Abstract
China has shifted its strategy towards engaging with Europe in Africa from passive engagement to active encouragement. As China has been promoting third-party market cooperation as a new model of cooperation under the Belt and Road Initiative, Europe is considered a major partner, especially in African markets. This article examines how Chinese policy thinkers and businesses perceive third-party market cooperation with Europe in Africa. Through firsthand interviews, the authors find a high consensus on the Chinese side regarding the necessity of third-party market cooperation with Europe in Africa. This model is also considered a “Europe-friendly” approach to invite European governments’ participation in the Belt and Road Initiative, and an attractive proposal to European firms looking for access to more financing. Though Chinese companies see working with European companies in the African market as a normal business practice, most have been passive collaborators rather than active engagers. Drawing from secondary resources, we also briefly compare European and African views.
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Notes
Some of these firms have businesses in multiple industries in Africa, but we include them in the industry where the person from the company we come to interview comes from. For instance, Jiangxi Coal, a subsidiary of China Coal, has business in both energy and infrastructure, but the person we interviewed is responsible for infrastructure projects in Africa, therefore we categorize Jiangxi Coal as a construction company.
One of the earliest well-known projects that Chinese and European companies worked on is the Bui Dam Hydroelectricity project in Ghana which started in 2007, built by Sinohydro with Alstom Hydro supplied turbines. And one of the earliest documents on third-party market cooperation between the Chinese government and a foreign government to 2008, during a visit by then President Hu Jintao to Japan. The China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) and the Japan Council for the Promotion of International Trade (JCPPI) signed a Memorandum of Understanding (MoU) to encourage enterprises from both countries to jointly develop third-party markets.
Huang Zhihu, MOFCOM official formerly worked in Zambia, interviewed in September 2020.
Ke Yinbin, senior researcher at Charhar Institute, interviewed in September 2020.
Ibid.
Fu Jing, former secretary general of CCCEU, interviewed in September 2020.
Ke Yinbin, interviewed in September 2020.
There is also a belief that European companies in Africa are more likely to win “high end” projects financed by European Development Bank and other European institutions. Therefore, working with European companies will also give Chinese companies better access to these projects.
Liang Qingshan, vice general manager of CCCC overseas business department, interviewed in September 2020.
Hu Ji, business manager of Hunan Road&Bridge in Benin, interviewed in October 2020.
Wang Haibin, senior economist at SinoChem, interviewed in October 2020.
Liang Qingshan, interviewed in September 2020.
Ibid.
Xiong Jun, an engineer with Jiangxi Coal formerly worked in Kenya, interviewed in November 2020.
Luo Wen, former CNMC manager worked in Kenya, interviewed in September 2020.
Ke Yinbin, interviewed in September 2020.
Ibid.
Liang Qingshan, interviewed in September 2020.
Luo Longjin, former sales manager with Sany worked in Africa, interviewed in November 2020.
Martin Holland, director of NCRE at University of Canterbury, interviewed in December 2020.
Wolfgang Schonecke, M.Afr, former director of Netzwerks Afrika Deutschland, personal communications, February 2023.
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This research is funded by research grant Ref: 20YJCGJW002 from Humanities and Social Sciences General Research Program of the Ministry of Education (China) /教育部人文社会科学研究“中欧共建 ‘一带一路’第三方市场合作研究(20YJCGJW002)”项目资助.
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Yun, H., Zhiqin, S., Lida, F. et al. Everybody wins? Chinese perceptions on Europe-China third-party market cooperation in Africa. Asia Eur J (2024). https://doi.org/10.1007/s10308-024-00693-1
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DOI: https://doi.org/10.1007/s10308-024-00693-1