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Category: Development

Some aspects of China’s development model

The following article by Shiran Illanperuma, originally published in the Sri Lankan daily newspaper The Island, explores some of the key elements of China’s economic rise, in particular debunking the myth put forward by neoclassical economists that China is “the model par excellence of market liberalisation and the superiority of private sector driven growth”.

Shiran argues that the main competitive advantage of China’s labour force is not its low cost – after all, there are far cheaper labour markets in the world – but the fact that it is well-educated and healthy, and benefits from excellent transport and energy infrastructure. “This, combined with a domestic value chain, is China’s main strength and why economic growth has been combined with rising wages and standards of living.”

Foreign direct investment (FDI) has been leveraged very purposefully in China particularly from the 1990s onwards in order to develop the domestic economy, and to build up the country’s technological capabilities. Meanwhile, “state-owned enterprises (SOEs) are the elephant in the room when it comes to China’s development model”.

Broadly speaking, SOEs in China perform four ‘macroeconomic’ functions. First, they conduct the low-cost production of upstream inputs such as metals, chemicals, and rare earth minerals. Second, they manage essential commodity reserves and intervene in commodity markets to stabilise prices. Third, they engage in countercyclical spending on public works during economic downturns. Fourth, they are deployed to respond during emergencies and external shocks such as the 2008 Sichuan earthquake and the COVID-19 pandemic. The through line in these functions is to keep costs low and smoothen out business and commodity cycles. This is why China has not yet faced a recession comparable to many capitalist economies.

The leading role of the CPC in China’s economic strategy is also crucial:

The Communist Party of China, which has around 100 million members (almost five times the population of Sri Lanka!), has been key to the process of China’s development. The party remains committed to developing Marxist-Leninist philosophy and applying it to the country’s concrete conditions. It retains deep roots in all levels of Chinese society, engaging in consultation during the policymaking process.

As such, China’s remarkable rise cannot be separated from its system of Socialism with Chinese Characteristics.

Shiran Illanperuma is a researcher at Tricontinental: Institute for Social Research and a co-editor of Wenhua Zongheng: A Journal of Contemporary Chinese Thought

China’s rapid development over the last few decades has been the source of much debate among economists. Some claim China as the model par excellence of market liberalisation and the superiority of private sector driven growth. Others equally argue that China’s model is one of planning and state intervention.

On 28 March, I was invited by Nexus Research to deliver a presentation on China’s development model alongside former Ambassador to China Dr. Palitha Kohona. Unfortunately, the contents of this presentation have been misreported in an article in the Island published on 4 April (Dr Kohona: developing countries should covet China model). The article claimed that my presentation touched on “low-cost labour, foreign direct investments, and global trade agreements”. In fact, such simplistic tropes were precisely what I had intended to counter.

China’s development model challenges many of the axioms of neoclassical economics. If low-cost labour were the decisive factor for take-off, then investment should be pouring into much-cheaper labour markets in sub-Saharan Africa. On the contrary, rising wages in China have not led to the outflow of capital one would expect under such a model. This is because the advantage China offers is a healthy and skilled workforce (relative to price) and an infrastructural system that keeps non-wage operating costs (such as transport and energy) low. This, combined with a domestic value chain, is China’s main strength and why economic growth has been combined with rising wages and standards of living.

While foreign direct investment (FDI) has been a huge part of China’s success story, it is possible to overstate their importance. First, FDIs only really took off from the 1990s onwards, yet to begin there would be to ignore the decades of work done to develop the country’s agricultural self-sufficiency, basic industrial system, and institutional structure. Second, what has mattered for China is the quality of FDI, which is determined by government policy. By the standards of the OECD Foreign Direct Investment Regulatory Restrictiveness Index, China remains fairly selective on what FDI is allowed and encouraged. FDI is promoted not as an end in itself but as a means to acquire technology that should be transferred to national champions.

Role of Local Government

A significant portion of my presentation for Nexus Research was on the role of local governments economic policy – something that is often neglected (though there is a growing literature on the subject). China has a fairly decentralised system of governance, a product of its vast size and geography, as well as the institutional changes and experiments in direct democracy during the period of the Cultural Revolution.

Chinese economist Xiaohuan Lan, in his book How China Works (2024), has said that “In China, it is impossible to understand the economy without understanding the government.” While the central government in China formulates indicative plans and the overall goals and trajectory for development, implementation of these plans is delegated to local governments. Local governments have a broad remit to interpret these plans, experiment with implementation, and compete with each other for investment. This leads to a much more dynamic and decentralised development process that encourages grassroots participation.

A comparison between China and India on the share of public employment at different levels of government is very revealing. For China, over 60% of public employment is at the level of local government, with federal and state governments comprising less than 40% of employment. In contrast, less than 20% of Indian public employment is in local government. India, therefore, despite its much-touted linguistic federal system, is far more centralised than China. The weakness of Indian local governments remains a significant barrier for its development.

Continue reading Some aspects of China’s development model

Xi Jinping visit to Peru and Brazil strengthens pivotal China-Latin America relationship

In the following article, commissioned by China Daily, Carlos Martinez provides a brief overview of Xi Jinping’s recent visit to Latin America, where he attended the APEC Economic Leaders’ Meeting in Lima, paid a state visit to Peru, attended the G20 Summit in Rio de Janeiro, and paid a state visit to Brazil.

Carlos highlights the significance of the newly-inaugurated Chancay Port, which is set to provide enormous economic benefit not only to Peru but all the countries of the region, and which will substantially strengthen Latin American integration and trans-Pacific trade relationships.

Carlos contrasts the mutually-beneficial relationship between China and Latin America – and indeed the Global South more generally – with that between the US and Latin America, the US’s supposed “back yard”. China’s approach of respect for sovereignty, support for development, and non-interference in other countries’ affairs “stands in stark contrast to the neoliberal hegemony of the ‘Washington Consensus’, with its wars, destabilisation, unilateral sanctions, economic coercion, blackmail, tariffs, nuclear bullying, military alliances and overseas military bases.”

A version of this article is expected to appear in China Daily Global Edition in the coming days.

Chinese President Xi Jinping arrived in Lima, Peru, on 14 November to attend the APEC Economic Leaders’ Meeting and to pay a state visit at the invitation of Peruvian President Peru Dina Boluarte Zegarra.

While in Peru, Xi participated by video link in the opening of the Chancay Port, about 48 miles north of Lima. Chancay is a deep-water port with 15 berths, capable of accommodating some of the world’s largest ships. A shared project of China and Peru, built as part of the Belt and Road Initiative (BRI), it will serve as a crucial gateway linking Latin America and Asia, as well as promoting Latin American economic integration. Furthermore, it is Latin America’s first smart, green, low-carbon port, featuring advanced technologies such as automated cranes and electric driverless trucks.

With the opening of the port, average transportation time from South America to the Asian market will be reduced from 35 to 25 days. The Chancay Port will be a major boost for the regional economy, will create vast numbers of jobs, and will help to reduce poverty and inequality. In Peru alone, the port is expected to generate an additional 4.5 billion US dollars of revenue – just under 2 percent of the country’s GDP – and to create thousands of jobs.

Given that Peru shares borders with Brazil, Colombia, Chile, Ecuador and Bolivia, the port will serve as the starting point of a land-sea corridor between China and Latin America, giving rise to a dramatic increase in trade, investment, cooperation and friendship.

On 17 November, President Xi travelled from Peru to Rio de Janeiro, Brazil, to attend the 19th G20 Summit and to pay a state visit at the invitation of President Luiz Inácio Lula da Silva.

Particularly under the Workers Party (PT) governments of Lula and Dilma Rousseff, China-Brazil relations have gone from strength to strength in recent years. China has been Brazil’s largest trading partner for the last 15 years, and is a major investor in Brazilian industry and agriculture. Furthermore, Brazil is the largest supplier of agricultural imports to China.

At the conclusion of their bilateral meeting on 20 November, Presidents Xi and Lula announced that China Brazil ties would be elevated to a “community with a shared future for a more just world and a more sustainable planet”. Furthermore, the two sides will cooperate closely to align Brazil’s development strategy with the BRI.

Far from treating Brazil simply as a source of primary goods, China is increasingly cooperating with the Latin American giant on green energy, digital innovation, economic diversification, advanced infrastructure and industrial modernisation.

Unlike the West, which has always jealously guarded its technological supremacy, China’s vision of a global community of shared future involves encouraging sustainable development and modernisation throughout the Global South. With China’s support, the countries of Latin America, Africa, Asia, the Caribbean and the Pacific are starting to break the chains of underdevelopment that were imposed by the colonial and imperialist powers.

Aside from the growing economic relationship, Xi Jinping wrote in a signed article in Brazilian media that “China and Brazil, embracing our roles and responsibilities as major countries, have contributed to a multipolar world, promoted greater democracy in international relations, and injected positive energy into global peace and stability”.

China and Brazil have taken the lead in trying to reach a political settlement of the Ukraine crisis and are aligned on attempting to bring about an immediate and permanent ceasefire in Gaza. Both countries are pursuing sustainable development and modernisation, and both support a fair globalisation characterised by equality and common prosperity. In short, this is a relationship that is not only of great benefit to the two countries, but to the world as a whole.

In his speech at the G20 Summit, President Xi made a powerful call to “see the world as one community with a shared future, and shoulder our responsibility for history, take historical initiative and move history forward”. He insisted on the crucial importance of addressing global inequality, of supporting developing countries to achieve modernisation and pursue sustainable development, of supporting developing countries to adopt and integrate digital technologies, and of cooperating globally to tackle the environmental crisis.

The speech resonated loudly with the peoples of the Global South in particular. Xi’s words were a clear reiteration of China’s global vision of peace and common prosperity – which stands in stark contrast to the neoliberal hegemony of the ‘Washington Consensus’, with its wars, destabilisation, unilateral sanctions, economic coercion, blackmail, tariffs, nuclear bullying, military alliances and overseas military bases.

As the great Cuban revolutionary Fidel Castro wrote in 2004, “China has objectively become the most promising hope and the best example for all Third World countries … an important element of balance, progress and safeguarding of world peace and stability”.

For that reason, the US is desperate to throw a spanner in the works; to disrupt the growing ties between China and Latin America, and between China and the Global South more generally. In October, Biden’s trade representative Katherine Tai said she “would encourage our friends in Brazil to look at the risks” of closer ties to China, hinting that the US would punish such unacceptable behaviour.

Shortly after the inauguration of the Chancay Port, US Secretary of State Antony Blinken turned up in Peru to announce a deal for 6 billion dollars’ worth of decades-old trains – presumably an unfortunate attempt to show that the US still has something to offer. A report in South China Morning Post remarked: “as Chinese President Xi Jinping inaugurated the US$3.5 billion Chancay port in Peru this month that promises to jump-start exports in the region and create a gateway to China, US Secretary of State Antony Blinken oversaw a ceremony just a few miles away to give US$6 million in 1980s diesel locomotives to the Andean nation… One was about the future, the other about the past.”

Donald Trump meanwhile is packing his cabinet with both China hawks and Latin America hawks, and will likely be even more aggressive in pressuring countries to toe the US line on China.

Such tactics will not work. The Financial Times reported on 20 November that “Joe Biden is losing to Xi Jinping in battle for Latin America”, noting that China is meeting the region’s enormous need for infrastructure investment.

The days of the Monroe Doctrine – enshrining the entire American super-continent as the US’s “sphere of influence” – are over. The nations of Latin America are asserting their sovereignty and are joining hands with the peoples of the world to reject hegemony and to create a future of global peace and common prosperity.

Xi Jinping: Building a just world of common development

From November 13-17, Chinese President Xi Jinping visited Peru at the invitation of his Peruvian counterpart Dina Ercilia Boluarte Zegarra, to attend the 31st APEC [Asia Pacific Economic Cooperation] Economic Leaders’ Meeting and to pay a state visit to the country. He then visited Brazil from November 17-21 at the invitation of President Luiz Inácio Lula da Silva to attend the 19th G20 Summit and pay a state visit.

