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Chinese central SOEs: A main force for China-Africa pragmatic cooperation in the First CAETE

Released on:2019-12-02 Views:

Source: SASAC Updated: Jun. 28, 2019

The first China-Africa Economic and Trade Expo (CAETE) kicks off in Changsha, the capital of Hunan Province on June 27. Themed “Win-Win Cooperation for Closer China-Africa Economic and Trade Partnership”, CAETE focuses on trade and investment promotion, agricultural technology, energy and power, joint industrial parks, infrastructure, financing cooperation and other key areas.

A total of 12 central SOEs participate in the Expo, including State Grid Corporation of China (State Grid), China Telecommunications Corporation (China Telecom), China National Machinery Industry Corporation Ltd. (Sinomach), China General Technology (Group) Holding Co., Ltd. (Genertec), China State Construction Engineering Corporation (CSCEC), China Merchants Group (CMG), China National Building Material Group Co., Ltd. (CNBM), China Nonferrous Metal Mining (Group) Co., Ltd. (CNMC), China Railway Rolling Stock Corporation(CRRC), China Railway Group Limited (CREC), China Railway Construction Corporation Limited (CRCC) and China Communications Construction Company Limited (CCCC).

The central SOEs supervised by the State-owned Assets Supervision and Administration Commission (SASAC) are the main force participating in the joint construction of the Belt and Road initiative, the implementation of the Eight Major Initiatives and the promotion of China-Africa pragmatic economic and trade cooperation. Up to now, 47 central SOEs have participated in more than 1,800 cooperative projects in 51 African countries. They have also undertaken a large number of demonstrative and leading major projects and programs in the fields of infrastructure construction, energy resource development, and international industrial capacity cooperation, which have contributed to the economic development, people's livelihood improvement, and the industrialization process of African countries. They also make a positive contribution to the implementation of the African Union's Agenda 2063 and the UN's 2030 Agenda for Sustainable Development.

Innovation as the driver

The central SOEs lay emphasis on the use of new technologies, formats and models to help Africa accelerate the new round of technological revolution and industrial transformation, and enjoy the benefits brought by technological progress.

China Telecom is actively involved in the construction of Africa Information Highway, and undertakes optical cable backbone networks, smart schools, hospitals, police stations and other projects in quite a few African countries, making African people enjoy the fruits of modern science and technology development.


Land cable construction of backbone networks in Tanzania


Smart projects

CNBM has established a joint laboratory with Egypt and Ethiopia respectively to develop new material technologies such as high-performance glass fiber, which not only promotes local development, but also brings the fruits to the whole African continent.


Jushi Egypt: fiberglass production base with an annual capacity of 200,000 tons


Egypt GOE project: 6 cement production lines with a daily capacity of 6,000 tons


CNBM’s overseas warehouse in Tanzania

Development as the priority

The central SOEs give full play to their accumulated experience and advantages in the field of infrastructure, actively participate in the construction of major projects, and implement high-level operational management, which effectively promotes the local interconnection, industrialization and urbanization.

The Addis Ababa-Djibouti Railway, jointly built by CREC and CRCC, has become a new transportation artery connecting the African roof and the Gulf of Aden. The bridges, highways and airports that the two Groups participated in have also become new supports for local economic development.


Addis Ababa-Djibouti Railway

Since the 1970s, CREC has participated in the infrastructure construction, and accelerated the investment in African countries. Besides, with the corporate social responsibility, it has engaged in the basic livelihood projects, and conducted the trainings for African staff to build a China-Africa community with shared future.


Ghana N1 road built by CREC


Morocco’s Mohammed VI Bridge built by CREC


Senegal Children's Hospital built by CREC

The Abuja-Kaduna rail line of the Nigerian Railway Modernization Project, constructed and operated by CRCC, has a total length of 186.5 kilometers and a top design speed of 150 kilometers per hour. It is the first modern railway in service with Chinese standards overseas.


Abuja-Kaduna Railway


CRCC adopts the EPC mode to build the Benguela Railway, which runs through Angola. With a total length of 1,344 kilometers, it is the longest overseas railway one-off built by Chinese enterprises in this century.

CCCC adopts a new model of integrating construction and operation to undertake the Mombasa-Nairobi Railway, which is now a vital part of the East African railway network and hailed as the “ride of the century” by Kenyans.


 Mombasa-Nairobi Railway in Kenya

CCCC has also participated in many projects in Africa such as roads, bridges, ports, railways, airports and housing constructions.


