At the three-yearly Forum on China-Africa Cooperation (FOCAC) Summit, held on 4-6 September in Beijing, Chinese President Xi Jinping announced a substantial financial commitment of $51 billion to Africa in loans, investment and aid over the next three years.
Over 50 African heads of state travelled to China for the event, marking the largest delegation ever for a FOCAC forum. As China deepens its ties with Africa through expansive infrastructure projects and economic initiatives, Belgian companies have a unique opportunity to position themselves within this trilateral relationship.
In 1995, China’s exports to Africa only amounted to $1.8 billion, a significantly lower number than the EU’s $45 billion of exports. However, China has increased its manufacturing capacity over the past thirty years, and exports far more to Africa than it imports. In 2023, China exported $170 billion worth of goods to Africa and imported only $100 billion. While China exports a wide variety of goods – manufactured products, agricultural and industrial machinery, cars and vehicles – to Africa, it mainly imports raw materials, such as oil and gas, metals and minerals.
In addition to 30 infrastructure connectivity projects, at the Forum China announced the launching of 30 clean energy projects in Africa, offering to co-operate on nuclear technology and tackle a power deficit that has delayed efforts to industrialize. The summit reaffirmed China’s position as one of Africa’s most important development partners. These growing investments across the African continent open doors for foreign companies, including those from Europe and Belgium, to participate in Africa’s economic transformation.
Opportunities for Belgian companies
Belgium’s historical ties with Africa are deeply rooted in its colonial past, particularly in mid-African countries Congo, Rwanda and Burundi. Despite the often controversial nature of its colonial rule, Belgium retains strong diplomatic, economic, and cultural ties with many African nations. Today, these relationships have evolved, focusing on development aid, business cooperation, and cultural exchange.
Belgian companies seeking to capitalize on the growing China-Africa relationship should focus on the following key sectors:
1. Infrastructure and construction
With China’s heavy investment in Africa’s infrastructure through initiatives like the Belt and Road Initiative (BRI), there are substantial opportunities for Belgian companies with expertise in construction, civil engineering, and logistics. Areas like roads, bridges, railways, and port development align well with Belgium’s established capabilities. Belgian firms can collaborate as contractors or subcontractors, particularly in ports, where Belgium’s expertise in the Port of Antwerp-Bruges, one of the world’s largest ports, forms a competitive advantage.
2. Renewable energy and clean technology
As African countries are pushing for sustainable development and green energy, there is a growing demand for renewable energy projects. Belgian companies with strengths in solar, wind, and hydro energy, as well as energy efficiency technologies, can partner with Chinese and African stakeholders to offer green solutions. Expertise in waste management, water purification, and environmental sustainability is also valuable, especially as African nations prioritize eco-friendly infrastructure.
3. Healthcare and pharmaceuticals
Africa faces significant healthcare challenges, and as China continues to expand its medical investments on the continent, Belgian pharmaceutical companies and healthcare providers can play a key role. Belgian expertise in biotechnology, medical equipment, and pharmaceuticals can help address Africa’s healthcare gaps, especially in disease prevention, medical supply chains, and hospital infrastructure development.
4. Agriculture and Agri-Tech
Agriculture is a major economic sector for many African countries. Belgian companies with advanced agricultural technologies, such as precision farming, irrigation, and food processing, can collaborate with Chinese projects to enhance agricultural productivity in Africa, helping to meet the continent’s food security challenges.
By focusing on these sectors, Belgian companies can effectively tap into the dynamic China-Africa relationship, driving both economic growth and sustainable development. To successfully engage in China-Africa projects, Belgian firms should focus on building strategic partnerships with Chinese companies and governments, leveraging their strengths in innovation and technology. By positioning themselves within this growing economic corridor, Belgian companies can enhance their global presence while contributing to Africa’s development.
Please contact the Belgian-Chinese Chamber of Commerce (BCECC) in case you need more information.