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Zero-tariff policy promotes win-win agricultural cooperation between China and Africa

12-12

Recently, China has officially granted 100% tariff-free treatment to products from all its established least developed countries, including 33 African countries. This will not only facilitate the flow of high-quality African agricultural products from African farms to Chinese tables, but also further drive industrial development in Africa and promote poverty reduction. However, it should be noted that this policy is not a unilateral aid policy for Africa, but a win-win cooperation between China and Africa.

For many African countries, agriculture is the foundation of the national economy, and agricultural transformation and upgrading is an effective way to alleviate poverty. Over the past few decades, numerous empirical studies have shown that economic growth in the agricultural sector is a major contributor to increased incomes for the poor, and its effect on poverty reduction is more than double that of growth in any other sector. The African continent, especially sub-Saharan Africa, remains predominantly agricultural. In most countries, agriculture accounts for more than 30% of GDP, and agricultural employment accounts for more than 70% of total employment. Moreover, the majority of the population lives in rural areas, making agriculture the lifeblood of these countries' socio-economic systems. However, Africa's poverty is closely related to the low efficiency and limited added value of its agriculture.

Increasing imports of agricultural products from Africa is just the tip of the iceberg in terms of China-Africa agricultural cooperation. In recent years, under the frameworks of the Belt and Road Initiative and the Forum on China-Africa Cooperation, China and Africa have continuously deepened agricultural technological cooperation. China has established 24 agricultural technology demonstration centers in Africa, promoting more than 300 advanced and applicable technologies, such as dense corn planting, leading to an average increase in crop yields of 30% to 60% in related regions, significantly improving the level of agricultural development in African countries and benefiting more than one million smallholder farmers. “China has played an important role in the modernization of African agriculture.” Rahman Tala Osman, the resident representative of the African Union Mission to China, said that China's technological advantages and policy expertise provide African countries with easy-to-understand and easy-to-learn experiences, promoting the sustainable development of African agricultural production while increasing farmers' income.

Furthermore, China-Africa agricultural cooperation is not limited to production and import links, but also includes extensive cooperation between the two sides in agriculture, services, and other sectors throughout the entire process. Currently, a large number of Chinese companies have achieved "going global" through this, finding new "blue oceans" for development. China's labor-intensive, intensive farming techniques provide a reference for Africa to overcome capital constraints and technological bottlenecks. Meanwhile, manual and semi-manual agricultural machinery and tools, once widely used in China, also have good market prospects in Africa. I know an Ethiopian deputy minister who, although not in charge of agriculture, specially showed me a video of a Chinese mini-tractor operating on his phone, excitedly saying that this is what Ethiopia needs and hoping I could help find the model and contact the supplier for import. The vast demand generated by the transformation and upgrading of African agriculture can be a direction for Chinese companies to consider.

China-Africa agricultural cooperation is still in a stage of transformation and upgrading, and both sides have broad space for mutually beneficial cooperation. Many agricultural products exported from Africa have mainly been exported as raw materials for many years, resulting in very limited added value and profit. For example, Ghana is the world's second-largest exporter of cocoa, but the world's well-known chocolate brands mostly come from Western countries such as Belgium, Switzerland, and the United States. China has already launched cooperation projects such as "One Country, One Product: Global Action for Green Development of Specialty Agricultural Products" in African countries in cooperation with the Food and Agriculture Organization of the United Nations. This is expected to create "African products" with higher added value through bilateral and multilateral cooperation. Accordingly, the demand for exhibitions, advertising services, and food processing generated by the project will also provide further opportunities for cooperation and business improvement for Chinese companies in Africa.

The vigorous development of China-Africa agricultural cooperation in recent years has brought huge poverty reduction effects to the local area. The mutually beneficial, complementary, win-win, and even multi-win agricultural cooperation model between China and Africa, driven by technological innovation and cooperation, has become a vivid practice and successful case of China fulfilling its responsibilities as a major country, contributing to global poverty reduction efforts, and narrowing the global development gap. Now, the huge potential and benefits of China-Africa agricultural cooperation have not yet been fully unleashed. As cooperation between the two sides deepens in the future, agricultural transformation and upgrading is expected to become a new highlight benefiting African countries and a solid foundation for building a China-Africa community with a shared future. (Article reprinted from Global Times, Author: Zhu Ming, Director of the Regional Cooperation Office of the Shanghai Institutes for International Studies, Visiting Researcher at the Center for African Chinese Studies, University of Johannesburg, South Africa)

Interview with the Nigerian Trade Commissioner to China: Cooperation for mutual benefit, continuing to expand the China-Nigeria trade basket

Helping companies expand into the North American market, the dates for the 2025 Las Vegas International Auto Parts (AAPEX SHOW) and Custom Car Show (SEMA SHOW) have been set!

