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The shift
in the global power balance towards the East, with a larger
weight being contributed by China, has become the reality of
the day. Being the manufacturing hub of the century, China
has increasingly become a prominent actor in global issues.
From free trade to global warming, from anti-terrorism to
nuclear proliferation, and from human rights issues to
Internet censoring, there seems to be nothing that can be
done without engaging China.
At a time,
when the economies of United States and Europe shattered to
historic low performance and their financial sectors slid to
a complete crash, it was China that appeared to be the
lifesaver with its over two trillion dollars in reserves. In
the recent earthquake that devastated Haiti, China was quick
to arrive there with a helping hand, even before generous
Europe.
In the
defining moment of the climate change conference last
December 2009 in Copenhagen, China was seen as the
detrimental force to ink a consensual and binding climate
accord. Though the conference failed to deliver a binding
global Carbon dioxide emission reduction threshold, it has
nonetheless passed, witnessing China becoming a giant but
poor player in the global arena.
Despite
its strong economy, growing global presence, huge human
capital, increasing technological capability and potent
military capacity, China has been getting its share of blame
from activists of human rights and the free trade movement,
as well as from leaders of civil society organisations,
Internet giants and the West at large.
The causes
for the blame are indeed many. From its closed political
environment to its high rate of corruption and hideous human
right records; from a one party governance system to high
income inequality, as well as high government intervention
in business and the economy; from unendurable Internet
censorship to flawed labour relations; China has plenty in
store as setbacks. The blame has continued to print a hazy
picture on the outstanding economic achievement of the
nation.
Worse is
the quiet and non-interventionist foreign policy of China.
Its motto of independent foreign policy for peace has made
the allegations grow each day the nation fails to employ its
political leverage to stop human sufferings in Sudan, Burma,
North Korea, Chad, Angola, Mozambique, and Zimbabwe.
Furthermore, some analysts believe that the "all-out" and
"no-strings-attached" aid and loans that the country extends
to developing countries, especially those in Africa, has
back-pedalled significant reforms in governance, freedom of
expression, the independent development of the media, civil
society operations, freedom of association and democracy at
large, which liberals have been championing for a long time
now.
China is
being considered by some African governments as an
alterative to the imposing Western nations and their
conditional finance. Considering China as an alternative
seems to get deeply ingrained among African leaders. Not
surprisingly, this popular hype has also taken hold of
ground in Ethiopia, the single largest non-oil economic
partner of China in Africa.
"It is not
only possible but highly probable that the Chinese will take
steps that would widen the window of opportunity for
Africa," said Prime Minister Meles Zenawi on the annual
African economic conference of 2009.
The
involvement of China in the Ethiopian economy is mainly in
the building of public infrastructure, where its companies
undertake transport, telecommunications and power
infrastructure projects. Lately, it has become engaged in
manufacturing, pharmaceuticals, oil exploration, agriculture
and alternative energy sectors.
With an
investment outlay of 960 million dollars between 1992 and
2007 spent by Chinese companies, if we take the Ethiopian
Investment Agency (EIA) numbers for example, China's hold in
Ethiopia is getting firm. Yet, with all the shortcomings of
its "business only" attitude and "non-interference"
policies, there is a fear that Chinese involvement, which
some have even nicknamed the "Chinese Model," will affect
the democratisation process of our nation.
What lies
behind this fear and what shall be done to avoid all the
ill-effects of this eastward friendship needs a deeper look.
The
diplomatic relations between China and Ethiopia, both
culturally rich countries of the planet, have been evident
since Ethiopia's support to the admission of China to the
United Nations, in 1971. The friendship passed through a
handful of milestones, including Emperor Haile Selassie's
visit to China in the 1970s and Meles's recent visit in
1995. Ethiopia co-hosted the second and fifth Forum on
China-Africa Cooperation.
Suffice
Ethiopia's foreign affairs, security policy and strategy
affirmation that Sino-Ethiopian diplomatic relations are
healthy.
However,
Ethiopia has not explored the Chinese market as expected,
although the strategy foresees to enhance the cooperation in
trade, human development, technology transfer and
development finance. The Economic Diplomacy agenda that the
Ethiopian Foreign Ministry has adopted in recent years seems
to be fruitful, as can be seen from the increase in
Sino-Ethiopian bilateral trade volumes from 100 million
dollars in 2002 to 860 million dollars in 2007. However,
this has a negative trade balance hugely biased towards
China, with its exports to Ethiopia amounting to 565 million
dollars. Chinese imports from Ethiopia were at 95 million
dollars in 2007.
The strong
presence of Chinese companies in Ethiopia's economy is felt
in the infrastructure sector. Many Chinese companies and
joint ventures, such as the China Roads and Bridge Company (CRBC),
ZTE, ZPEB, and CNWRHEC are engaged in building
infrastructure from hydroelectric power plants to
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