China to increase imports from Africa

(AP)
Updated: 2007-02-08 08:40

PRETORIA, South Africa - Chinese President Hu Jintao promised Wednesday to increase imports from Africa, responding to fears about the trade deficit that increased as China pumped unprecedented aid, investment and loans into the continent.

Hu spoke in South Africa on the sixth stop of an eight-nation tour of the continent.

"China takes seriously the concerns about the imbalance in the structure in China-Africa trade," Hu said in an address at the University of Pretoria, promising "effective steps to address those concerns."

Chinese President Hu Jintao (L) and his South African counterpart Thabo Mbeki stand during a welcoming ceremony in Pretoria, South Africa, Tuesday, Feb. 6, 2007. [AP]
Chinese President Hu Jintao (L) and his South African counterpart Thabo Mbeki stand during a welcoming ceremony in Pretoria, South Africa, Tuesday, Feb. 6, 2007. [AP]

On Tuesday, Hu signed agreements on economic and technical cooperation in the mining and energy sectors and inaugurated a Web site to foster commercial ties.

Trade between China and South Africa, the continent's economic powerhouse and a major gold producer, reached $240 million in the first 11 months of 2006, an increase of 34.5 percent over the previous year.

But there has been growing criticism of increasing Chinese domination and aid with infrastructure projects tied to Chinese companies and labor.

South African trade unions have complained that Chinese textile imports have cost some 100,000 jobs in the domestic industry. This forced both governments to agree to restrict imports.

Chinese Ambassador Liu Guijin said this week that China was ready to fund programs that would help create jobs, including in training, capacity building and agricultural development.

"We in Africa like the investment side and China's hassle-free loans, but the trade issue can become very problematic," said Eric Skosana, an information sciences student among dozens who crowded outside the capacity-filled auditorium where Hu addressed nearly 1,500 people.

Accountant student Alvin Kee, whose parents emigrated to South Africa from Hong Kong, said "I can see China being good for Africa. People think they are coming just for our resources, but they also are coming for development and increasing trade."

Hu already has visited Cameroon, Liberia, Sudan, Zambia and Namibia and leaves Wednesday for Mozambique before heading to the Seychelles. His trip has focused on boosting trade ties and ensuring aid pledges made at last year's China-Africa summit are realized, including reducing debt, increasing aid and cutting import tariffs.

Mbeki said Tuesday that Hu's visit ¡ª his second to South Africa ¡ª "emphasizes the determination on both sides to develop relations."

"China is one of our most critical, most important economic partners globally," Mbeki said.



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