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Zhenghe Exhibition visited Nigerian automotive technology and other industry associations to promote cooperation on the 2025 Nigeria (Lagos) China Goods Expo.

From January 3rd to 6th, 2025, representatives of Zhenghe Exhibition's overseas staff successively visited the secretariat of the Nigerian Automotive Technicians Association (NATA), the Amalgamated Union of Automobile Motor Mechanics and Technicians of Nigeria (AUOMMATON), and the Motor Mechanics and Technicians Association of Nigeria (MOMTAN). This visit primarily focused on in-depth discussions and exchanges regarding cooperation for the 2025 Nigeria (Lagos) China Commodities Fair. During the meetings, representatives of Zhenghe Exhibition's overseas staff introduced the basic situation of the Nigeria (Lagos) China Commodities Fair to the heads of the business associations. The heads of the various business associations acknowledged the significant achievements made by the exhibition in recent years. During the discussions, the three industry association leaders provided detailed information about their respective associations. As leaders and promoters of associations related to the automotive industry in Nigeria, these three associations have a wide influence in Nigeria and even West Africa. Against the backdrop of continuously deepening and upgrading China-Africa cooperation, they expressed high expectations for actively promoting trade cooperation between Nigeria and China in the automotive industry. The heads of the associations also stated their willingness to work with Zhenghe International Exhibition to jointly promote the continuous development of the Nigeria (Lagos) China Commodities Fair, uniformly organize member units to participate in the exhibition, and conduct one-on-one matchmaking discussions with Chinese exhibitors. As Africa's second-largest economy and most populous country, Nigeria has a huge demand for automotive and auto parts products, largely relying on imports. In Nigeria, over 90% of Nigerians tend to choose 'tokunbo' (used cars), which makes the 'tokunbo' distribution business very profitable in Nigeria. With the Nigerian government relaxing age restrictions on imported used cars, the volume of used car imports will further increase. Consequently, the auto parts market, both upstream and downstream of Nigeria's used car industry chain, will also see more opportunities. After years of operation by Chinese automakers, Chinese cars have established considerable 'prestige' in Nigeria. At the same time, the scarcity of local car repair outlets and the high cost of spare parts in Nigeria also indicate immense potential for Chinese auto parts exports to the Nigerian market.

01-09

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Deep cultivation of fertile soil ensures abundant blossoms - The 2025 Nigeria Lagos China Commodities Fair embarks on a new journey!