The first session of the G20 Summit was held on the morning of November 18 and was chaired by President Lula as the host. Its focus was on the “fight against hunger and poverty” and, on Brazil’s initiative, was preceded by the launch of the Global Alliance Against Hunger and Poverty.

Xi Jinping made a speech at the session, taking as his theme, “Building a Just World of Common Development”.

The Chinese President began by noting that, “today, transformation of a scale not seen in a century is accelerating across the world. Humanity faces unprecedented opportunities and challenges.” He recalled his previous observation that, “prosperity and stability would not be possible in a world where the rich become richer while the poor are made poorer, and countries should make global development more inclusive, beneficial to all, and more resilient.”

To build a just world of common development, he noted, “we need to support developing countries in adopting sustainable production and lifestyles, properly responding to challenges like climate change, biodiversity loss and environmental pollution, enhancing ecological conservation, and achieving harmony between people and nature.”

China’s development is an important part of the common development of the world. “We have lifted 800 million people out of poverty, and met the poverty reduction target of the UN’s 2030 Agenda for Sustainable Development ahead of schedule.

“This achievement did not just fall into our laps. It is the fruit of the strenuous, unified efforts of the Chinese government and people. Everything China does, it always places the people front and centre, and it solemnly declares that ‘not a single poor region or person should be left behind.’”

Reflecting on his own life’s journey, he added: “I have worked from village to county, city, provincial and central levels. Poverty alleviation has always been a priority and a major task I am determined to deliver.”

“China’s story is proof that developing countries can eliminate poverty… If China can make it, other developing countries can make it too. This is what China’s battle against poverty says to the world.”

Noting that “China will always be a member of the Global South, a reliable long-term partner of fellow developing countries, and a doer and go-getter working for the cause of global development,” Xi went on to list eight actions for global development being taken by China.

We reprint below the full text of President Xi’s speech. It was originally published on the website of the Chinese Foreign Ministry.

Your Excellency President Luiz Inácio Lula da Silva,
Colleagues,

It gives me great pleasure to attend the G20 Summit in Rio de Janeiro. I thank President Lula and the Brazilian government for the warm hospitality extended to the Chinese delegation.

Today, transformation of a scale not seen in a century is accelerating across the world. Humanity faces unprecedented opportunities and challenges. As leaders of major countries, we should not let our vision be blocked by fleeting clouds. Rather, we must see the world as one community with a shared future, and shoulder our responsibility for history, take historical initiative and move history forward.

I pointed out at this forum that prosperity and stability would not be possible in a world where the rich become richer while the poor are made poorer, and countries should make global development more inclusive, beneficial to all, and more resilient. At the Hangzhou Summit, China placed development at the center of the G20’s macroeconomic policy coordination for the first time, and the Summit adopted the G20 Action Plan on the 2030 Agenda for Sustainable Development and the G20 Initiative on Supporting Industrialization in Africa and Least Developed Countries. The Rio Summit this year has chosen the theme “Building a Just World and a Sustainable Planet.” It places fighting hunger and poverty at the top of the agenda, and decides to establish a Global Alliance Against Hunger and Poverty. From Hangzhou to Rio, we have been working for one and the same goal, that is, to build a just world of common development.

To build such a world, we need to channel more resources to such fields as trade, investment and development cooperation, and strengthen development institutions. There should be more bridges of cooperation, and less “small yard, high fences,” so that more and more developing countries will be better off and achieve modernization.

To build such a world, we need to support developing countries in adopting sustainable production and lifestyle, properly responding to challenges like climate change, biodiversity loss and environmental pollution, enhancing ecological conservation, and achieving harmony between man and nature.

To build such a world, we need an open, inclusive and non-discriminatory environment for international economic cooperation. We should promote a universally beneficial and inclusive economic globalization, energize sustainable development with new technologies, new industries and new business forms, and support developing countries in better integrating in digital, smart and green development to bridge the North-South gap.

To build such a world, we need to stay committed to multilateralism. We should uphold the U.N.-centered international system, the international order underpinned by international law, and the basic norms of international relations based on the purposes and principles of the U.N. Charter.

Continue reading Xi Jinping: Building a just world of common development

Jointly advance the building of an all-weather China-Africa community with a shared future

On September 6, Chinese President Xi Jinping held his final round of bilateral meetings with African leaders who had come to Beijing to take part in the summit meeting of the Forum on China-Africa Cooperation (FOCAC).

In the morning he met with President of the Republic of the Congo Denis Sassou Nguesso, who was also paying a state visit to China.

Xi Jinping congratulated the Republic of the Congo on taking over the African co-chair of FOCAC. He commended Denis Sassou Nguesso for his important contributions to the success of the FOCAC Beijing Summit. Xi pointed out that developing solidarity and cooperation with African countries is an important cornerstone of China’s foreign policy. He recalled that during his visit to Africa in 2013, he put forth the principles of China’s Africa policy – sincerity, real results, amity and good faith, and pursuing the greater good and shared interests, which have become the guiding principles for China’s relations with all other developing countries. China is ready to work with the Republic of the Congo to better play their leading role as FOCAC co-chairs, implement the outcomes of the summit, ensure that the “golden brand” of FOCAC shines even brighter over time, and show the international community the firm resolve of China and Africa to jointly advance the building of an all-weather China-Africa community with a shared future for the new era.

Xi Jinping pointed out that this year marks the 60th anniversary of the establishment of diplomatic relations between China and the Republic of the Congo. The rock-solid friendship between the two countries is rooted in a high degree of political mutual trust, the common pursuit of ideas and the firm support for each other. China-Africa relations have embarked on a new journey, and friendly cooperation between China and the Republic of the Congo will embrace the next 60 years with even more brilliance.

Xi Jinping suggested that China and the Republic of the Congo play the “four roles”, i.e. a standard-bearer for building a community with a shared future, a pioneer in Belt and Road cooperation, a model of people-to-people bonds, and an example of solidarity and collaboration. China supports the Republic of the Congo in developing a diversified economy and encourages Chinese enterprises to participate in the construction of major infrastructure and regional connectivity projects in the country. China is ready to carry out cooperation in agriculture, digital economy, green development and other fields, deepen people-to-people and cultural exchanges, and encourage the two peoples to actively participate in the cause of friendship between China and the Republic of the Congo. China is ready to work with the Republic of the Congo to carry forward the Five Principles of Peaceful Coexistence, strengthen international cooperation in global governance and other fields, and create a more favourable international environment for the development and revitalisation of developing countries.

Denis Sassou Nguesso recalled that 60 years ago, he was one of the first batch of young people from the Republic of the Congo to visit China. Over the years, he has visited China multiple times and witnessed its continuous and remarkable economic and technological development. China has become a powerful country in the world, which fills its people with great pride and earns deep admiration and heartfelt congratulations from the people of the Republic of the Congo. The Republic of the Congo firmly abides by the one-China principle and supports the Chinese government in safeguarding national sovereignty, security and territorial integrity. This position remains unwavering.

Meeting with Somali President Hassan Sheikh Mohamud, Xi Jinping pointed out that China and Somalia enjoy a long history of friendly exchanges. Somalia is the first East African country to establish diplomatic relations with the People’s Republic of China, and the friendship between the two countries has withstood many tests. China is ready to work with Somalia to uphold the original aspiration of establishing diplomatic relations and push for more new achievements in bilateral relations to better benefit the two peoples.

Xi Jinping emphasised that both China and Somalia shoulder the historical mission of achieving complete national reunification. [Here Xi Jinping refers respectively to China’s Taiwan province and to the secessionist ‘Republic of Somaliland’.] China supports Somalia in safeguarding national sovereignty and territorial integrity and supports the peace and development process in Somalia.   China is willing to continue to support Somalia’s economic and social development, tap cooperation potential and expand development space with Somalia, and take the implementation of the outcomes of the FOCAC Beijing Summit as an opportunity to strengthen cooperation in such areas as economy, trade, fishery and human resources training.  Xi Jinping congratulated Somalia on its election as a non-permanent member of the United Nations Security Council and its official accession to the East African Community. 

Continue reading Jointly advance the building of an all-weather China-Africa community with a shared future

António Guterres: China’s cooperation will help Africa achieve peace and development

On September 5, Chinese President Xi Jinping continued his bilateral meetings with African leaders who were in Beijing to participate in the summit meeting of the Forum on China-Africa Cooperation (FOCAC).

Following the summit’s opening ceremony, that was held that morning, Xi Jinping met at noon with Botswanan President Dr. Mokgweetsi Eric Keabetswe Masisi.

The Chinese President pointed out that China and Botswana enjoy traditional friendship and have always offered sincere support to each other. In recent years, the two sides have regarded solidarity and cooperation as the cornerstone of their policies, prioritised improving the well-being of the people, and promoted solid progress in bilateral relations. Next year marks the 50th anniversary of the establishment of diplomatic relations between the two countries. The two sides should systematically review the successful experience gained over the past half century since the establishment of diplomatic relations and remain committed to being partners of mutual trust, common development and close people-to-people bonds. He also called on the two sides to firmly support each other and strengthen cooperation in industry, agriculture, minerals, clean energy, education, and medical and health care, among others.

China and its African brothers have just gathered together once again, he said, integrating more closely the development of China, Africa and the world. This has yielded fruitful results and unleashed the positive energy of the Global South in promoting world peace, security, prosperity and progress. China is ready to work with Botswana to follow through on the outcomes of the summit and bring more benefits to the two peoples.

Dr. Mokgweetsi Eric Keabetswe Masisi said that today marks a historic moment for Africa-China relations. President Xi Jinping just delivered an excellent address at the opening ceremony of the FOCAC Beijing Summit, announcing new measures to advance the China-Africa partnership for modernisation, including the policy of further opening up to Africa, which greatly excited and encouraged the African side. Botswana fully supports this and believes that the vision outlined at the summit will surely be realised. Botswana firmly adheres to the one-China principle and believes that the Chinese people should and can realise national reunification. He thanked China for its long-term valuable support to Botswana, saying that his country is willing to take the 50th anniversary of the establishment of diplomatic relations between the two countries next year as an opportunity to push for further development of bilateral relations.

Xi Jinping also met with United Nations Secretary-General António Guterres, who was attending the FOCAC summit as a special guest.

President Xi said that China attaches great importance to developing China-Africa relations. After the 18th National Congress of the Communist Party of China (CPC), his first overseas visit was to Africa, where he put forward in Tanzania the principle of sincerity, real results, amity, and good faith towards Africa and attended all subsequent FOCAC summits. China has no selfish interests in its cooperation with Africa. Half a century ago, in the face of its own economic difficulties, China responded to the expectations of its African brothers by vigorously assisting the construction of the Tanzania-Zambia Railway, writing a touching story of China-Africa friendship. Just now, at the opening ceremony of the summit, he had announced new actions and measures for practical cooperation with Africa. 

António Guterres thanked the Chinese side for inviting him to attend the FOCAC Beijing Summit. He said that historically, Africa has been the primary victim of colonialism. China’s cooperation with Africa will help reduce the historical injustice suffered by Africa and help Africa achieve peace and development. China’s peaceful development is a noble cause in the history of mankind and is conducive to the peace and progress of all humanity. The United Nations is ready to strengthen cooperation with China to resist actions that create division and undermine common progress, jointly practice multilateralism, promote more just and equitable global governance, and build a community with a shared future for humanity. The United Nations is making every effort to prepare for the Summit of the Future and hopes to have close communication with China to promote the reform of the international financial architecture and strengthen global AI governance.

In the afternoon, Xi Jinping met with Namibian President Nangolo Mbumba.

