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Joe Biden visits Angola to showcase Lobito Corridor

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Getty Images US President Joe Biden shakes hands with Angolan President Joao Lourenco during a meeting in the Oval Office of the White House in Washington, DC, on 30 November 2023Getty Images

Joe Biden has begun his long-anticipated maiden go to to sub-Saharan Africa as US president nevertheless it comes amidst uncertainty over future US-Africa relations as Donald Trump prepares to succeed him in January.

Biden’s go to to oil-rich Angola seeks to underline an try by America to focus extra on commerce and heavy funding in infrastructure, in what some analysts see as essentially the most direct counter but to China’s affect on the continent.

“It’s a perfect marriage of convenience,” Angolan analyst Edmilson Angelo instructed the BBC.

Biden’s selection of Angola is important – he’s the primary US president to go to the nation, signalling a dramatic enchancment in relations between the 2 nations.

Angola was firmly within the political orbit of China and Russia after independence from Portuguese colonial rule in 1975, however since taking energy in 2017, President João Lourenço has steered it in the direction of nearer relations with the US.

“Lourenço’s administration has seen Angolan foreign policy move away from ideology towards pragmatic multipolarity, becoming truly non-aligned,” stated Alex Vines, director of the Africa programme at Chatham House, a London-based assume thank.

Biden will spotlight his signature initiative within the area – a railway line that may stretch for 1,344km (835 miles), connecting the cobalt, lithium and copper mines within the Democratic Republic of Congo, and the copper-belt area of Zambia, to the Angolan port metropolis of Lobito on the Atlantic Ocean.

Apart from oil, Angola can be wealthy in minerals, together with cobalt and lithium, that are important for making batteries for electrical autos.

Once accomplished, the Lobito Corridor will assist transport these vital minerals from the resource-rich coronary heart of Africa throughout to Europe and the US.

On its web site, the Lobito Corridor Investment Promotion Authority (IPA), says the US involvement “represents the first alternative from Washington DC to China’s Belt and Road Initiative” that’s aimed toward constructing a sequence of commerce routes that tie a number of nations in Africa, and elsewhere, to the Asian big.

Biden’s go to comes on the tail-end of his presidency, with no readability but on whether or not the Trump administration will proceed with the challenge.

Dr Vines believes it “may survive the Trump presidency as it is primarily aimed at competing against China”.

However, he factors out that each Western and Chinese companies will have the ability to use the infrastructure, and that “may make its value questionable to Trump, a US president who will likely define his administration in large measure by competition with Beijing”.

Lourenço expressed hope that the Trump administration would construct on the initiative.

“Powers come and go, so, all we have to do is to be ready to work with those that will be in power,” he instructed the New York Times forward of Biden’s go to.

The Lobito Corridor is a joint challenge between the three African nations, the US, different G7 powers and personal traders.

“We have a collective commitment for global support among the G7 countries of $600bn [£470bn] and over – through 2027,” stated Helaina Matza, the appearing particular coordinator for the challenge on the US Department of State.

Lourenço defended the funding, dismissing considerations that it mimics the colonial-era exploitation of Africa’s sources.

“Today, when we export the minerals, we export them in the interest of the African countries, different from what used to be in the colonial period when they were extracted without the consent of our indigenous people,” he instructed the New York Times.

AFP View of the port of Lobito, with shipsAFP

Lobito port will see a lift in enterprise if the rail challenge succeeds

But increasingly African nations are contemplating lowering the export of uncooked supplies to advertise native processing.

Anthony Carroll, a minerals professional on the US Institute of Peace, stated that if this occurs, it may derail the projected financial influence of the hall.

He is optimistic that the huge deposits of copper in DR Congo and Zambia will preserve the Lobito Corridor viable as there exists “a steady demand” for it globally.

Lithium and cobalt have a extra “cyclical” demand, he says.

The US Geological Survey estimates that DR Congo has practically half the world’s cobalt deposits.

The huge central African nation presently accounts for about 63% of the worldwide provide of the mineral, the majority of which is exported uncooked.

Mr Angelo is optimistic that African nations will incrementally develop their industrial capabilities.

He describes Biden’s go to, and the funding within the Lobito Corridor, as an enormous enhance for Angola’s efforts to alter its picture.

“He presents Angola as a safe place to invest,” Mr Angelo says, including: “Where the US president goes, the whole world follows.”

Angola has been rebuilding its infrastructure following the top of an nearly 30-year civil warfare in 2002.

The battle destroyed the colonial-era Benguela railway line, which is a part of the hall, with solely 3% of it in use on the finish of the battle.

Efforts to revive it then started, with China being the primary to put money into it.

Getty Images Train between Lobito and Benguela in AngolaGetty Images

China has already helped construct a stretch of the railway

Between 2006 and 2014, China invested about $2bn to renovate the railway via a rail-for-oil deal.

But Lourenço has expressed remorse over the deal, telling the New York Times that it was “disadvantageous” to Angola.

“If you would ask me now if I had to take a new loan under the same conditions, I would say: ‘No’,” he stated, including that Angola would, however, repay the debt.

China’s large infrastructure funding, via its formidable Belt and Road Initiative, has been criticised for driving nations in Africa, and Asia, into deep debt.

The US’ transfer into large infrastructure investments in Africa would exist alongside Chinese-backed initiatives, representing a extra multipolar strategy.

China already controls as much as 80% of copper mines in DR Congo, one of many world’s largest producers of the mineral.

With the worldwide focus transferring to greener vitality, together with electrical autos, the mines of central Africa will develop into increasingly enticing.

The American shift to investing in infrastructure within the area comes subsequently as no shock.

Already, work has began alongside the Lobito Corridor, with the primary part of it encompassing the upgrading of the prevailing railway from the port to DR Congo’s border, with funding from the US Development Finance Corporation.

Ms Matza stated the second part would come with 800km of latest railway, beginning in Angola.

The aim is to ultimately join the Atlantic Ocean to the Indian Ocean via Tanzania.

Beyond transporting minerals, the railway may additionally enhance commerce and agriculture throughout the route.

The Africa Development Bank is already funding initiatives to the tune of $500m to spice up home and cross-border commerce via the event of small companies, cooperatives and merchants alongside the Lobito Corridor.

In 2023, US commerce with Angola was roughly $1.77bn, based on the State Department, making the oil-producer America’s fourth-largest commerce associate in sub-Saharan Africa.

President Biden’s go to fulfils a pledge he made to the continent in 2022, albeit belatedly.

It additionally helps form Angola’s place in regional and world growth for years to come back, regardless of uncertainties about the place the Trump administration will take the connection.

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