Nigeria is an important trade partner and investment destination for China in Africa, and also China's largest contracted project market in Africa. In 2023, the new contract value for Chinese enterprises' contracted engineering business in Nigeria reached 10.45 billion USD, with a turnover of 3.98 billion USD. On September 3, 2024, China and Nigeria issued a joint statement announcing the establishment of a comprehensive strategic partnership, promoting the building of a high-level China-Nigeria community with a shared future, and explicitly strengthening cooperation in areas such as infrastructure construction. Chinese Products are Hot-selling in the Nigerian Market under the Framework of China-Africa Cooperation According to data from the General Administration of Customs, from January to July 2024, China's imports and exports with Africa totaled 1.19 trillion CNY, a year-on-year increase of 5.5%. In 2023, China-Africa trade reached a historical peak of 282.1 billion USD, a year-on-year increase of 1.5%, demonstrating the strong resilience of China-Africa trade. Among them, trade between Nigeria and China is booming. In 2023, the total trade volume between China and Nigeria soared to an astonishing 281.777 billion USD, with China's exports to Nigeria reaching 172.469 billion USD, highlighting the immense appeal of Chinese products in the Nigerian market. The main hot-selling products fall into the following major categories: 1. Electromechanical Products and Agricultural Machinery Products From efficient power generation equipment to reliable electrical products, China's electromechanical products have continuously met Nigeria's growing needs and directly promoted the rapid development of its infrastructure construction. In addition, hardware tools, power tools, construction machinery, and other electromechanical products are also very popular. The import of agricultural machinery, food machinery, and packaging machinery has adapted to the development needs of Nigeria's agriculture and food processing industries. At the same time, industrial manufacturing-related electromechanical products such as machine tools provide strong support for Nigeria's industrial development. 2. Textile and Garment Products Nigeria is Africa's most populous country, with a current population exceeding 227 million, leading to huge domestic market demand. Textiles and clothing are major export items from China to Nigeria, accounting for 15% of China's total exports to Nigeria. Statistics show that in 2022, Nigeria's textile and garment imports reached 110 million USD, with China being its largest source country, accounting for approximately 47% of the total imports, almost half. As Nigeria's urbanization accelerates, more young people are eager to express themselves. In terms of fabrics, wax prints with unique craftsmanship and patterns, and brightly colored African jacquard fabrics are popular; for finished garments, shirts and sportswear with Chinese cultural elements or designs that align with local aesthetic preferences are highly sought after; regarding accessories, exquisite embroidery and unique buttons could also be among the featured products. 3. Auto Parts Products Nigeria is considered Africa's largest potential automotive market. In Nigeria, over 90% of Nigerians prefer "tokunbo" (used cars), making the "tokunbo" distribution business very profitable in Nigeria. With the Nigerian government relaxing age restrictions on imported used cars, the volume of used car imports will further increase. Therefore, the auto parts market, both upstream and downstream of Nigeria's used car industry chain, will also see more opportunities. 4. Wigs and Hair Products Eight out of every 10 Nigerian women wear wigs. Nigerian women have a particular preference for wigs and hair extensions, creating a substantial market for hair products of various sizes and prices. Furthermore, there is also significant demand for hair care products such as shampoos, relaxers, hair creams, and detangling brushes. 5. Building Materials, Hardware Accessories With the acceleration of urbanization and the continuous advancement of infrastructure construction in Africa, the African building materials and hardware market is showing vigorous development. 70% of hardware products in the African market rely on imports. The demand for hardware products is mainly concentrated in saw blades, steel pipes, and various types of mechanical hardware. From "Whether to Go" to "How to Go," Enterprises "Have a Soft Spot" for the African Market From surveying the Nigerian market in 2002 to bringing the Nigeria (Lagos) China Commodities Expo to the public's attention in 2007. In the blink of an eye, Zhenghe Exhibition has been organizing the Nigeria (Lagos) China Commodities Expo for over 17 years. Throughout the 53 years of China-Nigeria diplomatic relations, Zhenghe Exhibition has made every effort to actively assist in deepening the economic and trade relations between enterprises of both countries! Over these 17 years, we have organized thousands of enterprises from over 20 provinces and cities, including Hebei, Jilin, Liaoning, Shandong, Fujian, Zhejiang, Henan, Hubei, Hunan, Jiangsu, Anhui, Guangdong, Beijing, Shanghai, Tianjin, and Chongqing, to participate in the exhibition. Exhibits covered various fields such as agricultural machinery, vehicles and parts, construction machinery, hardware building materials, power equipment and new energy products, textiles and garments, beauty products, and daily necessities. With the strong support of the nation, we worked together with the participating enterprises to overcome difficulties, enabling each exhibiting enterprise to take root, blossom, and bear fruit in Nigeria! According to incomplete statistics, the 2024 Nigeria Lagos China Commodities Expo achieved an intended transaction volume of 82 million USD on-site, with many popular products signed on the spot. 2025, Embarking on a New Journey In nearly two decades of deeply cultivating Africa, we have witnessed the beautiful scenery and unique charm of the African continent, and even more strongly felt the African people's fervent aspiration and passionate pursuit of a better life. We have also jointly witnessed the transformation of Chinese enterprises in Africa from scratch to growth, from daily necessities to steel, aluminum, and mechanical equipment. The African market has demonstrated unprecedented investment potential and development opportunities. At this critical period in the development of China-Africa relations, Zhenghe Exhibition will actively combine our "first-mover advantage" with "African endowments," act as a bridge, and facilitate more "Made in China" products entering and becoming popular in Africa.

12-06

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Helping companies expand into the North American market, the dates for the 2025 Las Vegas International Auto Parts (AAPEX SHOW) and Custom Car Show (SEMA SHOW) have been set!