Recent Trends in China-Africa Aid, FDI and Trade Relations: Implications for the Italian Foreign and Industrial Policy

Recent Trends in China-Africa Aid, FDI and Trade Relations: Implications for the Italian Foreign and Industrial PolicyThe Chinese presence in Sub-Saharan Africa (ssa) has been increasing continuously since the beginning of the new century, making China the largest trade partner of ssa and the largest emerging investor and donor in Africa. Moreover, along with economic relations, China also has increased its presence in the continent in forms of cultural exchange and military cooperation. Therefore, the impact of the Chinese presence in ssa on the economic growth and industrial development of the continent, either positively or negatively, is undeniable. In this context, we analyse China’s move to Africa through three complementary and highly correlated channels – aid, fdi and trade – along with the emerging focus on industrial and telecommunications upgrading, peace-keeping, climate change and increasing cultural presence. The analysis of the Chinese presence in ssa pushes to rethink the Italian approach to Africa opening alternative paths for Italy’s engagement in terms of industrial investment, trade and international development cooperation in ssa. Indeed, exploiting emerging synergies and complementarities of action between China and Western countries, including Italy, together with pushing competition leverages towards upgrading, is an undeniable opportunity to foster high road to industrial development for every single economy involved and for the Sub-Saharan area as a whole.