The Ethio-Chinese Business Forum kicks has kicked off in Addis Ababa, Ethiopia’s capital and end on November 25.
The conference seeks to cement the Ethiopia – China relations that have mutually benefited both nations since the inception of their partnership. Both have collaborated in areas of trade, agriculture and manufacturing activities which have elevated the economic performance and outlook of Ethiopia, Africa’s fastest growing economy.
Chinese companies are expected to visit Ethiopia’s industrial parks on the top of discussing with Investment Commission, Ministry of Trade and Industry as well as Ministry of Foreign Affairs on ways of enhancing economic ties between the two countries. Chinese investors have set up such facilities to improve productivity and performance of the industrial sector.
The country has borrowed much from the East Asian powerhouse that has won the title the “China of Africa.” With the high potential, it possesses and resources, China has established various businesses in the economy of Ethiopia with its foreign investment amounting to over $4 billion in 2018.
China is the highest foreign contributor to Ethiopia with India and the U.S trailing behind in the pecking order. However, U.S companies have sought to increase their print in the Horn of Africa country by seizing the untapped potential for business opportunities, shaking the influence of Chinese investors in Ethiopia. Other foreign contributors including Turkish and Germans have expressed their interest in having a share of the pie.
As the 117th largest exporter in the world, China top’s Ethiopia’s export destination with $424 million export value, beating the United States with a $193 million margin to record $231 million in export value. Ethiopia’s top import origin is China with $5.46 billion, with the United States following closely at $1.54 billion, India in the third slot with $1.3 billion, as sourced from atlas.media.
In a similar conference held this year, China Council for the Promotion of International Trade (CCPIT) Vice Chairman Zhang Wei, made proposals with regard to boosting Sino-Ethiopian economic and trade cooperation including expansion of bilateral trade and the imports of Ethiopia’s quality agricultural products to the Chinese market.