The fast-growing trade between China and African Countries

Abstract: According to the IMF, China is today the second world economic power with respect to nominal GDP, an increase from 6th place in the year 2000. Though its GDP surpassed that of the US in 2015 with respect to PPP. On the other side, China is the largest manufacturer and exporter of goods and the second-largest importer of goods worldwide. Since becoming a member of the WTO, China became the largest trading country in the world and has an important role in international trade. It has trade agreements with some countries and continents like Australia, Pakistan and Africa. This thesis looks deeply into China’s economic relations and trade with African countries after 2000. It focuses on China’s interest in African resource-rich countries, while China’s industrialization is increasing rapidly. It also discusses how both China and African countries benefit from this trade. As China’s exports are increasing, this thesis will highlight how China’s low-cost goods are affecting the often-poor African consumers.