The Research On Equilibrium Of China-Africa Economic And Trade Relations

On the fifth Ministerial Conference of Forum on China-Africa Cooperation, Hu Jintao, the Chairman, pointed out that the two sides have been deepening pragmatic cooperation, and joining hands to cope with the international financial crisis since2006when China and Africa decided to establish a new strategic partnership. The two sets of pragmatic cooperation-the Eight Measures-launched in the Beijing Summit and the Fourth Ministerial conference have been effectively implemented. Then a full three-dimensional system of cooperation in China-Africa has been set up. The scale of bilateral trade and China’s investment in Africa has expanded. China-aided AU Conference Center has been completed and transferred, and Chinese aid to Africa grew steadily. At the same time, however, the trade imbalance between China and Africa are increasingly prominent. According to the statistics of World Bank, the bilateral trade reached$166.3billion in2011, of which the amount of China’s exports to Africa was$73.1billion, and imported$93.2billion from Africa. China’s trade deficit was$20.1billion, increasing183%.In the post financial crisis period, the unstable and uncertain factors increased significantly in the international environment, and the impacts of the international financial crisis are still existing. Global economic imbalance is characteristic of the huge trade deficit of the United States who represents developed countries and the enormous trade surplus of China on behalf of the emerging market economies. Historically, the imbalance between China and Africa, even the global economic imbalance is not new, but has already become normal during economic development. It is the inevitable result of international division of labor under the background of economic globalization.The imbalance of China-Africa economic and trade will be analyzed in support of the trade theories, investment theories and the theories of foreign aid, by historical analysis, normative analysis and quantitative analysis. Combination with the background of China-Africa economic and trade cooperation, the author takes the analysis at home and abroad for reference. The author systematically analyzes the topic of China-Africa economic and trade imbalance. Then analyze the political and economic factors on China-Africa economic and trade imbalance and its positive and negative effects. Finally, on the basis of previous analysis, this paper ends with the prospect of China-Africa economic and trade imbalance by analyzing the long-term trends of the complimentary structure between the two sides and imbalanced economic development in Africa, then draws a conclusion and makes relevant suggestions and approaches to the adjustment of the imbalance.This article is divided into six main parts:Part Ⅰ:Analyzing the background of the economic globalization and global economic imbalance, determining the research significance of China-Africa economic and trade imbalance, and analyzing the current research at home and abroad. Meanwhile, summarizing the basic structure, main innovation and shortcomings.Part Ⅱ:Summarizing the relevant trade theories, investment theories and foreign aid theories, which set up the theoretical basis.Part Ⅲ:Along with the development of China-Africa economic and trade relations, analyzing their historical imbalance in the early stage of development, the transition period and the period of rapid development. Then with the current imbalance in21st century, pointing out the main characteristics of imbalance which include the geographical imbalance, import and export imbalance, structural imbalance of trade goods.Part IV:Mainly summarizing the political and economic factors on China-Africa economic and trade imbalance. Among them, the difference of economic development is an important economic reasons for the imbalance. The imbalanced distribution of the production factors is the main economic cause to the imbalance. FDI affects the imbalance by export promotion and substitution. The aid to Africa affects the imbalance through the domestic economy. Political factors mainly include the trade policies in China and Africa, internal divergent interests in Africa and the interference of Western powers.Part Ⅴ:Mainly analyzing the positive or negative influences of China-Africa economic and trade imbalance on their macroeconomic, industrial structure, financial security and the security of national defense and the society.Part Ⅵ:First, making a prospect of China-Africa economic and trade imbalance by analyzing the long-term trends of their complementary structure and imbalanced economic development. Then followed by some relevant suggestions and approaches to the adjustment of the imbalance. In the last sector, giving the overall conclusion that economic imbalance (trade imbalance) in the context of economic globalization is the inevitable result of the reallocation of production elements and internationally inter-industry transfer. The world economy is a dynamic process between imbalance and short-term balance under certain adjustments.