Top Biz News

China pledges more imports to optimize trade with S Africa

(Xinhua)
Updated: 2010-04-01 16:03

PRETORIA: China has pledged to import more value-added products from South Africa to optimize bilateral trade.

Top Chinese political advisor Jia Qinglin made this pledge on Wednesday when he delivered a key-note speech at the China-South Africa Economic and Trade Forum in Pretoria.

South Africa was the last leg of Jia's 10-day African tour which has already taken him to Cameroon and Namibia. Jia had met with South African President Jacob Zuma and held talks with Mninwa Mahlangu, chairman of the National Council of Provinces of South Africa.

"China will continue to take measures to expand imports from South Africa, particularly those value-added products so as to increasingly optimize bilateral trade mix," said Jia, chairman of the National Committee of the Chinese People's Political Consultative Conference (CPPCC), the country's top advisory body.

China has become South Africa's biggest trade partner and exporter as bilateral trade hit a historic high of more than $16 billion in 2009, which was over ten times than that in 1998 when the two countries forged diplomatic ties, Jia said.

South Africa is China's second biggest trade partner in Africa with bilateral trade volume accounting for nearly 20 percent of China's trade with the African continent, according to Chinese customs data.

The two countries has generally maintained a trade balance as China exported machinery and durable goods to South Africa, which shipped a great amount of minerals, diamond, grape wine and crafts to China, said the Chinese leader.

"The two countries should deepen two-way investment," Jia said, citing South Africa's expertise in energy development, mineral exploration and manufacturing and China's advantages in textile, garment, electronics, telecommunications and processing.

Jia called on both countries to work closely in greenhouse gas emission reduction, new energy, forestry, finance and logistics, among others.

"China will encourage businesses with strong capacity and good credit to expand investment in South Africa's manufacturing so as to transfer technology, train staff and spur employment," he said.

Jia proposed both governments play a better role in facilitating bilateral trade, including supervising implementation of trade deals and improving work efficiency.

In another development, China on Wednesday signed a package of deals, purchasing products worth more than $300 million from South Africa.

The deals, the biggest-ever single purchase China made from South Africa, involve nearly 30 corporations in the two countries and cover fishmeal, mohair, wool, bulk wine, copper, wood pulp, chrome ore and others.

"The signing of the enormous deal showed the cooperation initiative of businesses of the two countries," Jia said at the signing ceremony. More than 100 Chinese entrepreneurs came to South Africa on the purchase mission.

By the end of 2009, South Africa's investment in China totaled $546 million while China's investment in South Africa amounted to $950 million, Jia said.

China's investment has expanded from the traditional textile, garment and other industries to energy, mining, machinery, household electrical appliances and construction materials.

"Businesses in both countries should increase exchanges, expand areas of cooperation, boost substantive cooperation," Jia told the entrepreneurs.