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President Thabo Mbeki, accompanied by Minister of Foreign Affairs, Dr. Nkosazana Dlamini Zuma, among others, is scheduled to pay a State Visit to the People's Republic of China from 9 to 12 December 2001.

This follows the State Visit to South Africa by the Chinese Head of State, President Jiang Zemin, in April 2000.

The visit is indicative of the growing relations between South Africa and China. China has been closely associated with Africa since her founding, links that were consolidated through the Ministerial Conference of the China-Africa Cooperation Forum, held in Beijing in October 2001.

Further, there exists the potential for stronger trade relations between the countries. Since the early nineties, bilateral trade has expanded more than ten-fold and South Africa is now China's largest trading partner in Africa (28% of China's trade is with Africa.)

South Africa's mineral resources, mining technologies, equipment and mineral products suit the market demands of China. South African exports to China include iron ore, steel, manganese, chrome ore, tobacco, wool, granite, gold, copper, aluminium and motor vehicle spares.

China provides mechanical, electrical, textile and chemical products to South Africa. The potential exists to increase collaboration in high-tech industries such as aerospace, telecommunications and electronics including the fields of prospecting, metallurgy, agriculture, construction and tourism.

Chinese entrepreneurs have invested in South Africa's mining, agricultural, manufacturing, mechanical and electronic industries. One of the largest investments originating from the PRC involving a total investment of US $70/$80 million is a successful joint venture operating a Chromium mine in the Northern Province.

The Pretoria Declaration signed by the two governments in April 2000 defined a political framework for the development of relations and provided for the establishment of a Bi-National Commission as an instrument to strengthen relations in an integrated manner. The two Presidents will formally open the first session of the BNC between South Africa and China.

Both the State Visit and the first session of the BNC will provide a unique opportunity for South Africa to consolidate and expand its relations with the PRC over a wide front. It would further provide an opportunity to strengthen the Sino-Africa Process and convey to the PRC the importance of synchronising this process with the New Partnership for Africa's Development (NEPAD).

China is an important player in the multilateral arena, primarily since she is a Permanent Member of the UN Security Council. China is also considered one of the leaders of the developing world and is linked to the South through the G-77 + China. China also joined the World Trade Organisation at the WTO Ministerial Meeting in Doha, Qatar held from 9 - 13 November 2001.

During the State Visit, a Joint Communiqué will be issued reflecting the consensus reached as well as a vision for future co-operation. The Approved Minutes of the first session of the Bi-National Commission will reflect progress made in the BNC.

President Mbeki is also expected to visit Shanghai, the main source of investment into South Africa. In addition, the President will visit the Hong Kong Special Administrative Region where he will meet with the Chief Executive, Mr Tung Chee Hwa. Hong Kong continues to be a major source of trade and investment for South Africa.

Contact: Ronnie Mamoepa at 082 990 4853

Issued by: Department of Foreign Affairs, 28 November 2001