Trump's tariffs drive Africa in China's arms

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The high tariffs of Trump mean that African countries are increasingly in China's hands. How does Africa react to these economic challenges and opportunities?

Die hohen Zölle von Trump führen dazu, dass afrikanische Länder sich zunehmend in Chinas Hände begeben. Wie reagiert Afrika auf diese wirtschaftlichen Herausforderungen und Chancen?
The high tariffs of Trump mean that African countries are increasingly in China's hands. How does Africa react to these economic challenges and opportunities?

Trump's tariffs drive Africa in China's arms

Africa adapts to the new reality of the tariffs of US President Donald Trump. The countries of the continent are faced with some of the highest export fees. But what could be a crisis is a chance for China's rival USA who have long been promoting African countries and now offering them a lifeline.

China's climb as a trading partner

"We (Africa) get straight into the hands of China," the Nigerian economist Bismarck Rewane told CNN. "This is the unfortunate result," he added, while Africa's expected tendency to China is increasing. In recent years, China has been to Africa's largest bilateral Trade partner .

High customs fees for African countries

Four African nations-Libya, South Africa, Algeria and Tunisia-face the highest tariffs of the Trump administration, with fees on exports that are between 25% and 30%. Eighteen other countries of the continent were occupied with a 15%fee, such as a modified tariff package shows, which was published by the White House on Thursday.

The reaction of South Africa

in April, when the import tariffs were announced for the first time, Trump represented them as "mutual" and aimed at countries that, in his opinion, had trade deficits with the United States. However, Trump was not based on his tariffs on the tariffs that raise the countries, but on the trade deficits with the United States. South Africa, one of the economic power centers of the continent, contradicted the 30%customs fee on his exports to the USA and said that Trump's decision is not based on "A precise presentation of available merchant data".

China's support for Africa

China has offered to alleviate the effects of US tariffs on Africa and said in June to suspend the fees for imports from almost all African countries. "There is no better opportunity for African countries to strengthen the south-south trade (between developing countries) than now," said South African researcher Neo Letswalo. He asked the countries to "only turn to China and make it the next USA."

The effects on the African economy

The effects of Trump's tariffs can already be felt in some of the most dynamic economies in Africa and in some of the poorest, as in Lesotho, which was occupied with a 15%customs. Previously, Lesotho had a

perspectives for the future

Trump described Lesotho as a country "of which nobody has ever heard of", although the trade between the USA and Lesotho last year over 240 million in the last year Fraud , mainly in textiles. Before the tariffs, Lesotho benefited from a US trade agreement that allowed the country and other authorized countries in Sub-Sahar's Africa to a duty-free export of goods to the USA. The authorities in Lesotho have proclaimed a two-year national emergency about the tariffs, since the country is preparing the effects and the textile industry already with massive job losses fights.

The situation in South Africa

In South Africa, thousands of jobs are also in danger, especially among the citrus farmers who have "great fear" in front of the customs line on August 1st. The Citrus Growers ’Association (CGA) warned in a statement that" job losses will be safe "when the tariffs come into force. In addition, she explained: "Hundreds of thousands of boxes with citrus fruits are ready to be shipped to the USA in the coming weeks", and that the implementation of the fees will "result in most of these fruits."

risks of a dependency on China

However,

LETSWALO warns that the shift to China carries risks. "If the African countries are not protected, Chinese products will flood the market and undercut them because many African countries are price -sensitive markets," he warns. China has in turn concluded some unbalanced trade agreements in Africa, the Express an advantage, How the China-Global South Project (CGSP) shows.

structure of economic resilience

REWANE is of the opinion that the US tariffs Africa “inspired to build economic resilience and become less dependent on unbalanced trade”. Above all, the continent must "look inside instead of being dependent on the outside".

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