He stressed that the Communist Party of China (CPC) and the South West Africa People’s Organisation (SWAPO) of Namibia are both long-ruling progressive parties. He praised SWAPO for having incorporated “building socialism with Namibian characteristics” into its party constitution. China is willing to work with Namibia to enhance friendly cooperation between the two countries and between the two parties, strengthen the exchange of experience in party and state governance, share development opportunities, and jointly advance the modernisation process of their respective countries. 

Nangolo Mbumba said he was honoured to be invited to China for the FOCAC Beijing Summit and had received a warm and friendly reception with Chinese characteristics and tradition. The two outcome documents adopted by the FOCAC Summit in the morning are conducive to consolidating the brotherly friendship between Africa and China and promoting Africa-China cooperation in various areas. In particular, a series of new measures announced by President Xi Jinping for Africa and China joining hands to advance modernisation will guide the two sides to create a bright future of common development and prosperity and promote the building of an Africa-China community with a shared future. 

Xi Jinping also met with Ghanaian President Nana Addo Dankwa Akufo-Addo.

The Chinese leader noted that Ghana is the second sub-Saharan African country [after Guinea] to establish diplomatic relations with the People’s Republic of China (PRC). Since the establishment of diplomatic relations 64 years ago, the friendship between the two countries has remained strong and enduring, regardless of changes in the international landscape. China is ready to carry forward the deep friendship forged by the elder generation of the leaders of the two countries [who include Osagyefo Dr. Kwame Nkrumah, Chairman Mao Zedong, Premier Zhou Enlai  and Chairman Liu Shaoqi] together with Ghana, so as to constantly enhance political mutual trust, promote exchanges and cooperation in various fields and be good friends who trust each other, good partners for common development, and good brothers with close cooperation. 

Nana Addo Dankwa Akufo-Addo said that Ghana was one of the first batch of African countries to establish diplomatic relations with the PRC. China has been Ghana’s most trustworthy friend and partner for over 60 years. Ghana highly cherishes its friendship with China, firmly pursues the one-China policy and supports China’s stance on human rights and other issues.

Meeting with Prime Minister of Sao Tome and Principe Patrice Trovoada, Xi Jinping pointed out that in recent years, China’s relations with Sao Tome and Principe have maintained a sound momentum of development and the two countries have achieved fruitful results in practical cooperation in various fields. Facts have proved that Sao Tome and Principe’s return to the China-Africa family of friendly cooperation fully conforms to the common interests of the two peoples. [China and Sao Tome and Principe established diplomatic relations in 1975 when the country won its independence from Portuguese colonial rule. However, they were suspended between 1997-2016 when the then government established “diplomatic relations” with the authorities on Taiwan in violation of the one-China principle.]

Patrice Trovoada said that every time he visits China, it feels like returning home. He thanked China for providing invaluable assistance to Sao Tome and Principe’s economic development, saying that the new measures announced by President Xi Jinping at the opening ceremony of the FOCAC Summit in the morning will significantly boost the development of Sao Tome and Principe and Africa.

In the evening, Xi Jinping met with President of Guinea-Bissau Umaro Sissoco Embaló.

Continue reading António Guterres: China’s cooperation will help Africa achieve peace and development

China and Senegal – friends and partners on the path to national development and revitalisation

On September 4, 2024, Chinese President Xi Jinping held 10 bilateral meetings with African leaders who were visiting China to attend the Beijing summit of the Forum on China-Africa Cooperation (FOCAC).

In the morning, he met with the new progressive President of Senegal Bassirou Diomaye Faye, who was also paying a state visit.

Xi Jinping stressed that China and Senegal are friends and partners on the path to national development and revitalisation. Over the years, the two sides have carried out cooperation in the spirit of sincerity, friendship, equality, respect and win-win cooperation, and achieved tangible results, benefiting the two peoples.

China will continue to send agricultural technological experts to support Senegal in building industrial parks, expand cooperation in new energy and other emerging fields, and boost Senegal’s industrialisation and agricultural modernisation process. China and Senegal hold similar positions on many major international issues, and China is ready to work closely with Senegal in multilateral coordination to jointly safeguard international fairness and justice and the common interests of developing countries.

Xi Jinping pointed out that FOCAC is a golden brand of South-South cooperation, leading international cooperation with Africa and making important contributions to world peace and development. Over the past six years since China and Senegal assumed the co-chairs of FOCAC, China and Africa have overcome the COVID-19 pandemic and other difficulties and successfully completed the eight major initiatives and nine programs launched at the two previous FOCAC conferences, advancing China-Africa relations into a new stage. As the fourth African co-chair of FOCAC, Senegal has made important contributions to China-Africa solidarity and cooperation. China is ready to work closely with Senegal to lead the summit to achieve complete success, join hands to advance China-Africa modernisation and start a new journey of China-Africa relations.

Bassirou Diomaye Faye said that it is a great honour for him to pay his first state visit to China and attend the FOCAC Beijing Summit. He thanked the Chinese side for the warm hospitality that has made him appreciate the beauty and friendliness of China. Since the establishment of the comprehensive strategic cooperative partnership between Senegal and China in 2016, bilateral cooperation has made continuous progress.  Senegal is willing to learn from China’s successful experience in party and state governance, advance cooperation in agriculture, industry, digitalisation, vocational training, youth and other fields, and elevate the comprehensive strategic cooperative partnership between Senegal and China to a higher level. The establishment and development of FOCAC is based on friendship, trust, mutual respect, solidarity, cooperation, practicality and efficiency, and has made important contributions to Africa’s economic and social development.

Xi Jinping also met with President of Equatorial Guinea Teodoro Obiang Nguema Mbasogo. 

Xi Jinping emphasised that China and Equatorial Guinea are good friends. High-level political mutual trust, all-round practical cooperation, and profound friendship between the two peoples are the main features of their bilateral relations. China is ready to work with Equatorial Guinea to firmly support each other, expand practical cooperation, deepen defence and security cooperation, help Equatorial Guinea diversify its economy, advance together on their respective modernisation paths, and open up new prospects for the China-Equatorial Guinea comprehensive strategic and cooperative partnership. He congratulated Equatorial Guinea on its assumption of the co-chairmanship of FOCAC from 2027 to 2030. 

Teodoro Obiang Nguema Mbasogo said that as soon as he arrived in Beijing, he felt the sincere friendship of the Chinese people towards Equatorial Guinea and the African people. The organisation of the Summit is meticulous, and the theme is in line with the dream of African countries to pursue modernisation.  Equatorial Guinea’s relations with China are based on profound friendship and a high degree of mutual trust, with fruitful cooperation and close coordination in international affairs. The investment and cooperation of Chinese enterprises have helped Equatorial Guinea take on a new look, and China has made important contributions to promoting world peace.

Continue reading China and Senegal – friends and partners on the path to national development and revitalisation

Xi Jinping: the China-Africa relationship is now at its best in history

The Summit meeting of the Forum on China-Africa Cooperation (FOCAC) was held in the Chinese capital, Beijing from September 4-6.

Hosted by President Xi Jinping, the summit was attended by 51 African heads of state or government and two presidential representatives, representing 53 of the 55 member states of the African Union (AU), along with the Chairperson of the AU Commission and the Secretary-General of the United Nations.

Delivering a keynote address at the opening ceremony on the morning of September 5, Xi Jinping said that:

“The founding of the Forum on China-Africa Cooperation (FOCAC) in 2000 was a milestone in the history of China-Africa relations. Over the past 24 years, especially in the new era, China has advanced forward hand in hand with our African brothers and sisters in the spirit of sincerity, real results, amity and good faith. We stand shoulder to shoulder with each other to firmly defend our legitimate rights and interests as once-in-a-century changes sweep across the world.”

“Thanks to nearly 70 years of tireless efforts from both sides,” he continued, “the China-Africa relationship is now at its best in history. With its future growth in mind, I propose that bilateral relations between China and all African countries having diplomatic ties with China be elevated to the level of strategic relations, and that the overall characterisation of China-Africa relations be elevated to an all-weather China-Africa community with a shared future for the new era.”

Modernisation was a key theme of the Chinese leader’s address. He noted: “Modernisation is an inalienable right of all countries. But the Western approach to it has inflicted immense sufferings on developing countries. Since the end of World War II, Third World nations, represented by China and African countries, have achieved independence and development one after another, and have been endeavouring to redress the historical injustices of the modernisation process. As we are about to celebrate the 75th anniversary of the People’s Republic of China, we are going all out to build a great modern socialist country in all respects and pursue national rejuvenation through a Chinese path to modernisation. Africa is also awakening again, and the continent is marching in solid strides toward the modernisation goals set forth in the AU’s Agenda 2063.”

He proposed that China and Africa work together to advance modernisation in six key aspects:

  • We should jointly advance modernisation that is just and equitable.
  • We should jointly advance modernisation that is open and win-win.
  • We should jointly advance modernisation that puts the people first. The ultimate goal of modernisation is the free and full development of human beings.
  • We should jointly advance modernisation featuring diversity and inclusiveness.
  • We should jointly advance modernisation that is eco-friendly. Green development is a hallmark of modernisation in the new era.

Xi stated that: “China and Africa account for one-third of the world population. Without our modernisation, there will be no global modernisation. In the next three years, China will work with Africa to take the following ten partnership actions for modernisation to deepen China-Africa cooperation and spearhead the Global South modernisation”, namely:

  • The Partnership Action for Mutual Learning among Civilizations.
  • The Partnership Action for Trade Prosperity. We have decided to give all LDCs [least developed countries] having diplomatic relations with China, including 33 countries in Africa, zero-tariff treatment for 100 percent of tariff lines. This has made China the first major developing country and the first major economy to take such a step.
  • The Partnership Action for Industrial Chain Cooperation.
  • The Partnership Action for Connectivity.
  • The Partnership Action for Development Cooperation.
  • The Partnership Action for Health. We will send 2,000 medical personnel to Africa and launch 20 programs of health facilities and malaria treatment.
  • The Partnership Action for Agriculture and Livelihoods.
  • The Partnership Action for People-to-People Exchanges.
  • The Partnership Action for Green Development. China is ready to launch 30 clean energy projects in Africa, put in place meteorological early warning systems, and carry out cooperation in disaster prevention, mitigation and relief, as well as biodiversity conservation.
  • The Partnership Action for Common Security.

Each of these proposals features specific, practical and appropriate measures and pledges that stand in stark contrast to the vacuity, conditionality and demagogy of the supposed pledges made at gatherings convened by the imperialist powers. 

Besides President Xi Jinping, President Bassirou Diomaye Faye of Senegal, Co-chair of FOCAC; President Mohamed Ould Cheikh El Ghazouani of Mauritania, rotating Chair of the AU; President Cyril Ramaphosa of South Africa, subregional representative for Africa; President of the Republic of the Congo Denis Sassou Nguesso, President of Nigeria Bola Ahmed Tinubu, President of Tanzania Samia Suluhu Hassan, special guest and Secretary General of the United Nations António Guterres, and Chairperson of the AU Commission Moussa Faki Mahamat also addressed the opening ceremony.

The African leaders:

Continue reading Xi Jinping: the China-Africa relationship is now at its best in history

China to give LDCs including 33 African countries zero-tariff treatment

President Xi Jinping announced at the opening ceremony of the Forum on China–Africa Cooperation (FOCAC) summit in Beijing on Wednesday that China would unilaterally give all least developing countries (LDCs) zero-tariff market access for all products, making China the first major economy to take such a step. This move is part of a wide-ranging action plan agreed at the forum, which includes over 50 billion dollars of investment by China in African development initiatives over the next three years.

