A Transition from Win-Win to "Win-Lose" Outcome in Africa's Trade with China:
[Article]
A Case of In-depth Assessment of Kenya's Exports
Joseph Onjala
Leiden
Brill
Like a handful other African countries, Kenya has a thriving bilateral economic relations with China. Kenya provides a convenient entry point for Chinese merchandise imports into the Eastern and Southern Africa. Notwithstanding various bilateral trade pacts, the imbalance, China is keen to paint its relationship with Kenya as one of win-win with mutual benefit. In this analysis, we examine the competitiveness of the major disaggregated merchandise export products by Kenya to China. Applying a computed normalized revealed comparative advantage (NRCA), our findings show the scores to be generally low. The scores illuminate significant differences in the performance of merchandize export products to China. "Win-win" outcome is not tenable given the glaringly narrow scope of the export products. Kenya's own export supply capacity remains very low for the products being traded. Even if Kenya was able to exploit all the export potential with China, future trade imbalance is only likely to be exacerbated in favor of China. Like a handful other African countries, Kenya has a thriving bilateral economic relations with China. Kenya provides a convenient entry point for Chinese merchandise imports into the Eastern and Southern Africa. Notwithstanding various bilateral trade pacts, the imbalance, China is keen to paint its relationship with Kenya as one of win-win with mutual benefit. In this analysis, we examine the competitiveness of the major disaggregated merchandise export products by Kenya to China. Applying a computed normalized revealed comparative advantage (NRCA), our findings show the scores to be generally low. The scores illuminate significant differences in the performance of merchandize export products to China. "Win-win" outcome is not tenable given the glaringly narrow scope of the export products. Kenya's own export supply capacity remains very low for the products being traded. Even if Kenya was able to exploit all the export potential with China, future trade imbalance is only likely to be exacerbated in favor of China. Like a handful other African countries, Kenya has a thriving bilateral economic relations with China. Kenya provides a convenient entry point for Chinese merchandise imports into the Eastern and Southern Africa. Notwithstanding various bilateral trade pacts, the imbalance, China is keen to paint its relationship with Kenya as one of win-win with mutual benefit. In this analysis, we examine the competitiveness of the major disaggregated merchandise export products by Kenya to China. Applying a computed normalized revealed comparative advantage (NRCA), our findings show the scores to be generally low. The scores illuminate significant differences in the performance of merchandize export products to China. "Win-win" outcome is not tenable given the glaringly narrow scope of the export products. Kenya's own export supply capacity remains very low for the products being traded. Even if Kenya was able to exploit all the export potential with China, future trade imbalance is only likely to be exacerbated in favor of China. Like a handful other African countries, Kenya has a thriving bilateral economic relations with China. Kenya provides a convenient entry point for Chinese merchandise imports into the Eastern and Southern Africa. Notwithstanding various bilateral trade pacts, the imbalance, China is keen to paint its relationship with Kenya as one of win-win with mutual benefit. In this analysis, we examine the competitiveness of the major disaggregated merchandise export products by Kenya to China. Applying a computed normalized revealed comparative advantage (NRCA), our findings show the scores to be generally low. The scores illuminate significant differences in the performance of merchandize export products to China. "Win-win" outcome is not tenable given the glaringly narrow scope of the export products. Kenya's own export supply capacity remains very low for the products being traded. Even if Kenya was able to exploit all the export potential with China, future trade imbalance is only likely to be exacerbated in favor of China.