The problems in Nigeria-PRC trade and economic relations at the beginning of XXI century

Keywords: Nigeria, PRC, trade relations, economic relations, investments, loans, export, import, textile, unemployment


Nigeria and the People’s Republic of China have developed close relations, which include: Chinese infrastructure projects, investments, loans, trade agreements, technology transfer, cultural exchange etc. Nigeria is one of the fastest growing countries in tropical Africa. The most important source of Nigeria’s state budget is the export of mostly crude oil and other natural resources. So China has an interest in relations with Nigeria, giving a lot of loans, investing in Nigerian infrastructure, creating Chinese cultural centers throughout Nigeria.

Nevertheless, trade and economic relations between China and Nigeria are quite problematic at the beginning of the 21st century. The main problem is the imbalance between Nigerian exports and imports from China. Imported Chinese goods are much cheaper than local Nigerian ones, so this has made some Nigerian companies unprofitable, especially in the textile sector. The non-competitiveness of the local producer has led to rising unemployment among Nigerians. Examining trade relations in detail on the example of the textile industry, it is clear that factors such as smuggling, corruption of Nigerian officials and the cheapness of Chinese goods create favorable conditions for Chinese business, but at the same time puts the Nigerian economy in a difficult position.

The trade and economic relations between China and Nigeria are an example of a relationship between two asymmetric actors in international relations, where the stronger actor (China) promotes his interests more successfully and effectively than the weaker one (Nigeria). This study is relevant against the background of global dependence on Chinese products, which displaces the local producer because of its cheap price, such consequences have already led to aggravation of China’s trade relations with the United States, which escalated into a tariff and trade war.


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How to Cite
Habro, I., & Akopov, A. (2021). The problems in Nigeria-PRC trade and economic relations at the beginning of XXI century. Acta De Historia & Politica: Saeculum XXI, (02), 42-47.