The FOCAC summit has been taking place amidst a backdrop of increasingly hysterical propaganda about the China-Africa relationship in the Western media, particularly in relation to China’s infrastructure investment. China is painted as engaging in exploitative, neocolonial practices, but this does not chime with reality. Indeed South African President Cyril Ramaphosa said on the sidelines of the FOCAC summit that he did not believe Chinese investments in Africa were pushing the continent into a ‘debt trap’ but were, rather, part of a mutually beneficial relationship.

A few facts that Washington’s stenographers routinely ignore:

  • China has been Africa’s largest trading partner for 15 years in a row
  • China provides finance for desperately-needed infrastructure projects, with interest rates typically half those of Western lenders, and with longer repayment periods
  • China’s investment is focused on meeting Africa’s needs, particularly around energy, transport, telecommunications and green development
  • With Chinese support, Ethiopia in 2015 celebrated the opening of the first metro train system in sub-Saharan Africa
  • The African Union headquarters in Addis Ababa was funded by the Chinese government as a gift to the AU
  • The Africa Centers for Disease Control and Prevention (Africa CDC) was built with Chinese support
  • While there are endless scare stories about Chinese companies only employing Chinese workers, research shows that over 75 percent of employees in Chinese companies in Africa are local
  • A key reason for the popularity of Chinese financing is that it comes without strings attached, unlike organisations like the IMF, with its demands for austerity, privatisation and deregulation
  • 52 of the 54 African countries have signed up to the Belt and Road Initiative
  • China does not interfere in the internal affairs of African countries, and regards respect for other countries’ sovereignty as an inviolable principle
  • China-Africa energy cooperation offers the opportunity for Africa to leapfrog the fossil fuel age and move straight to renewable energy
  • Tens of thousands of African students attend universities in China, which offers more university scholarships to African students than the leading western governments combined
  • China’s approach is markedly different to that of the West. At the 2018 FOCAC summit, Xi Jinping outlined China’s “Five No” approach to its relations with Africa: 1) No interference into African countries’ pursuit of development paths that fit their national conditions. 2) No interference in African countries’ internal affairs. 3) No imposition of China’s will on African countries. 4) No attachment of political strings to assistance to Africa. 5) No seeking of selfish political gains in investment and financing cooperation with Africa.
  • China is helping Africa to break out of an underdevelopment that was forced on it by Western colonialism and imperialism. As Liberia’s former Minister of Public Works W Gyude Moore said, “China has built more infrastructure in Africa in two decades than the West has in centuries”.

So when the West accuses of China of neo-colonialism in Africa, it is really just engaging in projection and slander.

The following article is republished from Global Times.

China has decided to give all least developed countries having diplomatic relations with China, including 33 countries in Africa, zero-tariff treatment for 100 percent tariff lines, Chinese President Xi Jinping announced on Thursday in a keynote speech at the opening ceremony of the 2024 Summit of the Forum on China-Africa Cooperation (FOCAC) in Beijing, the Xinhua News Agency reported.

This has made China the first major developing country and the first major economy to take such a step. It will help turn China’s big market into Africa’s big opportunity, Xi said, Xinhua reported.

China will expand market access for African agricultural products, deepen cooperation with Africa in e-commerce and other areas, and launch a “China-Africa quality enhancement program,” Xi said.

Chinese experts said that this new trade measure will not only greatly facilitate trade between Africa and the world’s second-largest economy but also inject new impetus into Africa’s development through enhanced trade and investment.

“Our offering of zero-tariff treatment to the least developed countries in Africa … is actually a crucial component of support for trade… The core development concept is to unlock Africa’s autonomous development capabilities through enhanced trade, rather than merely increasing the volume and quality of China-Africa trade,” Song Wei, a professor at the School of International Relations and Diplomacy at Beijing Foreign Studies University, told the Global Times on Thursday.

In recent years, under the strategic guidance of heads of state from China and Africa, economic and trade cooperation has shown promising results. 

In 2023, China-Africa trade reached $282.1 billion, marking a historic high for the second consecutive year, said Lin Honghong, director of the Department of International Relations of the China Council for the Promotion of International Trade, at a press briefing for the FOCAC, on Tuesday.

Additionally, over the past three years, Chinese companies have provided more than 1.1 million jobs in Africa. “These figures fully demonstrate that China-Africa economic and trade cooperation continues to maintain strong momentum,” said Lin.

The zero-tariff policy will lead to more African agricultural products and mineral resources, which are strengths of Africa, entering China, Song said. 

At the same time, leveraging e-commerce, the new trade policy will promote the entry of more advantageous Chinese products into Africa, meeting the development needs of Africa, and improving the quality of life of the African people, the Chinese expert said.

China and South Africa to boost cooperation on renewable energy, digital economy and AI

With the Forum on China-Africa Cooperation (FOCAC) summit being held in Beijing from September 4-6, as the country’s greatest diplomatic event of 2024,  leaders of some 50 African countries began arriving in the Chinese capital from the beginning of the month. 

Among President Xi Jinping’s first bilateral meetings with his visitors was that in the afternoon of September 2 with South African President Cyril Ramaphosa, who also paid a state visit to China that day.

At their meeting, President Xi pointed out that the friendship between China and South Africa stems from their mutual support in the fight for national liberation, from their mutual assistance in advancing national development, and from their unity and coordination in pursuit of international equity and justice. This year marks the 75th anniversary of the founding of the People’s Republic of China, and also the 30th anniversary of the new South Africa. Despite changes in the international landscape, there has been no change to the mission of China and South Africa to pursue modernisation, no change to their commitment to promoting China-Africa cooperation, and no change to their aspiration to improve global governance. Greater unity and cooperation between China and South Africa meet the expectations of the two peoples and is consistent with the historic process of the growth of the Global South. It has important significance for the times and implications for the world.

The Chinese leader further stressed that transformation unseen in a century is accelerating across the world and human society is facing unprecedented challenges. The more complex the international landscape, the more important that countries of the Global South stay committed to independence, solidarity and coordination to jointly safeguard international equity and justice.

President Ramaphosa recalled the fourth successful state visit by President Xi to South Africa last year where the two sides celebrated the 25th anniversary of their diplomatic ties and brought the relationship into a golden era. South Africa and China enjoy strong political trust and deep friendship and share similar positions and the same goals on many issues, he stressed. 

Following the signing of a number of bilateral cooperation documents, the two countries issued the Joint Statement Between the People’s Republic of China and the Republic of South Africa on the Establishment of an All-Round Strategic Cooperative Partnership in the New Era.

The two sides reaffirmed that they cherish the special and ever-growing friendship between the two countries and recommitted to working together towards building a high-quality China-South Africa community with a shared future. To carry forward the friendship, consolidate mutual trust, expand cooperation and enhance coordination, the two Heads of State agreed to elevate the bilateral relationship to an all-round strategic cooperative partnership in the new era, underpinned by strong political ties and focused on a prosperous future with balanced trade and accelerated transformative economic growth.

China congratulated President Ramaphosa on his re-election as President of the Republic of South Africa, and believes that under his leadership, the South African Government of National Unity will achieve success in building a united, just, equal and prosperous country as espoused in the National Development Plan, including maintaining an independent and non-aligned foreign policy based on the principle of progressive internationalism.  China firmly supports national unity and the path of economic and social development that South Africa has chosen and respects efforts by the South African government to safeguard its national interests so as to improve the lives of all South Africans. The South African government reaffirmed its commitment to the One-China Policy, recognised that there is but one China in the world, the Government of the People’s Republic of China is the sole legal government representing the whole of China, and Taiwan is an inalienable part of China. South Africa supports efforts made by the Chinese government to achieve national reunification.

Regarding economic cooperation, the two sides agreed to work on strengthening cooperation and synergy between China’s Belt and Road Initiative and South Africa’s Economic Reconstruction and Recovery Plan and to continue implementing the 10 Years Strategic Programme of Cooperation between the People’s Republic of China and the Republic of South Africa (2020-2029).

They agreed that promoting modernisation is the joint goal in building a high-level South Africa-China community with a shared future. The two sides will deepen cooperation in traditional fields such as agriculture, health, medical sciences and infrastructure development. However, they will further seize opportunities presented by the new scientific and technological revolution and industrial transformation, focusing on key areas such as the digital economy, new energies and artificial intelligence, boost cooperation on new quality productive forces, and further expand mutually beneficial cooperation in renewable energy, energy storage and power transmission and distribution.

China is committed to sharing with South Africa experience in poverty alleviation and rural revitalisation, in building poverty alleviation model villages, and offering support for South Africa’s coordinated urban and rural development. The two sides further agreed to continue to strengthen exchanges and cooperation in the areas of culture, women, health, youth, education, sport, media, tourism, and other people-to-people cooperation fields.

The two sides applauded the recent 70th Anniversary of China’s Five Principles of Peaceful Coexistence, as these were espoused in the buildup to the Asia-Africa Summit of 1955 in Bandung and were later adopted as the main goals and objectives of the Non-Aligned Movement (NAM).

They also expressed deep concern about the serious humanitarian disaster in the Gaza Strip. Both countries called for the earnest implementation of UN Security Council Resolution 2728 and an immediate ceasefire and end to all fighting, and support resuming a process of political settlement of the Palestinian question. Alluding in particular to South Africa’s case against Israel, brought to the International Court of Justice, China commended the positive role that South Africa has played in activating the role of the international community in the conflict in Gaza and is willing to work together toward a comprehensive, just and lasting settlement at an early date. South Africa expressed its appreciation to China for successfully inviting various Palestinian factions to hold a reconciliation dialogue and to sign the Beijing Declaration.

We reprint below the report on the meeting, which was released by the Chinese Foreign Ministry, as well as the full text of the joint statement as published by the Xinhua News Agency.

Continue reading China and South Africa to boost cooperation on renewable energy, digital economy and AI

China and Africa safeguard global peace and promote development

The 2024 Summit of the Forum on China-Africa Cooperation (FOCAC) will be held in Beijing, September 2-4. It is six years since the summit was last held in China and it will be the country’s largest diplomatic event for this year.

In advance of the summit, on August 31, the Xinhua News Agency published a guest opinion contributed by Li Xiang, China’s Ambassador to Eritrea. The Ambassador notes that:

“Politically, China and Africa share the same aspirations and vision. China and Africa have supported each other in fighting imperialism, colonialism and racism, based on similar suffering in recent history. In the struggle for national independence, China and Africa, as members of the Global South, have been united in their common goal, extending mutual assistance and having been the most distinctive, steadfast and major supporters of each other’s anti-imperialist, anti-colonial and anti-hegemonic struggles.”

On economic matters, he reiterates that: “China will always walk side by side with Africa on its path to modernisation and join hands with Africa to inject strong impetus into the promotion of an equal and orderly multipolar world and a universally beneficial and inclusive economic globalisation.”

Both China and Africa, Li underlines, “have had the tragic experience of being colonised, and we cherish the golden rule of sovereign equality, oppose the big abusing the small and the strong bullying the weak, advocate the equality of all countries, large and small, and oppose interference in the internal affairs of other countries.”

Noting that, following his historic state visit to China in May 2023, President Isaias Afwerki will lead the Eritrean delegation to the summit, and alluding to the inspiration that the Eritrean people drew from the experience of the Chinese revolution during their liberation struggle, Ambassador Li writes: “China and Eritrea have established a strategic partnership and are in a unique position to build a closer community with a shared future. The two countries share similar philosophies, and their people maintain close contact.”

Meanwhile, in the Chinese Foreign Ministry’s regular press conference on August 30, spokesperson Lin Jian said that China and Africa endured colonialist and imperialist suppression and invasion, and the two sides supported each other and fought together on the road of anti-colonialism and anti-imperialism and won the independence of their countries and the liberation of their nations.

“Therefore, we deeply cherish independence, self-determination, fairness and justice; we agree on the Five Principles of Peaceful Coexistence; we are committed to building an equal and orderly multipolar world and a universally beneficial and inclusive economic globalisation; and we both aim to make the international order more just and equitable.”

