### The Zero-Tarif initiative of China: an opportunity or a potential risk for PVDs?
In an increasingly interconnected world, where commercial dynamics are evolving at a frantic pace, the China’s announcement of the implementation of zero-tale treatment for the least advanced countries (PMA) with diplomatic relations with it constitutes a significant advance in the context of the liberalization of international trade. Started three months ago, this initiative is not only an altruistic gesture, but is also part of a larger economic strategy, involving both economic and geopolitical issues.
### An encrypted analysis of bilateral trade
The first data available indicate significant growth in trade between China and the 33 PMA concerned in Africa. In three months, you should wonder if this growth is real and durable. Compared to other international cooperation initiatives, the results obtained by this Chinese approaches policy are notable, but it is crucial to replace these figures in a broader context.
For example, in 2020, trade between China and PMAs represented less than 1% of the total trade in China. The 2023 figures seem to indicate an upward trend, but the percentages must be analyzed taking into account other factors such as the general increase in post-Cavid-19 exchanges, which could distort temporal comparisons. A general CSAV on the commercial movements of PMA vis-à-vis other countries, including Western powers, could give a more nuanced image.
### A cyclical advantage for PMA exporters
Beyond the figures, the exemption from customs duties for products like natural rubber from Laos appears as a promising sector. This highlights the key role that regional supply chains are established between PMAs and Asian markets can play. However, will this opportunity really turn into a long-term advantage for these countries whose industrialization is often considered fragile?
It is also necessary to wonder if zero pricing is a real lever for local development or if it testifies to a Chinese interest in these natural resources. Isn’t support for the export of raw materials risk perpetuating an extraction cycle?
### The challenges of competitiveness
The increased competitiveness of exports of PMAs on the Chinese market should not mask the challenges that these countries still have to take up. At a time when China uses Big Data analyzes to optimize customs treatment, PMAs often come up against a logistical and technological infrastructure. The promise of a direct distribution of customs exemption by avoiding complex stages for landlocked countries is an advance, but transport infrastructure remains a critical point. Countries like Mali or Niger, although enjoying this opportunity, are often faced with logistical failures that place them in a situation of inequality compared to other exporters.
### A shared responsibility?
In the management of this initiative, it is essential to wonder where the responsibility of international actors is located. Do the developed nations, in particular those of the OECD, must collaborate more with China to supervise and guide these exchanges in order to maximize the profits for often vulnerable economies? A concerted approach could offer PMA self-assessment tools and long-term development prospects.
### Conclusion: towards a lasting balance?
If the Chinese Zero-Tarif offer initiative represents an advance for the PMAs now in search of economic opportunities, it is essential to focus on the concrete actions that will result from it and on the established monitoring mechanisms. The previous experience shows that the simple tariff advantage does not necessarily guarantee sustainable prosperity. By involving PMA in an enlarged cooperation framework, by strengthening their ability to produce and export value added goods, and by improving their infrastructure, this action could transform a simple commercial incentive to a real inclusive and structural development strategy.
In short, to generate shared prosperity, the international community and Chinese interests must work together towards an approach that transcends the accounting assessment, for the benefit of a sustainable and equitable economic vision.