Congo’s $6 Billion China Accord: Deal of the Century or Africa’s “Great Chinese Takeout”?

March 2nd, 2011 - By TheEditor

"china and the congo"

By Steven Barboza

While Washington is preoccupied with war in Afghanistan and Arab liberation movements, Beijing is feeding its insatiable “Made in China” machine by cranking out mega-deals to develop Africa’s infrastructure in return for rights to grab resources, such as minerals and oil.

Some African leaders compare these resource-for-infrastructure swaps to Marshall Plans — deals big enough to jumpstart economies. But critics in the West say the swaps amount to a “Great Chinese Takeout” or a series of sweetheart deals for the Asian colossus.

China’s biggest bet on the continent is a $6 billion accord with Congo, a country buried in debt but rich in virtually every known mineral, from gold and diamonds to coltan, a key element in cell phones, computer chips, nuclear reactors, and PlayStations. Congo has 80% of the world’s coltan reserves.

In return for rights to extract more than 11 million tons of copper and 620,000 tons of cobalt from Congo mines over 25 years, China has agreed to build 2,000 miles of roads and 1,800 miles of railway tracks, hundreds of schools and health clinics, and two airports.

Though the U.S. already operates huge mining projects in the Congo, Westerners gripe about the so-called “bonanza” from which China stands to profit $42 billion on its initial investment.

“I don’t see the Congress of the United States allocating money for building the Democratic Republic of Congo,” Faida Mitifu, Congo’s ambassador to the U.S., told the Atlanta Post.  “So the Congolese have decided for the first time to rightfully trade their mineral resources in exchange for developing infrastructure in different areas.  I don’t see anything negative about a country wanting to improve its infrastructure.”

By global business standards, this deal may not be the biggest.  Still, it is roughly the equivalent of Congo’s annual national budget: a mere $5.69 billion for one of Africa’s most populous countries, with 68 million people.

Joseph Kabila, Congo’s president, said his ministers identified several infrastructure needs, then he shopped around for help.  Now Chinese-led crews are filling potholes, laying asphalt over dirt roads and generally helping to bring the nation one step closer to the 21st century so Congolese farmers and merchants can deliver their goods to market.

“We are still at the very beginning, but it’s opening jobs for Congolese.  We hope [the deal] will open up greater opportunities in terms of jobs and infrastructure. That will eventually change greatly the lives of the Congolese,” said Mitifu. “Little by little we are eliminating our dependency on imported food.”

She estimated that 70% of workers in new projects will be Congolese, and 30% will be Chinese.

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  • amidou

    1. Blacks should have auto citizenship for the continent of Africa by Law, rights for people of the diaspora: Done already, just check.
    2. Haven't seen one deal yet that has helped Africa in any context: Africa does not need help, and Chinese understand it.
    3. I bet these Congolese politicians were educated in the Chinese School of War or some other military school for what….to systematically dispose of all opposition(genocide)!!! Round and round in circles!! What do you think the Darfur situation is about??? Wrong, they were educated by the CIA and Europeans (and if you know a bit of history, you surely know what type of Europeans educated them: Kollabo we call them).
    4. What do you think the Darfur situation is about??? Oil and split a big country for more US influence where it has none.
    5. Chinese need resources, So what? At least they built something.
    6. From Nigeria to South Africa the continent of Africa is corrupt: Ah ah, do not look very far for corruption, in your own backyard, my friend…
    > All in all thank you people of America for giving us the net.

  • Brutal Honesty

    Haven't seen one deal yet that has helped Africa in any context. Those new roads will lead from the Mining fields to the Cargo Ships. Those hospitals will only be for those employed by the Mining companies and those schools will only teach "security" or basically teach Congolese people that are employed how to keep the Congolese people not employed by those mining companies out!! Really done with this African infrastructure rhetoric. From Nigeria to South Africa the continent of Africa is corrupt….from the systematic selling of their souls to buy European vanities. I bet these Congolese politicians were educated in the Chinese School of War or some other military school for what….to systematically dispose of all opposition(genocide)!!! Round and round in circles!! What do you think the Darfur situation is about??? The Chinese need resources just as we do and the British before us so guess what….Pay Sudanese people to kill Sudanese people. It has nothing to do with ethnicity or culture or race!!

  • micahel b

    People like you perpetuate racism.

    • Mack

      Is this, as you say, "racist"? Apparently it is only when it involves African Americans doing for themselves and their own.

  • A Young

    The United States of America has long had opportunities to do what the Chinese are doing and will continue to do. Call what the Chinese are doing whatever you will. Black African Americans should have(and still can)could have( and still can)and ought to( and still can)participate in Africa's development. We(Black African Americans)should be internationalists in our approach to our economic, political, cultural, and lifestyle. I am not a prognosticator, but we should discontinue our dependence on Caucasians, and do for ourselves. Solely depending on the formerly all mighty dollar is really going to destroy our future. When we were depending on Affirmative Action, New Careers, and Public Service Career Programs, it should have been in the context of the International arena. We should have our own oil tankers, Container ships, and a host of economic development kinds of things. So the Chinese are purportedly going to exploit the Congolese, and other Black African Countries. So, what are WE going to do about it? Whine as we always do, or participate in the International arena(community) as we should be doing.

    • Nick

      Well written. I would say we need to get involve in more things around the world as a group into ourselves not depend on people to do everything for us. Every other ethnic group is capable of doing just that why not the rich African American, the Rich Haitians, Jamaican and all around the globe we need to do great things for our children and grand children or we will always find ourselves sitting in the back and following someone else.

      • Black

        Maybe they should reach out to us also as a symbol to the world that they are accepting us back and providing for our reentry to the continent

  • sharon

    Sorry but China will get what they want but the people of Congo will suffer. Their leaders will gain. 100% of the jobs will be for imported chinese workers as is what's happening all over Africa right now. The Chinese will import their own food and set up business that will outstrip the natives as they don't have the finance behind them.