An investigation of the bilateral relations between South Africa and China: Trade and Industry agreements

Abstract

China and South Africa share a long historic bilateral relation. Therefore, their formal diplomatic relations were officially established on the 1st of January, 1998. South Africa is presently China’s leading trading partner in Africa. Since the establishment of these two diplomatic ties, bilateral cooperation in the political, economic and trade, inter alia, has continued to grow. This brought their bilateral relations to a new level. In spite of all these, the bilateral relations between China and South Africa appear to be unstable. This study explores all the bilateral trade measures, patterns, trade policy and strategy, investments, illicit act of dumping products, anti-dumping campaigns and construction development projects. Continually, the research supplements its critical view on the economic policy of Broad-Based Black Economic Empowerment (B-BBEE) and the ever-increasing migration of Chinese population to South Africa. The study employed a qualitative research approach. The data collection method relied upon secondary sources. The study is informed by two theories, namely the game theory and the neoliberal institutional theory. Both theories unpack some discussions and analysis of the study to understand competition, relative gain and interest of both nations. The study contributes to existing knowledge of trade and industry matters and it has recommended similar research topic for future researchers.