Ramaphosa Pushes for More Equitable Trade with China in State Visit Discussions

by Selinda Phenyo
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By Lerato Mpembe

During his State Visit to China, President Cyril Ramaphosa emphasized the need to address the trade imbalance between South Africa and China. This visit, which coincides with the 2024 Forum on China-Africa Cooperation (FOCAC) Summit in Beijing, marks a significant moment in the evolving relationship between the two nations.

South Africa’s Trade Relationship with China

China is South Africa’s largest trading partner globally, with bilateral trade reaching R692 billion in 2023, up from R614 billion in 2022. However, South Africa has consistently faced a trade deficit with China, a concern that President Ramaphosa addressed during his talks with Chinese President Xi Jinping. Ramaphosa highlighted the importance of restructuring the nature of trade between the two countries to ensure a more balanced and mutually beneficial relationship .

Advancing Strategic Partnerships

President Ramaphosa’s visit also serves to strengthen the Comprehensive Strategic Partnership (CSP) between South Africa and China, which has been in place since 2010. This partnership is underpinned by a Ten-Year Strategic Programme of Cooperation (2020-2029). During the discussions, both leaders expressed their commitment to upgrading this partnership to an All-Round Strategic Cooperative Partnership, reflecting the deepening ties and shared interests between the two nations .

FOCAC Summit and Broader Diplomatic Goals

The FOCAC Summit, taking place in conjunction with the State Visit, provides a platform for African leaders to engage with China on various developmental and economic issues. President Ramaphosa stressed the importance of sustainable and job-creating investments, particularly in sectors such as manufacturing, which could help South Africa reduce its trade deficit and foster long-term economic growth. Additionally, he highlighted the need for more equitable development cooperation, aligning with the broader goals of the African Union’s Agenda 2063 .

China’s Response and Future Cooperation

In response, President Xi Jinping reiterated China’s commitment to supporting South Africa’s development goals. This includes potential investments in infrastructure, agriculture, and technology sectors, which are critical for addressing some of the persistent challenges facing South Africa, such as power shortages and underdeveloped transport networks. Xi also proposed new areas of cooperation, including artificial intelligence and the digital economy, which could play a pivotal role in South Africa’s economic modernization .

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Ramaphosa Pushes for More Equitable Trade with China in State Visit Discussions

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