Addis Ababa-Adama Expressway in Ethiopia


South approach bridge and main tower of Maputo Bridge, Mozambique


Friendship Port in Mauritania

State Grid contracts the EETC 500 kV power transmission project in Egypt which realizes a complete restructuring of the old electricity transmission facilities in the affected area. The project largely improves power transmission capacity and grid safety, which promotes the regional economic development.


EETC 500 kV Transmission line in Egypt


GDHA 500 kV power transmission and transformation project in Ethiopia - the longest transmission line, the highest voltage level and the largest transmission capacity in eastern Africa


Ethiopia-Kenya ±500 kV DC Transmission Line Project - East Africa's first DC multinational network transmission project

Responsibility as the base

The central SOEs emphasize on both righteousness and interests, and always take the righteousness first. With good faith management according to law, they adhere to the localized development, and focus on ecological environmental protection. Besides, they actively participate in public welfare undertakings, which plays a positive role in improving local people's livelihood, coordinated development and cultural exchanges.

Ethiopia’s Reppie Waste-to-energy Project, contracted by SINOMACH, is a livelihood project that meets the basic needs of local people and the green development concept.


Africa's first waste-to-energy power plant - Ethiopia's Reppie waste-to-energy project


The Soyo Combined Cycle Power Plant in Angola, the largest gas turbine power plant in Africa built by SINOMACH, will become one of the main power plants in Angola's power system after completed, which will be able to meet the electricity needs of 7 million households.

While building the Akossado-Bohicon Road in Benin, Genertec Group has also built primary schools and bookstores for young people along the road.


Akossado-Bohicon Road in Benin


China-Benin Friendship School


Meanwhile, Genertec Group also contracts the photovoltaic project in Algeria, a typical clean energy project, which provides local people with clean and green energy and avoids 34,491.7 tons of carbon dioxide emissions. It is worth mentioning that there is no gas, liquid or solid waste or sound pollution produced during the construction, which protects and improves the local ecological environment.

In the process of building the Algerian Grand Mosque, CSCEC actively cooperates with hundreds of local suppliers to help local partners share development benefits while ensuring high quality compliance.


Algerian Grand Mosque


The Central Business District (CBD Phase I) project of the new administrative capital of Egypt is located in the core area of the first phase of the new capital, with a total area of about 505,000 square meters, 20 high-rise buildings and supporting municipal projects, and construction area of about 1.7 million square meters in total, which were all undertaken by CSCEC.



Congo (Brazzaville) No.1 National Highway is the largest cooperation project between China and Congo, and also the highest-class highway offering the best traveling experience in Congo (Brazzaville). The 536-km highway was constructed in hard environments such as primeval forests by the employees of CSCEC after eight years of work.

Integration as a lasting pursuit

The central SOEs create a community of shared interests through strategic cooperation in projects, joint ventures and industrial chains.

For example, CMG's Djibouti International Free Trade Zone project and CNMC's Zambia-China Economic and Trade Cooperation Zone project, aimed at local development bottleneck, bring in industries that can make full use of local advantages and promote local industrialization to realize mutual development of governments, enterprises and communities.


CMG fully utilizes the geographical advantages of Djibouti and copies the comprehensive development model of Shekou Industrial Zone - the “Harbor - Industrial Park - Supporting New Urban District”.


Zambia-China Economic and Trade Cooperation Zone is China's first overseas cooperation zone established in Africa and also the first multi-functional economic zone in Zambia, forming China's largest offshore non-ferrous metal industrial base.


Chambishi Copper Mine in Zambia: the first overseas non-ferrous metal mine invested by China

CRRC's locomotive programs in the Republic of South Africa not only contribute to the country's tax revenue, improve its employment rate and train the talents, but also support the development of small and medium-sized enterprises in the upstream and downstream of the country's industrial chains.


Ribbon cutting ceremony for electric locomotive delivery


Staff training of Mombasa-Nairobi Railway


Sudan DMUs delivery

Innovation, development, responsibility and integration are not only the inheritance of the long history of China-Africa pragmatic economic and trade cooperation, but also the prospect for a bright future. SASAC and Chinese central SOEs will continue to invest in and contribute to Africa’s development and will promote China-Africa economic and trade cooperation to build a closer community with shared future for the two countries. (Source: SASAC, State Grid, China Telecom, Sinomach, Genertec Group, CSCEC, CMG, CNBM, CNMC, CRRC, CREC, CRCC, CCCC.)