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Trade, Growth, and Policy Recommendations: Analyzing Economic Development in Africa and China

Author

Listed:
  • Sarah Goldman

    (Lux-SIR, CRIISEA - Centre de Recherche sur les Institutions, l'Industrie et les Systèmes Économiques d'Amiens - UR UPJV 3908 - UPJV - Université de Picardie Jules Verne)

  • Gildas Bondi

    (LEFMI - Laboratoire d’Économie, Finance, Management et Innovation - UR UPJV 4286 - UPJV - Université de Picardie Jules Verne)

Abstract

This analysis has a twofold aim: to examine the role of trade in economic growth from both theoretical and empirical perspectives, and to offer policy recommendations within the framework of Africa-China commercial cooperation. Fueled by China's demand for natural resources and rapid economic expansion, trade between Africa and China has surged in recent decades, significantly influencing African development. Africa's GDP has grown through increased exports-particularly timber, minerals, and oil-driven by Chinese demand.Empirical evidence suggests that while trade with China has generally supported African growth, the benefits have been unevenly distributed. The influx of low-cost Chinese goods has sometimes undermined local industries, and the trade balance remains skewed in favor of China. This pattern, characterized by raw material exports and finished goods imports, poses risks to industrialization and value addition in Africa. In response, the study presents targeted recommendations to address these challenges.

Suggested Citation

  • Sarah Goldman & Gildas Bondi, 2026. "Trade, Growth, and Policy Recommendations: Analyzing Economic Development in Africa and China," Working Papers hal-05445585, HAL.
  • Handle: RePEc:hal:wpaper:hal-05445585
    Note: View the original document on HAL open archive server: https://hal.science/hal-05445585v1
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    Keywords

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    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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