How the EU should respond to the challenge from China in Africa

The venue for the EU-AU summit in Luanda, the capital of Angola. The 7th EU-AU Summit was held in Luanda, the capital of Angola.Image source: Eva Krafczyk/dpa/picture alliance

 

(Deutsche Welle) The African Union (AU) and the European Union held their seventh summit in Luanda, the capital of Angola, on the theme of "Promoting Peace and Prosperity through Effective Multilateralism." The AU and the EU together represent 82 countries with a population of nearly 2 billion.

"As we all know, the international stage is fraught with uncertainty. Existing international geopolitical norms are being challenged," said Mahmoud Youssouf, Chairperson of the African Union Commission, in a statement ahead of the meeting.

Russia is waging a war on European soil; US President Trump's aggressive tariffs violate World Trade Organization rules; and China is actively expanding into global markets. Meanwhile, Africa faces escalating regional conflicts: Sudan is engulfed in war, and extremist jihadism is spreading in the Sahel region.

Furthermore, parts of Africa are also severely impacted by climate change . "Drought has destroyed people's livelihoods. It's a dangerous combination. People have had to risk crossing the Atlantic and the Mediterranean ," German Chancellor Friedrich Merz said at the summit.

Therefore, Africa and Europe are seeking consensus and cooperation in Angola. As stated in the closing statement, participating countries insisted on establishing a world order "based on international law and effective multilateralism."

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Africa's potential and Europe's dependence

The European Union is Africa's largest trading partner and source of investment. According to European Commission President Ursula von der Leyen, one-third of Africa's exports go to Europe.

Many African countries possess key raw materials needed for Europe's energy transition and industrial development: rare earth elements, copper, cobalt, and lithium. However, competition for these raw materials is fierce, and Africa hopes to avoid unilateral dependence on the European Union.

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“The world is not made up of one or two countries. We cooperate with all countries that are open to us,” said Angolan President Joao Lourenco, the current Chairperson of the African Union. “We are open to the world.”

“We don’t want to hand over the African continent to other countries,” Mertz warned, referring primarily to China, which invests in bridges, ports, and highways in Africa through its Belt and Road Initiative. The newly built airport in Luanda was funded by China.

“After the Angolan civil war ended in 2002, China helped Angola rebuild through loans and infrastructure projects,” Vandre Spellmeier of the German Chamber of Commerce in Angola told Deutsche Welle. He believes that “it’s not too late for the EU to intervene now.” Angola is currently struggling to reduce its huge debt to China.

The US is building railways in Africa to counter China's Belt and Road Initiative.

 
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Create more value locally

“Future cooperation between Africa and Europe should focus on the exchange of knowledge and skills to promote the transformation of local economies in Africa,” Hermine Sam, coordinator of the Southern Program at the German Marshall Fund, told Deutsche Welle. Otherwise, the old vicious cycle will persist, she said: “Raw materials are exported cheaply, but after processing, they are bought back at high prices.”

Olaf Wientzek, head of the Multinational Development Dialogue at the Konrad Adenauer Foundation in Brussels, also sees this as an effective lever. He told Deutsche Welle, "Strengthening local processing capacity is precisely where Europe can score points in its competition with China."

He acknowledged that European procedures are generally more rigorous and slower. "But compared to the Chinese model, Europe hopes to allow for greater economic participation."

"Global Gateway" vs. "Belt and Road Initiative"

The Global Gateway initiative is seen as a move by the European Union to counter China . This investment program supports infrastructure projects through EU financing and private investment.

Within this initiative, a high-profile project is under construction in Angola: the Lobito Corridor railway, which will connect the raw material-producing regions of Angola, the Democratic Republic of Congo, and Zambia with the Atlantic coast. Various types of businesses, ranging from agriculture to logistics, will be established along the route.

This is seen as a model project for the EU. European Commission President Ursula von der Leyen said, "While connecting Africa with global markets, we also support trade within the African continent. I believe this is the best way for African businesses to scale up and prepare for global competition."

German Chancellor Merz supported her statement, saying, "The EU's single market is a success story and the greatest peace process in European history. It is against this backdrop that Germany has supported the Pan-African Free Trade Area from the very beginning."

However, there are also criticisms. “The Global Gateway initiative was conceived without consulting African stakeholders and neglected African priorities,” Sam of the Marshall Fund told Deutsche Welle. She stated that the EU is often criticized for its grand pronouncements but lack of concrete action, “especially compared to China.”

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