China’s impact on the Maghreb

Chinese President Xi Jinping recently visited Morocco on his way back from the G20 Summit in Brazil. It was another sign of the importance of Morocco -China relations but also a reminder that China’s impact on this part of the world has been profound. One of the most visible examples of course being the Belt and Road Initiative (BRI) which has been a key foreign policy tool in Beijing’s outreach not just in the Maghreb, but across Africa. Since 2013, China has signed over 150 BRI Memorandums of Understanding with the five Maghreb countries, covering sectors such as mining, green energy development, transport infrastructure, energy exploration, communications, and finance.

The North African region is crucial for the BRI; being part of the African Continental Free Trade Area (AfCTA) it has FTAs with the EU and North American countries, which allows companies based in these countries to benefit from reduced tariffs and economic gains through access to the European and North Atlantic markets. Additionally, the region borders the Mediterranean Sea and the Atlantic Ocean, which makes it a key link in the Maritime Silk Road. Is it any wonder then that Chinese investments in the Maghreb are directed by over 1,400 Chinese companies and an estimated 80,000 Chinese workers.

Since the BRI’s inception, China has displayed increasing strategic interests in managing or acquiring key ports in the Mediterranean Sea. These port investments help contribute to China’s so-called global ‘String of Pearls’ strategy, that consolidate China’s commercial and military presence in different regions. While most observers consider China’s priorities to be trade, energy, agriculture and natural resources, China recently held a joint naval exercise with Egypt in the Mediterranean Sea north of Alexandria, where they carried out training courses in communications, formation maneuvering, and maritime replenishment positioning.  

Central to China’s interests is access to the Mediterranean and the geo-strategic importance of localizing manufacturing and developing free trade zones along the Maghreb coastline. Establishing major trading and logistics hubs are pivotal to what analysts call future-proofing Beijing’s global value chains by connecting it to Europe and enhancing trade routes to North America via the Strait of Gibraltar. Establishing commercial partnerships in the Mediterranean would also benefit China’s logistics and transit costs, especially as the EU’s largest trading partner. 

China’s involvement across Africa dates back formally to 2000 when the Forum on China-Africa Cooperation (FOCAC) was initiated at the insistence of the African Union.  FOCAC is held every three years, alternating between Beijing and an African capital city. Within FOCAC there is significant overlap with another body, the China-Arab States Cooperation Forum (CASCF), which was established in 2002, and operates in a similar manner to FOCAC - institutionalizing multilateral engagement – and it’s another way in which China impacts the Maghreb.

Despite cultural, historical, political and even religious differences, the Maghreb and China have long had steady ties. This is seen by some observers to be driven by the absence of historical conflicts, a shared colonial experience, and common aspirations for their future roles on the global stage. One thing that is very clear – is that China’s relationship with the Maghreb will only grow and with it a sense that economic investment and trade partnerships are an increasingly, mutually beneficial by-product of a decades long relationship.

*Kieran Baker is an Emmy award winning journalist who has started up various networks including Al Jazeera English, Bloomberg TV Africa and TRT World.