The Dragon's Gift: The Real Story of China in Africa

CONTENTS
List of Figures xiv
Prologue: The Changing Face of Chinese Engagement
in Africa 1
China’s Rise in Africa 2
China and Africa: Mutual Benefit? 3
Poverty and Prosperity 7
A Different Kind of ‘‘Aid’’ 10
China, Aid, and the West 12
What is Foreign Aid? 13
Why Do Countries Give Aid? 14
Issues and Themes 17
Approaches and Analysis 19
1. Missionaries and Maoists: How China’s Aid Moved from
‘‘Red’’ to ‘‘Expert’’ 22
Aid from the West 26
Red Sun Rising 29
From Mau Mau to Mao 31
‘‘Dragon in the Bush’’ 34
Dazhai in Africa? 37
Tazara: The Tan-Zam Railway 40
Rethinking Aid 41
2. Feeling the Stones: Deng Xiaoping’s Experiments
with Aid 43
An ‘‘Ideal Trading Partner’’ 46
Crossing the River by Feeling the Stones 51
Aid and the Four Tigers 52
Zhao Ziyang Goes to Africa 53
Leather Swaps: Compensatory Trade in Africa 55
Being Responsible to the End 56
China, Melvin Lisk, and Okeky Agencies, Ltd. 60
Aid as a Springboard for Investment 62
Building Business 64
Tripartite Cooperation 65
‘‘We Are the World’’ 66
Checkbook Diplomacy 67
3. Going Global: Foreign Aid in the Toolkit of a
Rising China 71
Battle in Seattle 75
Deeper into Africa 77
Value for Money 78
Entering Europe’s Backyard 81
Zhu Rongji and the Tan-Zam Railway Redux 83
‘‘Koni . . . Koni . . . Koni’’ 85
Packaging Soft Power 86
Dragon Heads 87
Creative Destruction 89
China–Africa Development Fund 93
Tariff and Quota-Free Entry 95
Overseas Zones: Going Global in Groups 97
The First Two African Winners 101
Crossing the Ocean by Feeling the Stones 103
4. Eastern Promises: An Aid System with Chinese
Characteristics 105
A Very Brief History 106
China’s Aid Institutions 107
China Eximbank’s Concessional Loans 114
The Development Bank That Doesn’t Give Aid 115
Acupuncture at King Harmon Road 117
Learning from China 119
Humanitarian Aid: After Disaster 121
China’s ‘‘Peace Corps’’ 123
Does China Give ‘‘Cash Aid’’? 124
Dumping Debt 127
5. Orient Express: How Does Chinese Aid and
Engagement Work? 131
Beijing versus Paris 132
An Oriental Big Power 136
China Eximbank, Huawei, and Sierratel 140
Learning from Japan’s Request-Based System 141
The Eximbank Cycle 142
From Aid to Profit: CNEEC Consolidates Goma 143
China’s Resource-Backed Infrastructure Loans 145
Aid Without Strings? 148
Tied Aid? 151
‘‘Hordes of Experts’’ 154
Capacity Building 157
6. Apples and Lychees: How Much Aid Does China Give? 162
Estimating China’s Africa Aid 168
One is Aid, the Other is Not 173
Package Financing Mode 174
Big Mistakes 177
Is China Bigger than the World Bank? 179
Comparing Apples and Apples 182
Will Chinese Loans Create a New Debt Crisis? 184
7. Flying Geese, Crouching Tiger: China’s Changing
Role in African Industrialization 189
Challenges and Opportunities 191
Flying Geese as Industrial Catalysts 193
Marlboro Man 195
Friendship Textile Factory’s Rocky Road 197
Cars, Calf, and Cows 201
Asian Tigers and African Factories 204
‘‘Original and Taiwan’’ 205
8. Asian Tsunami: How a Tidal Wave Can also Be a Catalyst 211
Leather Goes Global 212
Textiles: A Chinese Tsunami? 215
Drivers of Change? 222
Catalyzing Local Industry 224
Chinese Workers in African Factories 227
9. Exporting Green Revolution: From Aid to Agribusiness 232
Challenges and Opportunities 234
China’s Traditional Aid 236
Doing Well by Doing Good? 239
Wang Yibin and South–South Cooperation 241
From Weeds to Seeds 244
The Father of Hybrid Rice 246
China’s Agrotechnology Centers: Sustainability and Business 247
10. Foreign Farmers: Chinese Settlers in Rural Africa 253
Going Global in Agriculture 255
Food Security: China and Africa 256
Mega-Projects 257
In the North, There is Only Magbass 259
Not a Good Chew on the Bones 265
Liu Jianjun’s ‘‘Baoding Villages’’ 266
11. Rogue Donor? Myths and Realities 273
‘‘Chinese Aid: It’s All about Oil/Minerals/Resources’’ 277
‘‘China Enables Sudan to Get Away with Murder in Darfur’’ 281
‘‘China Hurts Efforts to Strengthen Democracy and
Human Rights in Africa’’ 284
‘‘Chinese Support Kept Robert Mugabe in Power
in Zimbabwe’’ 287
‘‘China is Making Corruption Worse’’ 292
‘‘Chinese Aid and Loans are Part of a System of
‘Unfair’ Subsidies’’ 297
‘‘China Gains Business with Low Environmental and
Social Standards’’ 299
Conclusion: Engaging China 307
Appendices 313
Endnotes 318
Index 385

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