BRIDGES AFRICA | VOLUME 5, ISSUE 7 – SEPTEMBER 2016 22 SOUTH-SOUTH TRADE Southeast Asia in Africa: A partner for development? Florencia Rubiolo F rom the turn of the century onwards, Africa has been placed in the centre of the debate over emerging economies in the South. The continent has also been going through a period of economic growth starting from the beginning of the 21st century. Despite such a general trend, this observation should not be extended to every country in the continent, since there are different levels of growth among them. Attached to the processes of economic growth in the African continent, the emergence of new international partners must be highlighted. The not-so-emergent presence of China in various African economies has become the outstanding feature of any economic analysis focusing on the continent and its relaunched relations with Asia. Beijing has implemented an assertive foreign policy towards resource-rich countries, and developed dynamic trade relations, exchanging natural resources (mainly oil, but also metals, iron ore, and wood) for Chinese industrial manufacture. Chinese enterprises have also embarked on large foreign direct investment (FDI) projects, directed mostly to the oil industry. According to UNCTAD’s World Investment Report 2016, China’s FDI stock increased more than three times from 2009 to 2014, jumping from US$3.6 billion to US$13.3 billion. The main host economies in 2014 were fuel- and mineral-exporting countries: the Democratic Republic of the Congo, Sudan, and Zambia. Despite the drop in oil prices, FDI lows to Africa from China are expected to increase in 2016, along with trade lows. Although China is the main trade partner and FDI origin for Africa among developing countries, there are other countries and regions in Asia that are emerging as strong actors on the African continent. Southeast Asian economies are among them, and are increasing their presence in different economic sectors through diverse strategies and diplomatic practices. Southeast Asian trade and investment in Africa The diplomatic ties between Africa and Southeast Asia have historically been sporadic and erratic. The only country from the region that maintained a relatively closer link to some African countries in the irst decades after independence was Indonesia. Today, trade has gained momentum – the largest trading partners of ASEAN in Africa being Egypt, Nigeria, and South Africa – thanks to the growth rates of emerging countries in both regions. 1 Among the Southeast Asian economies, the ones showing an increasing presence in Africa are Indonesia, Malaysia, Singapore, and Thailand. Trade is underpinning these relations, with Thailand and Singapore being the most important trading partners from the region. According to UN Comtrade, Singapore’s main destination markets in Africa in 2015 were Liberia and South Africa, while for Thailand the main export markets were Egypt and South Africa. Exports to African economies from Southeast Asia mainly consist of vehicles and their parts, electronic equipment, reined petroleum, chemicals, rubber, rice, and metals. It must be highlighted that the wealthiest African countries are becoming a main target for Southeast Asian economies seeking to expand their export markets to new horizons. South Africa and Egypt are the two main receptors of these exports and are gaining relevance in Southeast Asian countries’ trade strategies. Thailand’s identiication of South Africa as a strategic partner and gateway to Southern Africa clearly indicates this. Southeast Asian emerging economies are stepping in the African continent searching for natural resources, markets for their products, and opportunities for investment. What are the prospects for African countries’ development in this rapprochement?