China and the African countries stand for bridging the gap between rich countries and poor ones, reject all forms of interference by big powers and economic coercion, and ask developed countries to face up to their historical responsibilities and deliver on their development commitments.

“At the upcoming FOCAC Summit next week, the two sides will enhance unity and cooperation among developing countries to augment the strength of the Global South, jointly champion international fairness and justice, and advance the peace and development of the world,” Lin said.

The following articles were originally published by the Xinhua News Agency.

Jointly build a closer China-Africa community with shared future to push forward China-Eritrea strategic partnership

October 31 (Xinhua) — by Li Xiang (Chinese ambassador to Eritrea).

The 2024 Summit of the Forum on China-Africa Cooperation (FOCAC) will be held in Beijing on Sept. 4-6. Chinese and African leaders will gather in Beijing again after six years to discuss future development and cooperation and exchange governance experience. H.E. President Isaias Afwerki will lead the delegation of Eritrea to attend this summit, following his historic state visit to China in May 2023. Through this summit, China and Africa will enhance their long-standing friendship and deepen unity and collaboration to open up new vistas for faster common development and start a new chapter for a China-Africa community with a shared future.

The world today is undergoing major changes unseen in a century. The waves of anti-globalization, unilateralism and protectionism are on the rise. Global crises such as geopolitical conflicts and climate change occur frequently. Humankind is at a crucial crossroads, and China-Africa cooperation and development are facing more uncertainty. China’s answer to the question of “where is human society headed and how can China-Africa cooperation develop” is to build a closer China-Africa community with a shared future. This is the trend of the times and the common voice of the people of China and Africa.

Continue reading China and Africa safeguard global peace and promote development

Remy Herrera: the foundations of China’s economy clearly distinguish it from capitalism

The following text is the English translation of an interview with Rémy Herrera, a research analyst at the National Center for Scientific Research (CNRS) at the Sorbonne in Paris. The interview was carried out by Tang Xiaofu for the Observers’ Network, Beijing, and was recently posted in Workers World. While covering similar ground to the interview we published in June 2024, it contains a number of additional insights and is well worth reading in full.

In the interview, Herrera firmly rejects the characterisation of China by David Harvey and others of “a neoliberalism with Chinese characteristics”, and points to the foundations that clearly distinguish China’s system from capitalism:

1) The persistence of powerful and modernized planning; 2) a form of political democracy, obviously perfectible, but making collective choices possible; 3) extensive public services, conditioning political, social and economic citizenship; 4) ownership of land and natural resources that remains in the public domain; 5) diversified forms of ownership, adequate to the socialization of productive forces and boosting economic activity; 6) a general policy which consists of increasing labor remuneration more quickly compared to other types of income; 7) a desire for social justice displayed by public authorities in the face of rising social inequalities since 1978; 8) the priority given to the preservation of the environment, the protection of nature being now considered inseparable from social progress; 9) a conception of economic relations between States based on a win-win principle; and 10) political relations between States based on the search for peace and more balanced exchanges between peoples.

Herrera goes on to discuss the unique role of the state-owned enterprises in China’s economy, in particular that “the compass that guides them is not the enrichment of private shareholders, but the priorities given to productive investment and the service provided to their customers”.

The public sector “still represents a large part of industrial assets (in construction, steelmaking, basic materials, semi-finished products, etc.) and almost all of them in strategic areas for the country’s, like infrastructure in energy, transport, telecommunications, and of course armaments — in addition to the banking and financial sectors.” As such, public ownership sits at the heart of – and is able to guide – China’s development strategy.

The planning system “is the place where collective choices are developed and decided, as expressions of a general will. It is the authentic space where a nation chooses a common destiny and the means for a sovereign people to become its own master, in all areas of its existence: way of life, ways of consuming, housing and occupying or developing the national territory, precise definition of the relationships maintained by human beings with their environment and nature.”

Herrera also addresses the US’s trade war, launched by Trump and continued by Biden, assessing that the “problem” from the US’s point of view is that the unequal relationship between the US (an imperialist country) and China (a developing country) is becoming less unequal – “there is an erosion of the advantage of the United States in the exchange”. The trade war “was an attempt by the administration led by President Trump to curb the slow, continuous erosion of the advantage of the United States, observed for decades in trade with its emerging rival, China.”

The interview concludes with an appeal to move beyond a moribund imperialism. “We must dismantle the logic of crisis and war driven by high finance by imposing democratic control on it, and therefore think about alternatives to capitalism. The defense of peace and the reactivation of the socialist project are today’s priorities. In this context, China has a fundamental role to play in these transformations.”

I. How the West interprets China

Tang Xiaofu: 1) You have visited China multiple times, but now many scholars are trying to distort Socialism with Chinese Characteristics into State Capitalism. What’s your view towards State Capitalism? And what’s the difference between State Capitalism and Socialism with Chinese Characteristics?

Rémy Herrera: The speeches of many current leaders of the Communist Party of China (CPC) suggest that China would still be in the “first phase of socialism,” that is to say, in a stage considered essential for developing the productive forces and which would take a long time to reach its goal. According to them, the historical goal sought would indeed remain that of developed socialism — even if, it is true, the contours of the latter are far from being clearly and precisely defined. However, in Western countries, many researchers claim that these official political declarations claiming the persistence of socialism in China are only a facade, or the cover-up of a hidden form of capitalism, and that socialism is really dead and buried in China. I do not share the opinion of these Western researchers. On the contrary, I think that these statements by Chinese leaders deserve to be taken seriously.

Moreover, even within the debates among Western Marxists, a clear majority of them affirm that the Chinese economy would henceforth be purely and simply capitalist. This is the case of certain well-known Marxists, such as David Harvey, who believes he has seen, since the 1978 reforms, “a neoliberalism with Chinese characteristics” where a particular type of capitalist market economy has incorporated more and more neoliberal devices operated in the framework of very authoritarian centralized control. This is also the case of Leo Panitch, for example, who analyzes the contemporary integration of China into the circuits of the world economy as the duplication by China of the role of “capitalist complement” formerly held by Japan, as a support that China would provide to the United States through capital flows allowing the latter to maintain its global hegemony, and as the trend towards the liberalization of financial markets in China leading to the dismantling of instruments of control of capital movements and undermining at the same time the bases of the power of the CPC. I do not agree with these researchers either. I defend the idea that today, the Chinese system still contains key elements of socialism, and the interpretation I give of its nature is compatible with socialism.

Thus, I read the Chinese political-economic system as a market socialism, or socialism with a market, based on some pillars which still distinguish it quite clearly from capitalism. I will cite, among these foundations: 1) the persistence of powerful and modernized planning; 2) a form of political democracy, obviously perfectible, but making collective choices possible; 3) extensive public services, conditioning political, social and economic citizenship; 4) ownership of land and natural resources that remains in the public domain; 5) diversified forms of ownership, adequate to the socialization of productive forces and boosting economic activity; 6) a general policy which consists of increasing labor remuneration more quickly compared to other types of income; 7) a desire for social justice displayed by public authorities in the face of rising social inequalities since 1978; 8) the priority given to the preservation of the environment, the protection of nature being now considered inseparable from social progress; 9) a conception of economic relations between States based on a win-win principle; and 10) political relations between States based on the search for peace and more balanced exchanges between peoples. Socialism “with Chinese characteristics” is not very far from this reading grid.

Continue reading Remy Herrera: the foundations of China’s economy clearly distinguish it from capitalism

State intervention an indispensable factor in China’s economic success

The following article by Michael Roberts reviews and summarises a new book by Brazilian Marxist economists Adalmir Antonio Marquetti, Alessandro Miebach and Henrique Morrone, entitled Unequal Development and Capitalism: Catching Up and Falling Behind in the Global Economy.

The central focus of the book is measuring the progress of Global South countries in catching up with the imperialist countries in terms of economic development. Roberts summarises the authors’ key finding as follows: “The ‘follower’ countries (the Global South) will generally have higher profit rates than the ‘leader’ countries (the imperialist Global North) because their capital-labour ratio (in Marxist terminology, the organic composition of capital) is lower.” However, “as these countries try to industrialise, the capital-labour ratio will rise and so will the productivity of labour.” As a result, “capital productivity will tend to decline and this eventually will slow the rise in labour productivity.”

Consequently, “many Global South countries will never ‘bridge the gap’ on labour productivity and thus on living standards because the profitability of capital in the Global South will quickly dissipate compared to the Global North”.

How to overcome this contradiction where increased productivity of labour leads to a falling rate of profit, thereby decelerating development? The book’s authors write: “This issue is observed in many middle-income trap countries. In these cases, state intervention becomes essential, expanding investment even as the profit rate declines, as in China.” To which Roberts comments: “Exactly. China’s success in catching up, which so frightens US imperialism now, is down to state-led investment overcoming the impact of falling profitability on capital investment.”

China has “a model of development based on dominant public ownership of finance and strategic sectors and a national plan for investment and growth”. As a result, “only China is closing the gap on per capita GDP with the imperialist bloc”. This chimes with Samir Amin’s observation that “China is the only authentically emergent country”.

Brazilian Marxist economists Adalmir Antonio Marquetti, Alessandro Miebach and Henrique Morrone have produced an important and insightful book on global capitalist development, with an innovative new way of measuring the progress for the majority of humanity in the so-called Global South in ‘catching up’ on living standards with the ‘Global North’.

In this book Marquetti et al argue that unequal development has been a defining characteristic of capitalism. “Throughout history, countries and regions have exhibited differences in labor productivity growth – a key determinant in poverty reduction and development – and although some nations may catch up with the productivity levels or well-being of developed economies at times, others fall behind.”

They propose a model of economic development based on technical change, profit rate and capital accumulation, on the one hand, and institutional change, on the other.  Together these two factors should be combined to explain the dynamics of catching up or falling behind.

They base their development model on what Duncan Foley called the ‘Marx-bias’ and what Paul Krugman has called ‘capital bias’; namely that in capitalist accumulation there will be a rise in the organic composition of capital (rising mechanization compared to labour input) leading to an increase in the productivity of labour, but also a tendency for the profitability of accumulated capital to fall.

Continue reading State intervention an indispensable factor in China’s economic success

Angolan President: We know what colonisation is and the Chinese are not colonising Africa but cooperating with us

Angolan President João Manuel Gonçalves Lourenço paid a state visit to China from March 14-17 at the invitation of his Chinese counterpart Xi Jinping. 

Whilst in China he gave an exclusive interview to He Yanke for the CGTN series Leaders Talk. 

He Yanke noted that Lourenço has visited China on numerous occasions since 2000, including as the Secretary General of the ruling Popular Movement for the Liberation of Angola (MPLA), as the Special Envoy of his predecessor, and this is his third visit as head of state. 

Summing up his impressions from all these visits, Lourenço remarked that what impressed him most was that China was continually making progress and bringing surprises to the world. 

Noting that last year saw the 40th anniversary of the establishment of diplomatic relations between China and Angola, he described the relationship as exemplary. During very difficult times for his country, for example the period of post-war reconstruction, China had lent a helping hand. And the same was true, not only for his country but for the world, when humanity was suddenly faced with the Covid pandemic. 

Asked for his views on the Belt and Road Initiative (BRI), he recalled that China has provided Angola with strong financial support for infrastructure construction, including for roads, ports, airports, and hydropower plants, all of which are necessary for development. In his last few days in China, he had talked with 24 major companies, who had shown willingness to take risks and invest in his country.

Noting that China was building what will be Africa’s largest hydropower plant in Angola, and also training local personnel for the project, that will not only meet his country’s needs but also produce surplus electricity to be supplied to neighbouring southern African countries, Lourenço  was asked, given that Chinese companies are providing tens of thousands of jobs in Angola, how he would respond to the accusations levelled against China’s role in Africa from some quarters.

