Beijing Signs Landmark Deal to Boost Value-Added Investment in Africa

Beijing: A new agreement signed in Beijing today (15 August 2025) is set to open fresh opportunities for African industries, helping countries like South Africa grow beyond raw exports and into higher-value production.

The China-Africa Friendly Economic and Trade Development Foundation has signed a Memorandum of Understanding (MoU) with Development Reimagined, a consultancy firm founded in Africa but headquartered in Beijing. The partnership will connect African “value-addition” projects with qualified Chinese investors, especially in agriculture, renewable energy, automotive, healthcare, mining, and trade.

The Foundation, which has a network of more than 200 member companies, will use its reach to bring investors to the table. Development Reimagined, with offices in Nairobi and London, will provide in-depth research and policy support to ensure African projects are viable and competitive.

Opening China’s Market to African Goods

The signing comes just weeks after Beijing announced it would remove tariffs on exports from all African countries with diplomatic ties to China. Analysts believe this will strongly benefit nations with established manufacturing bases, including South Africa, Kenya, Nigeria, Egypt, and Morocco.

By cutting trade barriers, China is creating more space for Africa to export processed goods rather than only raw materials. The new MoU supports this by helping African businesses attract investment into industries that can produce goods with higher profit margins.

From Raw Materials to Jobs and Industries

For years, African leaders have called for partnerships that create local industries, jobs, and sustainable development instead of focusing purely on resource extraction. This MoU directly supports those demands by promoting industrial upgrading, local processing, and skills development.

Independent reports show that in the first half of 2025, Chinese firms signed billions of dollars’ worth of contracts across Africa, especially in Nigeria, Tanzania, and Ethiopia. The Beijing deal now adds structure to this momentum by creating a platform where projects can be matched with the right investors.

A Practical Step Forward

If implemented effectively, the MoU could become a bridge from policy promises to real investments, ensuring that African companies benefit from Chinese partnerships in ways that strengthen local economies.

The agreement was formally signed by Mr. Huang Zhaojin, Executive Chairman of the China-Africa Friendly Economic and Trade Development Foundation, and Ms. Hannah Ryder, CEO of Development Reimagined, at the Foundation’s Beijing office.

This landmark deal highlights a growing shift in China–Africa relations: moving from traditional trade to smarter, value-driven cooperation that empowers African industries to compete on the global stage.

Sources: Development Reimagined | Reuters | Capital Newspaper