South Africa, China want to see the significant trade deficit being narrowed.

By Lehlohonolo Lehana.

President Cyril Ramaphosa hosted Chinese counterpart Xi Jinping for an official state visit, full of pomp and ceremony, on the side of the BRICS summit on Tuesday.

Xi was greeted in Pretoria with a 21-gun salute as the two countries marked 25 years of diplomatic relations.

He arrived in South Africa at midnight on Monday for his fourth state visit to the country, which coincides with the 15th BRICS Summit.

BRICS is a bloc of emerging economies that includes Brazil, Russia, India, China and South Africa. It currently makes up a quarter of the global economy and is also home to more than 40 percent of the world’s population.

Ramaphosa recalled how Beijing supported South Africa’s struggle against apartheid and calling the relationship between the two a “very special” one.

South Africa has a great deal to learn from China’s development path. Among other achievements, China has lifted nearly 800 million people out of poverty over a 40-year period.”

He noted that China is South Africa’s biggest global trade partner, with some $32 billion in bilateral trade last year, but stressed a trade imbalance in China’s favor needs addressing.

“As South Africa, we would like to see the significant trade deficit narrowed and this visit is an opportunity for us to look at ways to do so,” Ramaphosa said.

South Africa is currently in the throes of a major energy crisis, with its economy being hit hard by almost-daily blackouts. Ramaphosa thanked China for donating emergency power equipment and for a grant of approximately $26 million as development assistance.

Both countries have reaffirmed political support for each other’s core interests. 

“We also agreed to deepen bilateral cooperation in trade, investment, infrastructure development, energy, tourism, education and training, and digital technologies. Xi and I look forward to the upcoming BRICS Summit, and have agreed that BRICS must play an expanded role in global affairs,” said Ramaphosa. 

On multilateral cooperation, the two leaders agreed to consult closely on issues of common concern, including in the context of BRICS, the Forum on China-Africa Cooperation (FOCAC), the G77 plus China, and the G20.

“We have discussed areas of synergy in line with the call by South Africa and other African countries for the reform of institutions of global governance, notably the United Nations Security Council. We agree that the interests of the Global South must be fairly represented on all multilateral fora,” he said. 

The Heads of State further discussed the ongoing conflict between Russia and Ukraine and its significant impact on developing economies in Africa and elsewhere. 

“We both agreed on the importance of dialogue and negotiation between the two sides. As South Africa, we are encouraged that Xi has welcomed the peace mission to Russia and Ukraine initiated by African leaders.”

Xi’s visit coincides with 25 years of diplomatic relations between South Africa and the People’s Republic of China, while historic ties date back to the Bandung conference of 1955. 

For his part, Xi noted the two nations share a strong bond, “as comrades and brothers.”

Xi called on South Africa to join him in boosting the countries’ combined influence on international affairs in the Global South.

“We support substantive progress in the G20 and support South Africa employing a greater role,” he told reporters at a joint press conference with Ramaphosa in Pretoria.

“We are global partners that should uphold justice.”

China and South Africa have thrown their weight behind the expansion of the BRICS bloc ahead of its annual meeting in Johannesburg, an attempt to extend the group’s clout on the world stage and challenge the US-led status quo. 

Beijing has been pushing for adding to the five-nation group that also includes Brazil, Russia and India. Ramaphosa publicly gave his backing to the plan in a televised address to the nation on Sunday. More than 20 nations have formally applied to join, he said. These are reported to include Saudi Arabia, Indonesia and Egypt.

The Chinese leader has been courting countries from the Global South as tensions with the US and its Western allies mount. In an op-ed published in several South African media outlets on Monday, Xi said China and South Africa should “fear no hegemony” and “work together to appeal for greater voice and influence” of the developing nations. 

“We will urge the international community to refocus on development issues, promote a greater role by the BRICS cooperation mechanism in global governance, and make the voice of BRICS stronger,” Xi wrote, noting that more countries are “knocking on the door of BRICS.”

Russian President Vladimir Putin, who will participate remotely in the summit as he faces a war-crimes arrest warrant from the International Criminal Court, has also supported the expansion. However, India is wary that expanding BRICS will transform the group into a mouthpiece for China, while Brazil is worried about alienating the West.

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Video Courtesy of Presidency.

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