His answer was emphatic. Not just the Portuguese colonialists, he said, but the Europeans in general, including the British and French, had been in Africa for centuries. They had never engaged in the kind of infrastructure construction that we are seeing now. They are not just critics but slanderers acting out of malice. The facts are clear: China has not invaded any African country. The Chinese in Africa are not there for colonisation. We know what colonisation is and the Chinese are not colonising Africa but cooperating with us. China did not come to us fully armed but with funds and technology and a willingness to work with us.

The results are plain to see. In 2002 (when Angola’s long-running civil war finally ended), our country was in ruins. Thanks to the help from China, we now have land-based infrastructure connecting provinces and cities which didn’t exist before. 

The construction of roads, bridges, ports and railways was all done with the help of China. If these critics want to be part of the process, then they must act and do better than China. But we don’t believe they can.

Asked about President Xi Jinping’s three global initiatives, on development, security and civilisation, President Lourenço described the Chinese leader as a visionary and insightful statesman. Without peace and security, there can be no development – this is true both from the Angolan experience and also on a world scale.

The full interview with President Lourenço is embedded below.

China and the struggle for peace

The following text is based on presentations given by Friends of Socialist China co-editor Carlos Martinez at Morning Star Readers and Supporters meetings in Manchester (19 February), Leeds (13 March) and Brighton 24 March), on the subject of China’s global strategy.

Carlos responds to the assertion by Western politicians and media that China is an aggressive and expansionist power, comparing China’s foreign policy record with that of the United States. He shows that China’s foreign policy is based on the principles of peace, development and win-win cooperation, and explains how this approach is rooted in China’s history and ideology, and is consistent with China’s overall strategic goals.

Carlos also takes note of China’s contribution to the global struggle for multipolarity and to the project of global development. He highlights the Belt and Road Initiative and China’s role in the struggle against climate catastrophe.

The text concludes:

On questions of peace, of development, of protecting the planet, China is on the right side of history. It’s a force for good. As socialists, as progressives, as anti-war activists, as anti-imperialists, we should consider China to be on our side… Those of us who seek a sustainable future of peace and prosperity, of friendship and cooperation between peoples, have a responsibility to oppose this New Cold War, to oppose containment and encirclement, to demand peace, to promote cooperation with China, to promote understanding of China, to build people-to-people links with China, and to make this a significant stream of a powerful mass anti-war movement that our governments can’t ignore.

The Manchester event was also addressed by Jenny Clegg; the Leeds event by Kevan Nelson; and the Brighton event by Keith Bennett.

I’m going to focus my remarks on China’s international relations and its global strategy. This is a subject about which there’s a great deal of misunderstanding and obfuscation, particularly in the context of an escalating New Cold War that’s being led by Washington and that the British ruling class is only too happy to go along with.

The mainstream media is full of hysteria about China’s “aggression” or “assertiveness”. When China reiterates its position on Taiwan – a position which in fact has not meaningfully changed in the last seven decades, and which is completely in line with international law – it’s accused of ramping up the threat of war.

When China refuses to go along with the US’s illegal, unilateral sanctions (for example on Russia, Iran, Syria, Nicaragua, Cuba, Venezuela, Eritrea and Zimbabwe), it’s accused of “subverting the international rules-based order”.

When China establishes bilateral relations and trade agreements with Solomon Islands, Honduras, Nicaragua and Nauru, it’s accused of engaging in colonial domination.

When Chinese companies invest in Africa, Latin America, the Caribbean and the Pacific, they’re accused of imposing debt traps.

And unfortunately much of the left takes a fairly similar position to the ruling class on these issues, considering that China’s an imperialist power, that it’s engaged in a project of expansionism.

This sort of analysis on the left leads inexorably to a position of “Neither Washington Nor Beijing”, putting an equals sign between the US and China; putting China in the same category as the imperialist powers. According to this analysis, the basic dynamic of global politics is today that of inter-imperialist rivalry between the US and China.

And of course if that’s the case, if China’s just another imperialist power, and its only interest is growing its own profit margins and competing with the US, Britain, the EU, Canada and Japan for control of the world’s resources, labour, land and markets, it goes without saying that the global working class and oppressed – the vast majority of the population of the world – cannot possibly consider China to be a strategic ally in the pursuit of a better, fairer, more peaceful, more equal, more prosperous, more sustainable world.

China’s view of international relations

How does China consider its role in the world? What does the Communist Party of China propose regarding China’s foreign relations?

What the Chinese leadership calls for is “building a global community of shared future, with the goal of creating an open, inclusive, clean and beautiful world that enjoys lasting peace, universal security, and common prosperity.”

China consistently expresses its commitment to multipolarity; to peace; to maximum and mutually beneficial cooperation around economic development and tackling climate change, pandemics, and the threat of nuclear war; to working within the context of the UN Charter and international law in support of peaceful coexistence.

Foreign Minister Wang Yi, at his recent Meet the Press session, talked of China “advocating vigorously for peace, development, cooperation and mutual benefit”, and urged that “countries should rise above their differences in history, culture, geography and system, and work together to protect the Earth, the only inhabitable planet for us all, and make it a better place.”

Xi Jinping often talks about China’s orientation towards peace: “Without peace, nothing is possible. Maintaining peace is our greatest common interest and the most cherished aspiration of people of all countries.”

All of this is of course a pretty beautiful and compelling vision. But to what extent does it line up with reality? To what extent is China actually working towards peace, development and sustainability? To what extent does China diverge from the model of international relations pursued by the US and its imperialist allies?

Continue reading China and the struggle for peace

A rising China and a rising Africa? This is doubly frightening to the imperialist powers

What follows below is the text of a speech given by Fiona Sim on behalf of the Black Liberation Alliance at the recent Friends of Socialist China event Africa, China and the Rise of the Global South, held at the Marx Memorial Library on 16 March 2024.

Fiona describes the blossoming relationship between Africa and China – which even extends to South Africa and China collaborating to build a research base on the moon – and contrasts it with the “playbook of neo-colonial extraction and political puppeteering” that the West has used to exploit Africa for centuries. The China-Africa partnership is inspiring fear and loathing in the West, representing as it does a challenge to the global hegemony of the US and its allies:

“A rising China and a rising Africa? This is doubly frightening to the imperialist powers. It is the precursor to the fall of western hegemony altogether.”

The West’s response has been to ramp up its propaganda war against China and to try to drive a wedge between China and Africa – most obviously by denouncing Chinese “imperialism” and slandering its investments as “debt traps”. But the reality is that “China’s loans to African countries have some of the lowest interest rates, no political strings attached, mass debt relief programmes, and the massive infrastructure projects they fund and build result in positive net growth.” Chinese loans and investment are paving a road out of poverty and underdevelopment.

Fiona concludes by calling for solidarity with China and Africa in their struggle against imperialism, for countering the lies and distortions of the Western media, and for resolutely opposing the New Cold War.

It is my great honour to be included in this panel alongside our esteemed comrade from the Communist Party of Kenya and all these powerful organisers and activists. There is nothing more powerful than being united in struggle with comrades who are not only from across the diaspora but from around the globe. 

It is a reminder of the importance of internationalist, anti-imperialist solidarity that transcends borders and bureaucracy. Our struggles are connected by the chains of imperialist domination and sown from the seeds of destruction left by colonial conquest. But our joint history stretches back centuries further. 

While Europe was in its so-called Dark Ages, Africa, Asia and the Islamic world were experiencing their Golden Ages. The renowned Chinese Muslim naval navigator Zheng He led peaceful expeditions along the ancient Silk Road, with voyages as far as East Africa, where the seas connecting the two continents would go on to establish trade routes and friendly relations for years to come.

Now, centuries later, with the Silk-Road-inspired Belt and Road initiative, we are seeing the rebirth of Africa-China relations and establishment of South-South cooperation at an unprecedented scale. The relationship between Africa and China could not be stronger. Kenya is China’s number one trade partner in East Africa. South Africa and China are collaborating to build a research base on the moon. After the uprisings in the Sahel, the coup governments formed were quick to affirm their relations with China, which reiterated its policy of non-intervention and non-interference in African politics. Burkina Faso’s President Traore declared that he considered China an important trade partner early on, and Niger’s interim President General Tchiani has reportedly met with the Central and North African representative for BRICS in the last few weeks.

It is no wonder that the countries of the West – where whole civilisations have been built on the foundations of plunder and pillaging of the global South – see this as a threat. The West has seen that Africa has taken great interest in the rise of China especially in the last decade and it is running scared. Scared that its playbook of neo-colonial extraction and political puppeteering is no longer going to work on its former colonies. 

Let us be clear. The West only sees China as a threat to its hegemony because it cannot conceive a country that less than a century ago was one of the poorest in the world is now a global powerhouse whose economy rivals the US. Since the 1990s, China has been the only country whose GDP has grown exponentially, increasing on average by 9 percent a year. In 2023, China’s GDP increased by 5.2 percent – the highest among the major powers, with the US in second place at 1 percent. 

Continue reading A rising China and a rising Africa? This is doubly frightening to the imperialist powers

BRICS+ and the future of the international order

This thought-provoking article by Elias Jabbour – associate professor of theory and policy of economic planning at Rio de Janeiro State University, and member of the Friends of Socialist China advisory group – explores the shifting dynamics of global power and the emergence of BRICS+ as a significant factor in the evolving international order. The article underlines the significance of China’s socialist development in particular – which has positioned it at the centre of a rising multipolar world – and an emerging “globalisation with Chinese characteristics” which promotes development, peace and common prosperity, in contrast to the enforced inequality and violence that characterise imperialist globalisation.

Elias notes the resurgence of the Global South as a key factor in the transformation of the international order, and the role of BRICS+ in this process. While the Global South is made up of “a heterogeneous set of countries, with differentiated levels of development”, these countries collectively “have the ability to converge on some fundamental issues for their own future, and for that of humanity itself.” Put in other words, the countries of the Global South have a shared interest in opposing imperialism, defending sovereignty and pursuing peaceful development. China stands at the centre of the process of uniting the countries of the Global South in promoting a multipolar, democratic and fair system of international relations.

The article also highlights the significance of the Belt and Road Initiative as a key component of China’s global strategy, and the potential for BRI to transform the global economic landscape by promoting infrastructure development, economic integration, and a shift away from the financialised neoliberal model associated with the US.

Elias discusses the disastrous consequences of the collapse of the Soviet Union and the concurrent global imposition of neoliberalism. On the other hand, the US’s moment of triumph did not last long, and the last decade and a half have witnessed “the erosion of the ability to reinvent capitalism due to financialisation and the emergence of a socialist country (China) as an economic power whose path reflects nothing of the neoliberal recipes sold by the IMF and the World Bank have contributed to the acceleration of a systemic transition, in which a new globalisation centered on China is only its greatest expression.”

In conclusion, the article argues that the political future of BRICS+ and the broader Global South is intricately linked to China’s trajectory and its ability to offer a developmental model that counters neoliberalism. It suggests that the global struggle against underdevelopment and for independence is gaining momentum, with BRICS+ playing a pivotal role in shaping a more equitable global order.

This article first appeared in Geopolitical Economy Report.

The emergence and rise of new poles of power to the detriment of existing ones is nothing new in history. Since the 18th century, there have been countless examples of transitions in international hegemony. This accelerated with the emergence of industrial capitalism in England, which was more advanced than the Portuguese and Spanish commercial capitalism that for centuries had dominated much of the world, especially Latin America.

Even the capitalist dynamic inaugurated by England has characteristics that are not unfamiliar to economic historians with great theoretical and conceptual rigor.

Well known is Vladimir Lenin’s discovery of the uneven nature of the development of nations and the tendency of the most developed countries to lose dynamism while others begin to enjoy what economist Alexander Gerschenkron called the “advantages of backwardness”.

So the international order cannot be observed, from a historical point of view, as a march where countries change positions like in a military parade.

