Asia

China punishes 'Taiwanese' ESwatini but as of 1 May removes tariffs from all of Africa

2025 figures show that the system adopted by China rewards bilateral and regional cooperation

by Rita Fatiguso

2' min read

Translated by AI
Versione italiana

2' min read

Translated by AI
Versione italiana

Carrot and stick. The case of ESwatini (the former Swaziland), the only African country that recognises Taiwan, has not died down. It was the protagonist of a controversial last-minute cancellation of Taipei President Lai Ching-te's visit due to the obstacles posed by other countries (including Seychelles, Mauritius and Madagascar) that China is opening up to the exemption of tariffs to 52 other African countries from May.

The novelty

China will fully exempt Egyptian exports from tariffs as of 1 May 2026, as part of Beijing's strengthening of trade ties with Africa, according to Chinese state media reports.

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But it is not a ad personam policy. Egyptian exports to China will enter the Chinese market without tariffs, just like goods arriving from 52 other African countries. This tariff policy was announced on 12 June 2025, at the China-Africa Economic Forum, which opened up greater access to the Chinese market. China is known to be Africa's largest trading partner over the past 15 years, with trade volumes of $292 billion in 2024, primarily with Kenya, Ghana, Nigeria and Morocco.

Strategy that works

The 2025 figures show that the system adopted by China rewards bilateral and regional cooperation.

Although China offers significant trade and investment opportunities, it has also been criticised for its lending practices and potential reliance on debt from certain African nations, but is now shifting its focus from debt-only projects to mutually beneficial investments.

The opposite of the US

China has long had a more open trade strategy than the US, which is difficult to estimate; much depends on the value of the recipient country's exports to the 'discount' country.

A case study is that of Australia, which shows that the average tariff with the preferential regime (thanks to the FTA with China) is about 1.1 per cent compared to 7.1 per cent without the agreement (which is about 1'85 per cent lower than the theoretical maximum rate).

So out of one billion imports from Australia, China collects tariffs of 11 billion against the 71 billion it would have collected without the agreement ('cost' of about 60 million per billion of trade).

However, this is not really a cost, as it is offset by much wider benefits. Thus in the case of Australia, China secures privileged access to Australian raw materials, strengthened geopolitical relations and increased competitiveness. For Africa as a whole, the calculated waiver of tariffs is total.

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