China's growing commercial presence in Africa, and low participation by U.S. companies in the region, present critical challenges to U.S. commercial interests, said panelists at a recent meeting of the Sub-Saharan Africa Advisory Committee of the Export-Import Bank of the United States.
But the panelists also said that U.S.-China-Africa cooperation, to build a framework ensuring Africa uses its resources for economic development, would benefit all trade participants in the region. They asserted that marketing efforts to teach American companies the benefits of doing business in Africa, and steps to enhance the competitiveness of Export-Import Bank financing, also would help U.S. interests.
Export-Import Bank, the official export-credit agency of the United States, is in its 73rd year of helping finance the sale of U.S. exports, primarily to emerging markets throughout the world, by providing loan guarantees, export-credit insurance and direct loans.
Panelists included moderator James H. Lambright, Export-Import Bank chairman and president, who said, "It is important that the United States, China and Africa understand each other so that we may work together to ensure that our trade activities benefit exporters, African buyers and our national interests."
He noted that China-Africa trade is growing much faster than U.S.-Africa trade. In 2006, China-Africa trade totaled US$56 billion while U.S.-Africa trade totaled US$100 billion, of which US$80 billion were African sales to the U.S. In five years, total trade between China and Africa is expected to reach US$100 billion.
