CHINESE-FUNDED ENTERPRISES IN SA ENHANCE UNIQUE ECONOMIC DEVELOPMENT THAT BENEFITS ALL

During his 4th state visit to South Africa last August, Chinese President Xi Jinping famously described bilateral relations between the two allies as having entered the “golden era”. This year, in September, SA President Cyril Ramaphosa reciprocated by undertaking a state visit to China, where he was received with great pomp and ceremony.

The September meeting ushered in a new phase in the bilateral relations between the two countries, elevating the flourishing ties to “an all-round strategic cooperative partnership in the new era”. The ties continue to lay more “golden fruits” for all sides.

When it comes to SA, China walks the talk. For instance, over the past consecutive 14 years, China has been SA’s biggest trading partner in the whole world. In fact SA, as the first African country to sign the Road and Belt cooperation document with China, stands as one of China’s most important investment destinations on the African continent. The economic and trade structures of the two nations are highly complementary. This makes the enhancement of trade and investment cooperation a matter of visible and practical mutual benefit, based in mutual respect.

The flourishing bilateral ties between the two nations have been marked by a sharp rise in commodity exchange, people-to-people diplomacy and technological exchanges, among a long list of evidence in the win-win cooperation between Pretoria and Beijing. In fact since 2010, China elevated relations with SA to that of a Comprehensive Strategic Partnership. 

This week, SA’s Deputy President Paul Mashatile addressed the launch ceremony of the Corporate Social Responsibilities (CSR) Report of Chinese-Funded Enterprises in SA.

Now, social responsibility is a matter of great significance in SA’s society that is constantly described as the world’s most unequal.  Of course it is not a badge of honour. Close allies such as China are consciously aware about the legacy of apartheid and persistent race-based economic development that favours the white minority over any other group.

The fact that SA dispatched the country at the auspicious Chinese event confirms the highest regard in which Pretoria holds Beijing.

The launch of the CSR was hosted by the South Africa-China Economic and Trade Association (SACETA). The organization is a non-profit entity that was established voluntarily by Chinese-funded enterprises in SA. According to the Embassy of China in SA, to date – more than 200 Chinese enterprises are operating in SA, with total investments surpassing  R170 billion covering sectors such as mining, energy, manufacturing, infrastructure, finance and ICT.

It has since its formation played a pivotal role in advancing mutually beneficial economic and trade cooperation, and also enhanced the much-needed communication with various government departments in pursuit of a shared future. SACETA also take a strict monitoring of compliance and development by its members. Their social contributions and enhancement of a win-win cooperation in line with China’s foreign policy has been a marvel to watch.

Furthermore, SACETA plays a very important role in SA’s economic development and job creation, especially among the youth graduates. It was unsurprising, therefore, that Deputy President Mashatile reflected on the historical ties that continue to bind Beijing and Pretoria.

The Republic of South Africa and the People’s Republic of China share a strong and long standing relationship,” Mashatile correctly said, laying down that context that China’s foreign policy that is based on the notion of a “shared future” has long been at the centre of diplomatic relations with SA.

Collaboration with China is very important, as Mashatile explained: “It is important for poverty eradication, inequality elimination, and fighting unemployment.”

Chinese Ambassador to South Africa, Amb Wu Peng, who has taken his role with renewed vigour, hinted at the strategic role that the Chinese enterprises in SA play in the country’s developmental agenda of job creation, poverty alleviation and a secured environment. “I pay high tribute to all Chinese enterprises that have actively fulfilled their social responsibilities and serve local development,” Amb Wu said. The CSR launch was marking a second edition since its first release that took place in 2018.

Among the substantial contribution by the Chinese-funded enterprises in SA towards local development included, but not limited to, “efforts to improve the livelihoods of local communities, protect the environment as well as support for various sectors”, Amb Wu said.

In his view, the positive contribution by the Chinese enterprises to SA’s development demonstrate a “faithful implementation of the principle of sincerity, real results, amity, and good faith, and take the right approach to friendship and interests as proposed by President Xi Jinping”, Amb Wu added.

China’s ambassador to the Republic of South Africa, Amb. Wu Peng

Turning to poetic language, Amb Wu said described bilateral relations between the two nations as follows: “If we compare the practice of Chinese enterprises to the flowers of Namaqualand (the most famous flower ocean in SA), the close economic and trade ties between China and South Africa would be the fertile soil that nurtures the beautiful flowers.”

Amb Wu was equally optimistic about the close ties between China and SA, concluding his speech by saying: “The Chinese Embassy in South Africa will continue to serve, build and maintain the development of bilateral relations, and work with the Chinese-funded enterprises in SA to write a new chapter of a better future for our two countries and two peoples.”

His message was in total agreement with President Xi’s consistent emphasis that SA is China’s key destination of choice in the continent, BRICS and in the South-South relations amid a rapidly changing international world order.

President Ramaphosa with President Xi Jinping, conversing with Deputy President Mashatile and Former Minister of DIRCO Naledi Pandor
Abbey Makoe

Abbey Makoe is the Founder and Editor-in-Chief: Global South Media Network (GSMN)

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  • Abbey Makoe is the Founder and Editor-in-Chief: Global South Media Network (GSMN)

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