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China's Xi arrives in S.Africa to seek more trade

by Staff Writers
Johannesburg (AFP) Nov 16, 2010
Chinese Vice President Xi Jinping arrived Tuesday in South Africa for a three-day visit to bolster trade with Africa's biggest economy, as China's investment in the continent continues to expand.

Xi and Deputy President Kgalema Motlanthe were expected to co-chair a bilateral commission to discuss cooperation between the two countries.

China, which last year overtook the United States to become South Africa's largest export destination, mainly imports raw materials such as iron ore, as well as refined iron and steel, to fuel its booming economy.

In August, Zuma visited Beijing, signing a slate of cooperation deals on mineral resources, investment in railways, power transmission, construction, mining and nuclear power.

Trade between the two countries -- which has been expanding since the establishment of full diplomatic relations in 1998 -- last year totalled about 16 billion dollars (11.8 billion euros in today's rates).

China has built an impressive investment portfolio in a number of countries in Africa, particularly Zambia, Angola and Zimbabwe.

Xi is also expected to travel to oil-rich Angola and Botswana in visits seen as securing China's energy and resource deals there.

China has unveiled billions of dollars in loans and investments to African governments, with analysts describing the rush as the second scramble for African resources after Western colonisation.



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