Louis - (China in Africa) Ben - (China trade overview) James -(growth of…
Louis - (China in Africa) Ben - (China trade overview) James -(growth of Chinese trade)
Growth of Chinese trade
How has china maintained a competitive advantage for manufacturing
How have international trade agreements facilitated growth
How has the government facilitated growth?
Since opening up to foreign trade and investment and implementing free market reforms in 1979, China has been among the world’s fastest-growing economies
It is now the world’s largest economy (on a purchasing power parity basis)
real annual gross domestic product (GDP) growth averaging nearly 10% through 2016
The economic crisis in 2008 affected China’s economy.
How has technology and transport facilitated growth
How has FDI Facilitated Growth?
How have Chinese TNCs facilitated growth of trade?
China In Africa
Where is China trading in Africa?
Nigeria has had $32.2 billion in Chinese Investments between 2005-2015.
Ports with Chinese engagement include places such as Ghana, Nigeria, Angola and Kenya.
There are 8 countries in Africa without Chinese investment
Guinea - Bissau
Central African Republic
This is followed by Algeria with $18.69 billion.
The investment to Africa over the period 1998 – 2012 includes
about 2000 Chinese firms investing in 49 African countries.
Why is China trading so much with Africa?
There is copper to mine in Zambia, iron ore to extract in Gambia and oil to refine in Angola.
The continent is rich in natural resources.
Sudan has vast oil reserves and is the number one recipient of Chinese investment, they sell two thirds of their oil to Beijing.
What are the positive impacts?
What are the negative impacts?
CHINA TRADE OVERVIEW
GDP Growth of China - 6.7% (2016)
GDP $11.22 trillion (2016)
agriculture - 8.6% industry- 39.8% and services- 51.6%
GDP growth has decreased but is still impressive in global standards
lifted more than 600 million people out of poverty
In 2015 China overtook the US as the largest economy in the world worth $17.6 trillion
In first few months of 2015 FDI in China rose by 11% to $34 billion - main investors were South Korea, Singapore, Japan, USA, Germany, UK and France
IMF predicts that by 2020 the Chinese economy will be worth $26.98 trillion - 20% greater than US ($22.3 trillion)
National workforce amounts to 807.1 million peeps
Imports $1.495 trillion
China are the 3rd biggest importer in the world
Imports - electrical and other machinery, oil and minerals fuels; nuclear reactor, boiler and machinery components, optical and medical equipment, metal ores and motor vehicles
China is the largest exporter in the world $1.99 trillion in 2016
In 1990 accounted for 2% of global manufacturing output but now; 80% of world's air conditioners, 70% of its mobile phones and 60% of its shoes
China has been the largest contributor to world growth since the global financial crisis of 2008
Although the global economic crisis began in 2008 it greatly affected China's economy
millions of Chinese workers reportedly lost their jobs
China's exports and imports decreased by 60%
FDI inflows declined
The Chinese government responded by implementing a $586 billion economic stimulus package and loosening monetary policies to increase bank lending
CHALLENGES FROM RAPID ECONOMIC ASCENDANCE
challenges to environmental sustainability
demographic pressures relating to ageing population
internal migration of labor