now exports electronics to other African countries and the UK. Huawei and ZTE are among other Chinese technology firms expanding their presence in South Africa.
President Ramaphosa expressed gratitude for over R18 billion ($1 billion USD) in investment commitments from Chinese companies since South Africa’s 2018 investment drive. These investments demonstrate confidence in South Africa’s resilience and economic potential.
He further outlined key sectors ripe for increased collaboration, including electric vehicle production, renewable energy, green hydrogen, and infrastructure development. With China’s leadership in renewable energy, President Ramaphosa proposed a joint effort to develop sustainable energy solutions that align with South Africa’s low-carbon goals.
The South African president also highlighted potential in technology transfer and innovation partnerships between the two nations. With a shared vision of promoting economic growth, job creation, and environmental sustainability, he called for deeper cooperation to unlock further opportunities and support the success of the African Continental Free Trade Area (AfCFTA).
