Japan's commitment to support Africa's iron and steel companies are looking to new opportunities
Japanese Prime Minister Shinzo Abe to attend the Sixth Tokyo International Conference on African Development, held 27-28 August 2016 in Nairobi, Kenya (TICAD), during which the Japanese steel and heavy industry companies are looking for new business opportunities from Africa.
Abe when Ukrainian President Hu Lu • Kenyatta of Kenya talks, promised to provide $ 30 billion to support the development of infrastructure on the African continent, the period of three years, including $ 10 billion in infrastructure projects implemented in cooperation with the African Development Bank and also committed to helping the development of the port of Mombasa.
In recent years, rapid economic growth in Africa, but surprisingly, Japan in its steel manufacturing and processing almost no footprint. Ten years ago, Kobe Steel and Nigeria related Ajaokuta steel fastmelt ironmaking technology signed a basic agreement, but the project ultimately failed to achieve. Back in 2008, Nippon Steel and Marubeni Itochu Steel mills in South Africa Safal each holding 7% stake, mainly in CatoRidge cold rolling and coating plant for the supply of hot rolled coil steel, but since then cooperation No relationship has been great development. Thus, by means of steel companies expect Abe's visit to Africa can bring them new business opportunities.
Abe is the first time in 15 years, Japanese Prime Minister visit to Kenya, stressed the need for Japan to deal with rival China gradually rising influence in Africa. Benefit from strategic vision all the way along, China investment opportunities in Africa increased significantly last year, only to invest $ 2 billion in a single project in Guinea-rich oil. In recent years, China's steel exports to Africa is even more rapid growth, the steel is already an important source countries in Africa. 2014 Hebei Iron and Steel Group has announced an investment in South Africa to build a steel production capacity of 5 million tons, which is so far the largest overseas investment in the construction of the whole process of iron and steel projects.
TICAD is an African development as the theme of the conference, together with Japan by the United Nations, the World Bank and co-sponsored by the AU Commission, the main objective is to establish a framework through multi-stakeholder, international cooperation to help Africa achieve development by African countries enjoy development results. TICAD first session, held in Japan in 1993, after one session every five years in Japan, until 2013 at its fifth session. From the sixth meeting of the Conference will be changed held every three years, alternately in Africa and Japan, the first TICAD was held in the African continent. Before the fifth session of the Japanese emphasis on the use of financial and technical assistance to improve the socio-economic environment in Africa. In 2013 TICAD meeting, Japan also promised to provide $ 32 billion Africa aid, of which 67% has been put into use in the project. Last year, the total amount of Japan's direct investment in Africa is only $ 1.24 billion, down $ 1.5 billion.