The emergence of monopolistic capitalism brought with it the tendency toward war, for example. We have witnessed two great world wars where the center of the dispute was world power, with results that consolidated new political actors on the international stage, mainly the United States.

A new systemic transition

I start from the historical principle that reality has shown Lenin to be correct, regarding the uneven development of the system and the tendency toward stagnation in the developed centers. These processes open spaces of power in the world.

I also say that we will have little to offer in terms of explanation for the future if we do not relate the transformation of the United States into a unified continental economy at the end of the 19th century, and its impacts on the development of the international capitalist system, with what we have witnessed in China over the past decades: the emergence of a unified continental economy in the third-largest country in the world, which is generating huge impacts on the international political economy – and is still little investigated by so-called experts.

This is a fundamental point when we want to develop a sophisticated thinking about the BRICS+ and the future of the international order. I will return to this point.

On the other hand, we are witnessing a new wave of systemic transition today. This time, there is the emergence of new poles of global power on one side, while on the other there is an accelerated stage of political, social, moral, and economic decomposition of a hegemonic power: the United States of America.

It is interesting to note that the new order that is emerging is itself the product of the order created by the United States after World War II, which accelerated in the late 1970s with the rise of neoliberalism, and especially after the end of the Soviet Union.

Globalization led by the powerful finance of the United States was a reality that transformed the economic geography of the world, but which is eroding within its own limits. Since the moment when financialization became the dominant dynamic of accumulation in capitalism, and neoliberalism won hearts and minds around the globe, the world has entered a spiral of greater instability and unpredictability.

Continue reading BRICS+ and the future of the international order

Liu Jianchao: Working together to build a modern Global South

The following is an important article by Liu Jianchao, Minister of the International Department of the Communist Party of China (CPC) Central Committee (IDCPC), concerning the current state and prospects of the Global South.

Minister Liu begins by noting that the world today is confronted with unprecedented and accelerated changes. An important feature of the changes is that the collective rise of developing countries is gaining momentum. The rise of developing countries, as a whole, is based on and reinforced by their collective modernization.

Thus, he argues, an in-depth discussion on the modernization of the Global South is urgently needed, not only in response to the call of developing countries for peace, development, and progress, but also to meet the aspirations of the people of all countries for modernization and human advancement.

According to Liu, the Global South is where the hope lies today. The term “Global South”, he goes on, has first and foremost a “south” dimension.

“However, the ‘South’ in the Global South is not a geographical term but a byword for emerging markets and developing countries. It is an identity and representative of a community of countries with similar historical experiences, political pursuits, and development goals.

“The term also has a ‘global’ dimension. It symbolizes a prominent worldwide trend of the collective rise of developing countries and reflects their strong wish for solidarity and self-reliance. The countries of the Global South once suffered from aggression, colonization, suppression, and plunder. It is through years of struggle and hard work, along with the evolving changes in this century, that the Global South has gradually become an important force driving the reforms in the world order and seeking political independence, national rejuvenation and international justice.”

Arguing that the Global South is a “a leading champion of a new type of globalization”, Liu writes that, “unilateralism, protectionism and populism are rearing their ugly heads today. Attempts to build ‘small yards with high fences’ to ‘decouple’ from other economies, sever industry and supply chains and stoke bloc confrontation are rampant… At this crucial moment, the countries of the Global South have chosen to confront difficulties head on.”

“In particular,” he continues, “countries of the Global South, upholding the principle of ‘planning together, building together, and benefiting together’, have pressed ahead the Belt and Road cooperation to a new stage of high-quality development, thus injecting new impetus into global growth, creating new opportunities for global development, and building a new platform for international cooperation.”

According to Liu, the Global South is “the source of strength for global multipolarity.” And it is, “a key force promoting greater democracy in international relations. Over the years, the voice of the Global South has been muted on the world stage and the reasonable concerns of developing countries have not been addressed.

“The few traditional powers that have dominated the right to set the international agenda and rules have always put their own interests first. Their hegemonic, domineering, and bullying practices have disturbed the normal international order and undermined international justice and fairness. Under the new circumstances, more and more Global South countries have realized the [reality of the] ideological and institutional yoke of imperialism and colonialism. And they are more determined than ever to seek strategic autonomy, practice true multilateralism, and promote greater democracy in international relations.”

On the question of modernization, he notes that:

“The Global South must take measures to break the myth that modernization equals westernization. For a long time, people believed westernization is modernization. In fact, modernization is not a single answer question. Different historical conditions lead to different choices of paths to modernization. The modernization of the West started with the expansion of capitalism and reached its peak with the help of colonialism, large-scale exploitation of other countries and the use of power politics. It is an unjust path and by no means a viable choice for the Global South.

“To realize modernization, the countries of the Global South must find a path that best suits their respective national condition and is in line with the trend of the times.

“Besides, they should share their useful experiences, rise up to challenges together, and support each other’s exploration of paths in the pursuit of modernization, so that the Global South and the wider world have more options to achieve modernization.”

He adds:

“China is ready to contribute the country’s strength to advancing modernization for the Global South. While addressing the 15th BRICS Summit in Johannesburg, South Africa, in August, President Xi Jinping asserted that China is a member of the Global South. China and most countries of the Global South share similar historical experiences and journeys of struggle. And all of them emerged from the fight against colonialism, hegemony, and power politics… China is rooted in the Global South; it cares about the Global South. It has always stood in solidarity with other countries of the Global South through thick and thin, and has been an advocate for and an important player in South-South cooperation…

“China will never forget its roots and will remain a member of the big family of developing countries and the Global South. No matter how the international situation evolves, China will always be committed to the principles of amity, sincerity, mutual benefit and inclusiveness to develop relations with its neighbors, follow the principles of sincerity, real results, affinity, and good faith to develop relations with African countries, and adhere to the principles of equality, mutual benefit and common development to develop relations with Latin American countries.”

In conclusion the IDCPC minister writes: “We believe the modernization of the Global South will become an unstoppable trend in the near future. A stable, united, strong and prosperous Global South will no longer be a forlorn dream, and humanity will eventually enjoy progress, lasting peace and sustained development.”

Continue reading Liu Jianchao: Working together to build a modern Global South

The Belt and Road Initiative: A Key Pillar of the Global Community of Shared Future

On 10 October 2023, China’s State Council Information Office released an important white paper: The Belt and Road Initiative: A Key Pillar of the Global Community of Shared Future. The document presents the achievements of the Belt and Road Initiative (BRI) since its announcement in September 2013.

A significant number of historic infrastructure projects in the developing world have already been built within the framework of the BRI. For example, the Mombasa-Nairobi Railway is the largest infrastructure project carried out in Kenya since independence. The China-Laos Railway – an electrified railway directly connecting Kunming (in China’s southwestern Yunnan province) to Vientiane, the capital of Laos – was completed in 2021. The white paper notes:

“As an important part of the central section of the pan-Asia railway network, the China-Laos Railway has helped Laos to realize its long-cherished dream of becoming a land-linked country from a landlocked one. It has promoted transport, investment, logistics and tourism, and injected new impetus into the economic development of Laos and areas along the line. By August 31, 2023, the railway had recorded a total of 20.79 million passenger trips and carried 25.22 million tonnes of cargo. It has become a safe and efficient international passageway connecting Laos with its neighbouring countries and regions and generating mutual benefits.”

The Jakarta-Bandung High-speed Railway – the first high-speed rail system in Indonesia – has achieved an operational speed of 350 km per hour, reducing the journey time between these important cities from 3.5 hours to 45 minutes.

A huge number of energy production and distribution projects have been built as part of the BRI, connecting China, Russia, Mongolia, Central Asia, Pakistan and further afield.

The white paper makes it very clear that, while the BRI was launched by China, “it belongs to the world and benefits the whole of humanity”, and that “irrespective of size, strength and wealth, all countries participate on an equal footing.” The aim is not to travel the well-trodden path of imperialist modernisation but rather to build a global community of shared future – “an open, inclusive, clean and beautiful world that enjoys lasting peace, universal security and common prosperity, charting a bright future for human development.”

This is a model of development and international relations that “diverges from the exploitative colonialism of the past, avoids coercive and one-sided transactions, rejects the centre-periphery model of dependency, and refuses to displace crisis onto others or exploit neighbours for self-interest. Instead, it aims to achieve win-win outcomes and shared development and prosperity.”

Rather than competing with other initiatives, the BRI has successfully integrated and cooperated with many other strategies including Russia’s Eurasian Economic Union framework, Kazakhstan’s Bright Road economic policy, Indonesia’s Global Marine Fulcrum initiative, Vietnam’s Two Corridors and One Economic Circle plan, South Africa’s Economic Reconstruction and Recovery Plan, and Egypt’s Suez Canal Corridor Project.

“By June 2023, China had signed more than 200 BRI cooperation agreements with more than 150 countries and 30 international organizations across five continents, yielding a number of signature projects and small-scale yet impactful projects.”

The document notes that the fruits of economic globalisation have hitherto been dominated by a small group of developed countries. Rather than contributing to common prosperity at a global level, globalisation “has widened the wealth gap between rich and poor, between developed and developing countries, and within developed countries. Many developing countries have benefited little from economic globalisation and even lost their capacity for independent development, making it hard for them to access the track of modernisation. Certain countries have practiced unilateralism, protectionism and hegemonism, hampering economic globalisation and threatening a global economic recession.”

The focus of the BRI is precisely on contributing to a form of globalisation that generates common prosperity, that brings benefits particularly to developing countries. As such, “most participants are developing countries, all seeking to leverage collective strengths to address challenges such as inadequate infrastructure, lagging industrial development, limited industrialisation, insufficient capital and technology, and a shortage of skilled workers, to promote their own economic and social development.”

Hence the BRI stands in defence of greater globalisation and economic integration, but in a form that is beneficial to all. It stands against certain concepts that have become popular in the West recently – “decoupling” and “derisking” – which seek to impede global cooperation, exchanges and mutual learning. “In a world full of uncertainties and instabilities, all countries should urgently bridge differences through dialogue, oppose rifts with unity, and promote development through cooperation.”

Especially in the last few years, the BRI has embraced green and low-carbon development, “emphasising respecting and protecting nature and following its laws, and respecting the right of all parties to pursue sustainable and eco-friendly growth.” Hence for example China pledged in 2021 to stop building new coal-fired power stations overseas, and is actively building financing mechanisms to encourage sustainable energy and infrastructure.

The document also discusses progress made under the BRI in numerous fields that are largely overlooked, for example cooperation in public health, digital governance and people-to-people exchanges and tourism.

All in all, “the BRI has become the world’s largest platform for international cooperation” and is providing a springboard for progress and prosperity throughout the world.

We publish the full text of the white paper below. It can also be downloaded as a PDF. It was first published in English on Xinhua.

Note that Friends of Socialist China and the International Manifesto Group are holding a webinar – Building a multipolar world: Ten years of the Belt and Road Initiative – on Saturday 4 November 2023, featuring an array of interesting speakers including Erik Solheim (President, Green Belt and Road Institute), Professor Zhang Weiwei (Director, China Institute, Fudan University), Li Jingjing (Journalist and political commentator, CGTN), Professor Seyed Mohammad Marandi (Political analyst, Iran), Senator Mushahid Hussain (Chair, Pakistan-China Institute), Martin Jacques (Author, When China Rules the World), Fred M’membe (President, Socialist Party Zambia), Camila Escalante (Editor, Kawsachun News), Keith Bennett (Co-editor, Friends of Socialist China) and Radhika Desai (Convenor, International Manifesto Group). Registration is free via Eventbrite.

