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China is making friends in resource-rich East Africa

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China has been developing deeper bonds with countries in Eastern Africa, where there are substantial deposits of oil ( USO , quote ), natural gas ( UNG , quote ) and copper ( JJC , quote ), among other natural resources. This is happening when the United States and others are pulling back, rendering significant economic advantages to Chinese trading partners.

In the Seychelles Islands off the coast of Eastern Africa, China has been competing with India for influence. The three nations share a common interest in battling coastal pirates, and the Seychelles offered the Chinese the opportunity to establish a naval fueling station last year. China has been considering the offer, though India's recent defense agreement with the Seychelles may have superseded it.

Back on the mainland, China has been helping mediate oil talks between Sudan and South Sudan. China has both financial and human interests at stake, as evidenced by the recent kidnapping and release of 11 Chinese workers by Sudanese rebels. Beijing owns one of two pipelines transversing the Sudan, and has also invested heavily in the copper industry of Zambia further to the south.

As legendary uncle Ben Parker once said, "With great power comes great responsibility." China seems to be embracing its international responsibilities as its influence grows.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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