Beijing Hosts Big Africa Summit as West Watches

BEIJING -- China will strike a number of agreements on trade, investment, aid and debt forgiveness when it hosts the heads of 48 African countries next month in what is being billed as the biggest summit China has held in modern history, according to the Chinese official heading the effort.

"The main objective of this summit is to establish a new type of partnership between China and African countries against changing circumstances," Assistant Foreign Minister Zhai Jun said yesterday in an interview.

The gathering in Beijing, dubbed the Forum on China-Africa Cooperation, is set for Nov. 3 to 5. It comes as many African leaders seek help to repair their strife-torn countries and China looks for new resources to meet its growing energy needs, as well as new markets for its own emerging domestic companies. It caps growing ties between the two regions over the past several years that have sparked some ire in the West.

Mr. Zhai defended China's human-rights record in Africa and said China isn't interested merely in striking sweetheart deals to tap into Africa's deep oil reserves. Rather, he said, China is eager to raise living standards in the world's poorest continent, and feels it can share lessons and opportunities from its own development.

"Africa is rich in resources and has a big market. We are pursuing our relations by seeking mutual benefits, in an open and transparent manner. China has nothing to hide," Mr. Zhai said.

Last year, China imported 38.4 million tons of oil from Africa, or about 771,000 barrels a day. Mr. Zhai pointed out that is less than one-third of the amount some big Western nations receive from Africa. The U.S., for example, imports about 2.4 million barrels a day from Africa, more than it gets from the Middle East.

Western oil companies fear their Chinese competitors are able to use government backing for aid deals and loans to secure preferential treatment. China says that in terms of business, its deals are purely commercial and transparent. So far, China's companies have a much smaller presence than other international players, but they are looking to expand to feed China's fast-growing needs for fuel.

Mr. Zhai said there would be further cooperation on energy. "For many African countries, energy is a pillar industry. Many nations want to transform their oil into a strength through our cooperation. We are helping them meet such a goal," Mr. Zhai said.

Agreements in several key areas are expected to be announced by China's President Hu Jintao and signed during the meeting. To encourage more imports from Africa, an expansion of the number of African goods that would be subject to zero-percent tariffs in China is likely to be included in the pacts. Currently, some 190 goods, from 28 African countries, are exempt from tariffs. There will also be pledges for more aid, including training in everything from medicine to agriculture, and investment in Africa. Mr. Zhai said the government is actively encouraging Chinese companies to expand their business in Africa.

While he didn't disclose how much in loans African countries owe China, he said China would announce another round of debt cancellation. He said China's loans were a small proportion of the $284 billion in debt Africa owes globally. China has already forgiven some $10 billion of debt in yuan-denominated loans, mostly from infrastructure projects, he said.

Last year, the Paris Club of big Western lenders forgave roughly $50 billion of African debt. Some critics are worried that China is giving fresh loans to regimes that still don't have the ability to spend the money responsibly or fight corruption, and that such waste will only send those nations back into a cycle of carrying loans they can't pay off. Increasingly, Western nations are seeking to tie aid with specific guarantees from governments on fiscal and social policy -- a policy China rejects.

"We don't want the development models, ideologies and values of other countries foisted on our country," Mr. Zhai said. "Likewise we don't impose our development mode, ideology and values on other countries -- not least on African countries. So, it has been the consistent position of the Chinese government when conducting aid with African countries that we do not attach conditions."

The summit marks 50 years since China first established diplomatic ties with Egypt, the first African nation to reject the island of Taiwan's claim as the sovereign over mainland China, then a deeply ideological, but poor, Communist state. China aggressively wooed African states with help and aid to convince them to switch sides.

Now, only five African countries, including Swaziland and Malawi, recognize Taiwan. Meanwhile, China has emerged as one of the biggest economies in the world with its own brand of capitalist authoritarianism that has transformed the relationship with Africa from a largely political one into a mostly commercial one.

Beijing will pull out all the stops to impress the delegations with its rapid economic growth, arranging trips to the Great Wall, and showing off the signs of its modern wealth, such as the commercial capital Shanghai. It will coordinate some 1,500 delegates and another 1,030 journalists from Africa, China and elsewhere. "Perhaps they will bring some lessons home when they have seen the changes that have taken place in China," Mr. Zhai said.

This comes as some in the U.S. and elsewhere are casting an increasingly wary eye at China's growing involvement in Africa, most recently in Sudan, where China has large oil interests. Mr. Zhai rejected allegations that China isn't doing enough to stem the violence in Darfur. "I believe the Darfur issue and China's economic and energy cooperation and trade are two separate issues. It is not the case that because of the good relationship and cooperation with the Sudanese government that we're turning a blind eye to the situation in Darfur."

He criticized U.S. policy. "The United States has unilateral sanctions -- has it been useful?" he asked.