The Belt and Road Initiative: A Key Pillar of the Global Community of Shared Future

The State Council Information Office of the People’s Republic of China                                                        

Preamble

Over two millennia ago, inspired by a sincere wish for friendship, our ancestors travelled across grasslands and deserts to create a land Silk Road connecting Asia, Europe and Africa, leading the world into an era of extensive cultural exchanges. More than 1,000 years ago, our ancestors set sail and braved the waves to open a maritime Silk Road linking the East and the West, beginning a new phase of closer communication among peoples.

Spanning thousands of miles and years, the ancient silk routes were not only routes for trade but also roads for cultural exchanges. They made a great contribution to human progress. In the 1980s, the United Nations and some countries began to envisage the Eurasian Land Bridge, the Silk Road Initiative, and other plans, reflecting a common wish to engage in communication and cooperation.

In March 2013, President Xi Jinping proposed the vision of a global community of shared future; in September and October that year, he raised the initiatives of joining with others to build a Silk Road Economic Belt and a 21st Century Maritime Silk Road (Belt and Road Initiative, or BRI). The Belt and Road Initiative is a creative development that takes on and carries forward the spirit of the ancient silk routes – two of the great achievements in human history and civilization. It enriches the ancient spirit with the zeitgeist and culture of the new era, and provides a platform for building a global community of shared future.

Continue reading The Belt and Road Initiative: A Key Pillar of the Global Community of Shared Future

Putin: the Belt and Road Initiative is a truly important idea, facilitating a fairer, multipolar world

At the opening ceremony of the Third Belt and Road Forum for International Cooperation, held in Beijing’s Great Hall of the People on October 18, the speech of Chinese President Xi Jinping was immediately followed by that of his Russian counterpart, Vladimir Putin.

Noting that the forum was being held on the tenth anniversary of President Xi proposing the Belt and Road Initiative, President Putin described the BRI, as “a truly important and global idea that is spearheaded into the future, towards creating a fairer multipolar world and system of relations,” adding:

“We pointed out on numerous occasions that Russia and China, just as the majority of other countries, share the striving for equal and mutually beneficial cooperation towards universal, sustainable and lasting economic progress and social welfare based on respect for civilisational diversity and the right of every state to its own development model.”

Putin asserted that BRI is based on these fundamental principles and therefore fits very well with the integration processes underway in many regions:

“It also rhymes with our idea of creating a greater Eurasian partnership as an area of cooperation and interaction among like-minded nations and the alignment of various integration processes, such as the Belt and Road Initiative, the Shanghai Cooperation Organisation (SCO), the Association of Southeast Asian Nations (ASEAN) and the Eurasian Economic Union (EAEU), which Russia is successfully developing with its post-Soviet partners. It is notable that Russia and China have reached a practical agreement on a concurrent and coordinated development of the EAEU and the Belt and Road Initiative.”

President Putin took the opportunity to outline the various projects and plans of the Russian Federation in this regard, such as work to connect Russian ports on the Baltic and Arctic seas to ports in the Persian Gulf and the Indian Ocean, including seamless rail connectivity from Murmansk in the far northwest of Russia to the Iranian port city of Bandar Abbas on the Persian Gulf.

Concluding, President Putin noted that, “when a major project is launched, everybody hopes that it will succeed. However, to be honest, it is difficult to expect that all its elements will be successful, considering the global scale of the initiative advanced by the President of the People’s Republic of China 10 years ago. Our Chinese friends are working successfully. We are happy for them, because this also concerns many of us.”

His speech was followed by those of the Presidents of Kazakhstan, Indonesia and Argentina, the Prime Minister of Ethiopia, and the Secretary-General of the United Nations.

The following is the full text of President Putin’s speech. It was originally published on the official website of the President of Russia.

President Xi, my dear friend,

Ladies and gentlemen,

First of all, I would like to express gratitude to President of China Xi Jinping for inviting me to the Third Belt and Road Forum for International Cooperation.

The forum is being held on the 10th anniversary of the initiative Mr Xi advanced, a truly important and global idea that is spearheaded into the future, towards creating a fairer multipolar world and system of relations. It is a global plan, without a doubt.

I agree with the President of China that the Belt and Road idea ties in logically with multilateral efforts to promote creative and constructive interaction throughout the international community.

We pointed out on numerous occasions that Russia and China, just as the majority of other countries, share the striving for equal and mutually beneficial cooperation towards universal, sustainable and lasting economic progress and social welfare based on respect for the civilisational diversity and the right of every state to its own development model.

The Belt and Road initiative is based on these fundamental principles and fits in very well with the integration processes that are ongoing in many regions. It also corresponds to the Russian ideas of creating an integration contour that will ensure the freedom of trade, investment and employment and will be complemented with interconnected infrastructure.

Continue reading Putin: the Belt and Road Initiative is a truly important idea, facilitating a fairer, multipolar world

Building an open, inclusive and interconnected world for common development

Chinese President Xi Jinping delivered a keynote speech at the opening ceremony of the Third Belt and Road Forum for International Cooperation (BRF III) at Beijing’s Great Hall of the People on October 18, 2023.

The Chinese leader was joined at the opening ceremony by state leaders from more than 20 countries, including:

  • President of Argentina Alberto Fernández;
  • President of Chile Gabriel Boric;
  • President of the Republic of Congo Denis Sassou-N’Guesso;
  • President of Indonesia Joko Widodo;
  • President of Kazakhstan Kassym-Jomart Tokayev;
  • President of Kenya William Ruto;
  • President of Laos Thongloun Sisoulith;
  • President of Mongolia Khurelsukh Ukhna;
  • President of Russia Vladimir Putin;
  • President of Serbia Aleksandar Vučić;
  • President of Sri Lanka Ranil Wickremesinghe;
  • National Leader of the Turkmen people and Chairman of the Halk Maslahaty of Turkmenistan Gurbanguly Berdimuhamedov;
  • President of Uzbekistan Shavkat Mirziyoyev;
  • President of Vietnam Vo Van Thuong;
  • Prime Minister of Cambodia Hun Manet;
  • Prime Minister of Egypt Mostafa Madbouly;
  • Prime Minister of Ethiopia Abiy Ahmed Ali;
  • Prime Minister of Hungary Viktor Orbán;
  • Prime Minister of Mozambique Adriano Afonso Maleiane;
  • Prime Minister of Pakistan Anwaar-ul-Haq Kakar;
  • Prime Minister of Papua New Guinea James Marape;
  • Prime Minister of Thailand Srettha Thavisin;
  • Vice President of Nigeria Kashim Shettima;
  • Special Representative of the President and Ruler of Ras Al Khaimah (RAK) of the United Arab Emirates (UAE) Sheikh Saud Bin Saqr Al Qasimi;
  • Special Representative of the President and former Prime Minister of France Jean-Pierre Raffarin;
  • and Senior Representative of the Prime Minister and Minister of Development of Greece Kostas Skrekas, as well as heads of international organisations, including United Nations Secretary-General António Guterres and President of the New Development Bank (NDB) Dilma Rousseff.

Presidents Vladimir Putin, Kassym-Jomart Tokayev, Joko Widodo, and Alberto Fernández, Prime Minister Abiy Ahmed Ali, and Secretary-General António Guterres also delivered speeches at the opening ceremony.

Under the title, ‘Building an Open, Inclusive and Interconnected World for Common Development’, and noting that this year marks the tenth anniversary of the Belt and Road Initiative (BRI), President Xi said that it draws, “inspiration from the ancient Silk Road and, focusing on enhancing connectivity, aims to enhance policy, infrastructure, trade, financial and people-to-people connectivity, inject new impetus into the global economy, create new opportunities for global development, and build a new platform for international economic cooperation.

“Belt and Road cooperation has extended from the Eurasian continent to Africa and Latin America. More than 150 countries and over 30 international organisations have signed Belt and Road cooperation documents.”

Belt and Road cooperation, he noted, has progressed from ‘sketching the outline’ to ‘filling in the details’, and blueprints have been turned into real projects. A large number of signature projects and ‘small yet smart’ people-centred programs have been launched.

“Belt and Road cooperation has expanded from physical connectivity to institutional connectivity. Important guiding principles for high-quality Belt and Road cooperation have been laid down, which include the principle of ‘planning together, building together, and benefiting together,’ the philosophy of open, green and clean cooperation, and the goal of pursuing high-standard, people-centred and sustainable cooperation.

Over these 10 years, we have endeavoured to build a global network of connectivity consisting of economic corridors, international transportation routes and information highway, as well as railways, roads, airports, ports, pipelines and power grids. Covering the land, the ocean, the sky and the Internet, this network has boosted the flow of goods, capital, technologies and human resources among countries involved and injected fresh vitality into the millennia-old Silk Road in the new era.

Hydro, wind and solar energy based power plants, oil and gas pipelines, and the increasingly smart and interconnected power transmission networks are removing the development bottleneck caused by energy shortage and fulfilling the dream of developing countries to achieve green and low-carbon development. These energy projects have become the oasis and lighthouse for sustainable development in the new era.”

The Chinese leader went on to note that, “when COVID-19 struck, the Belt and Road became a life-saving road. China provided more than 10 billion masks and 2.3 billion doses of vaccines to other countries and jointly produced vaccines with over 20 countries, making a special contribution to BRI partners’ efforts in fighting COVID-19. And China also received valuable support from more than 70 countries when it was hit hard by the pandemic.

“Belt and Road cooperation is based on the principle of ‘planning together, building together, and benefiting together.’ It transcends differences between civilisations, cultures, social systems, and stages of development. It has opened up a new path for exchanges among countries, and established a new framework for international cooperation. Indeed, the BRI represents humanity’s joint pursuit of development for all.”

He also stressed that:

“We have learned that humankind is a community with a shared future. China can only do well when the world is doing well. When China does well, the world will get even better… We have learned that win-win cooperation is the sure way to success in launching major initiatives that benefit all. When countries embrace cooperation and act in concert, a deep chasm can be turned into a thoroughfare, land-locked countries can become land-linked, and a place of underdevelopment can be transformed into a land of prosperity. Countries taking the lead in economic development should give a hand to their partners who are yet to catch up. We should all treat each other as friends and partners, respect and support each other, and help each other succeed… Viewing others’ development as a threat or taking economic interdependence as a risk will not make one’s own life better or speed up one’s development… Belt and Road cooperation is based on the belief that flame runs high when everyone adds wood to the fire and that mutual support can get us far. Such cooperation seeks to deliver a good life not only to people of just one country, but to people in other countries as well… Ideological confrontation, geopolitical rivalry and bloc politics are not a choice for us. What we stand against are unilateral sanctions, economic coercion and decoupling and supply chain disruption… We need to remain clear-eyed and undisturbed in a volatile world, and we need to be keenly aware of our responsibility for history, for the people and for the world. We should jointly address various global risks and challenges, and deliver a bright future of peace, development, cooperation and mutual benefit for future generations… The modernisation we are pursuing is not for China alone, but for all developing countries through our joint efforts. Global modernisation should be pursued to enhance peaceful development and mutually beneficial cooperation and bring prosperity to all.”

President Xi also outlined eight major steps that China will take to support the joint pursuit of high-quality Belt and Road cooperation.

The following is the full text of President Xi’s speech. It was originally published on the website of the Chinese Foreign Ministry.

Your Excellencies Heads of State and Government,
Heads of International Organizations,
Representatives of Various Countries,
Distinguished Guests,
Ladies and Gentlemen,
Friends,

Today, we are meeting here for the opening ceremony of the Third Belt and Road Forum for International Cooperation (BRF). On behalf of the Chinese government and Chinese people and in my own name, I wish to extend a very warm welcome to you all!

This year marks the 10th anniversary of the Belt and Road Initiative (BRI) I proposed. The BRI, drawing inspiration from the ancient Silk Road and focusing on enhancing connectivity, aims to enhance policy, infrastructure, trade, financial and people-to-people connectivity, inject new impetus into the global economy, create new opportunities for global development, and build a new platform for international economic cooperation.

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