China-Zimbabwe Trade Relations in the 21st Century: An Analysis of the Trends, Patterns and Prospects

Abstract

trade relations for the 16 years between years 2000 and 2016. The essence is to establish the direction of trade, trade intensity and trade composition of Zimbabwe-China trade as well as present a comparative analysis and assessment of the share of Zimbabwe-China trade vis-à-vis other trade partners. The study uses both primary and secondary data sources for analysis. The findings point to the fact that although Zimbabwe enjoyed a positive balance for the years preceding 2005, the country has since been recording widening trade deficits in its trade with China. With regard to trade intensity, the study reveals that on average, Zimbabwe’s trade with China accounts for less than 5 per cent of Zimbabwe’s trade with other African countries and the Rest of the World (RoW). In respect of trade composition, the study further found out that whilst Zimbabwean exports to China are largely dominated by the exportation of low  value semi-processed and/or non-processed mining and agricultural commodities, China mainly exports high-end manufactures and consumer goods to Zimbabwe. As part of its recommendations, the study proposes the adoption of import regulation measures, exportoriented industrialization, establishment of China-Africa industrial capacity cooperation, and investment in manufacturing and industrial processing plants.