China Increases Manufacturing in Morocco to Take Advantage of Free Trade Agreements

 The New York Times published on 7 May 2025 an article titled "Why China Is Investing So Much Money in Moroccan Factories" by Patricia Cohen. 

China has been investing in a major way in the electric vehicle and battery production sector in Morocco.  The reason is simple.  Morocco has a free trade agreement with the EU, and this is a way to avoid high tariffs.  Morocco also has a free trade agreement with the United States, but the Trump administration has just placed a 10 percent tariff on goods from Morocco.  Nevertheless, this is a lower tariff than will likely be the case with most countries.  

EU Imposes Duties on Chinese-made Wheels Manufactured in Morocco

Morocco World News published on 24 March 2025 an article titled "EU Aluminum Wheel Tax on Morocco Reveals Trade War Brewing with China" by Adil Faouzi.

The European Union is imposing compensatory duties on Moroccan exports of aluminum wheels manufactured by Chinese companies, which take advantage of Moroccan free trade agreements to enter the European market.  The EU decision is not directed at Morocco but rather at China.

China Moves Electric Vehicle Production to Morocco to Avoid US and EU Tariffs

 Benjamindada.com posted on 6 August 2024 an article titled "China's EU Players Chart Course for Morocco Amid Subsidy Squeeze" by Andrew Christian.

Chinese electric vehicle manufacturers are shifting production to Morocco to take advantage of free trade agreements with the US and EU that permit goods manufactured there to enter both markets and bypass import restrictions and tariffs.

Kenya Concerned about Trade with China

Kenya's Business Daily published on 15 May 2018 an article titled "Kenya Rejects China-EAC Trade Pact" by Boniface Otieno.

Kenya's long-standing and large trade deficit with China was highlighted when Kenya announced that it will not sign a free trade agreement with China that has been under negotiation with the East African Community (EAC) since 2016. The decision is intended to protect Kenya's nascent manufacturing sector from being overrun by China's cheaper and more efficient producers.

China-South Africa Economic Relations

The French Institute of International Relations published in June 2013 a study titled "L'un Plus Egal que l'Autre? Les Relations Economiques entre l'Afrique du Sud et la Chine depuis 1994" by Vincent Darracq.  One of the surprises in the study is the fact that South Africa has invested more money in China than China has invested in South Africa.