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By Darius Spearman (africanelements)
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KEY TAKEAWAYS |
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Russia’s primary exports to Africa involve military weapons and equipment. |
Trade turnover between Russia and Africa rose by almost 35% in early 2023. |
Despite sanctions, Russia aims to double its trade with Africa to $40 billion by 2027. |
Russian companies are also active in mining and energy sectors across Africa. |
Geopolitical challenges include competition with Western powers and diverse African stances on the Ukraine war. |
Future strategies focus on trade facilitation and public-private partnerships for economic cooperation. |
Russia’s Trade with Africa: Weapons, Resources, and Geopolitical Influence
Russia’s trade with Africa has gained significant attention in recent years. The relationship between Russia and African nations has expanded, primarily focusing on military equipment and arms trade. This article examines the various aspects of Russia’s economic engagement with Africa, including trade volumes, key sectors, and geopolitical implications.
Military Equipment and Arms Trade
The most prominent aspect of Russia’s trade with Africa revolves around the export of military weapons and equipment. Rosoboronexport, Russia’s state-controlled arms exporter, manages most of these transactions. The company has outlined plans for joint ventures with African countries, focusing on licensed production of small arms, ammunition, armored vehicles, and fast combat boats.
Over 40 African nations actively collaborate military-technically with Russia. A substantial portion of signed and executed contracts involve military equipment. Russia has surpassed China as the leading arms seller in sub-Saharan Africa, with its market share growing to 26% as of 2022 (allAfrica.com).
Russia’s Arms Trade with Africa
Source: What does Russia Trade with Africa?
The combined share of Middle Eastern and African countries in Rosoboronexport’s order portfolio exceeds 50%, translating to over $25 billion. This substantial figure underscores the significance of the African market for Russian arms exports.
Economic Cooperation and Trade Volume
Despite international sanctions, the trade turnover between Russia and African countries increased by almost 35% in the first half of 2023. Russian President Vladimir Putin has stated that the trade turnover has grown significantly, even in the face of these challenges.
The total revenue from Russian trade with African countries exceeded $17 billion in 2021. In 2022, the trade volume reached $18.4 billion. However, this figure remains lower than the continent’s trade with traditional partners like China, Italy, France, the US, and Germany (allAfrica.com).
Russia-Africa Trade Volume (in billion USD)
Putin has promised to double trade with African states within five years, aiming for a figure of $40 billion. This ambitious goal reflects Russia’s desire to strengthen its economic ties with the continent.
Other Economic Activities
Beyond arms trade, Russian companies engage in various economic activities across Africa. These include:
- Mining: Companies like Alrosa operate diamond projects in Angola and explore in Zimbabwe. Rusal mines bauxite in Guinea.
- Energy: Rosatom is constructing a nuclear power plant in Egypt and has signed nuclear cooperation agreements with 20 African countries.
- Mining concessions: Russian companies, notably those associated with the Wagner Group, have secured mining and energy market concessions in several African countries.
Russia maintains a notable presence in the African energy sector, with plans to build nuclear plants in Egypt and Nigeria (European Parliament).
Geopolitical Context and Challenges
Several geopolitical factors influence Russia’s trade with Africa:
- Western rivalry: Russia’s engagement in Africa forms part of its strategy to counter diplomatic and economic isolation imposed by Western countries.
- Ukraine war impact: The conflict in Ukraine has elevated Africa’s importance in Russian foreign policy, as Russia seeks support from African states.
- Varied African positions: African countries have adopted different stances on the Ukraine war, with some opting for non-alignment. This diversity affects Russia’s efforts to secure unified support.
- Global competition: Russia faces competition from other global powers, including China and Western countries, in influencing African states.
Russia-Africa Relations Timeline
First Russia-Africa summit held, with high turnout of African leaders
Russia becomes the leading arms seller in sub-Saharan Africa
Second Russia-Africa summit in St. Petersburg, with fewer Heads of State attending
Plans announced for the first Foreign Ministerial Conference to strengthen economic cooperation
Source: What does Russia Trade with Africa?
Future Prospects and Strategies
Russia aims to strengthen its economic cooperation with Africa through various measures:
- Foreign Minister Sergey Lavrov plans to hold the first Foreign Ministerial Conference in November 2024 to strategize ways to strengthen economic cooperation.
- Russia seeks to create a mechanism for public support to facilitate business interactions between Russian companies and African countries.
- There is a recognized need for trade facilitation measures, such as simplifying import-export procedures, to encourage trade with African countries.
- Experts suggest Russia should focus on transferring technology to agriculture, oil, and gas sectors and leverage historical connections with African elites.
These strategies aim to address the challenges faced by African exporters in Russia’s market, including inadequate knowledge of trade procedures, rules, regulations, and existing market conditions (Eurasia Review).
As Russia continues to expand its economic ties with Africa, the relationship remains primarily centered on military equipment and arms trade. However, the diversification into other sectors and the geopolitical implications of this engagement will likely shape the future of Russia-Africa relations in the coming years.
FAQ
Q: What is the primary focus of Russia’s trade with Africa?
A: Russia’s primary focus in trade with Africa revolves around military equipment and arms, with significant collaboration in military-technical areas.
Q: Which entity manages most of the arms trade between Russia and Africa?
A: Rosoboronexport, Russia’s state-controlled arms exporter, manages most arms transactions with African countries.
Q: How has Russia’s arms market share in sub-Saharan Africa changed?
A: As of 2022, Russia surpassed China to become the leading arms seller in sub-Saharan Africa, commanding a market share of 26%.
Q: What is the current trade volume between Russia and Africa?
A: The total revenue from Russian trade with African countries exceeded $17 billion in 2021 and reached $18.4 billion in 2022.
Q: How does Russia plan to enhance its economic ties with Africa in the future?
A: Russia aims to strengthen economic ties by holding the first Foreign Ministerial Conference in November 2024 and creating mechanisms to support business interactions between Russian companies and African nations.
Q: What challenges does Russia face in expanding trade with Africa?
A: Challenges include African exporters’ lack of knowledge of trade procedures and existing market conditions in Russia.
ABOUT THE AUTHOR
Darius Spearman is a professor of Black Studies at San Diego City College, where he has been teaching since 2007. He is the author of several books, including Between The Color Lines: A History of African Americans on the California Frontier Through 1890. You can visit Darius online at africanelements.org.