FOCAC in the green industrialization space: the plan, support, and collaboration

By  Isaac ANKRAH (Dr)

 Africa’s development aspirations are unmistakably clear: industrialize, create jobs, and enhance its position in the global value chain. Yet, the path to rapid industrialization has often faced significant hurdles, marred by environmental degradation and a continued reliance on fossil fuels.

To make matters worse, green technology investments have been slow to take root in the industrial sector, creating a space in developing sustainable supply chains, local manufacturing capabilities, and access to emerging eco-friendly markets. In this complex landscape, the Forum on China-Africa Cooperation (FOCAC) presents a beacon of opportunity. But how does it address these challenges head-on?

The Beijing Action Plan: An Unwavering Commitment to Green Industrialization

Unlike the 2021 Dakar Action Plan, which maintained a pronounced focus on oil and gas exploration, the 2024 Beijing Action Plan (BAP) marks a transformative pivot towards renewable energy and green technologies. The commitment to upgrading coal-fired power plants and launching special clean energy projects is a clear signal of intent: China is ready to power Africa’s low-carbon future.

By the end of 2023, China had spearheaded a significant number of energy projects across Africa, including the development of several small hydropower stations and investments in solar and wind energy. These initiatives have laid the groundwork for Africa’s green industrial growth, ensuring that energy shortfalls are addressed without further contributing to climate change.

The 2024 FOCAC Action Plan further amplifies these efforts by setting a comprehensive roadmap to bolster energy infrastructure and advance the continent’s overall industrial growth through a sustainable lens. A notable feature is the development of 30 strategic clean energy projects, with a focus on solar, wind, and hydropower.

These initiatives intend to drive Africa’s industrial shift away from fossil fuel dependency toward renewable energy, allowing it to meet its industrial demands while aligning with global sustainability targets and addressing the climate crisis.

Financing the Green Shift: RMB 360 billion in Support

In the deep recesses of the Beijing Action Plan (BAP) is the pledge of RMB 360 billion in financial backing over the next three years. The support constitutes credit lines, direct investments in green manufacturing, and infrastructure for renewable energy. Analysis of Sections 7 and 9 of the Plan indicates a significant investment going into the green industrialization vision, involving the creation of green industrial zones and innovation parks.

These zones are expected to act as centers of excellence, allowing African industries to collaborate with Chinese enterprises to share technologies, promote resource efficiency, and implement waste recycling practices.

Complementarily, the industrial parks will serve as demonstration projects for other regions, showcasing how green industrial practices can deliver both economic growth and environmental protection.

It is worth stating that the financial lifeline does more than providing the capital for Africa’s industrialization. It sets the stage for Africa to emerge as a pivotal player in the global green economy.

Beyond the economic boost, the funding aids Africa’s long-term goal of developing environmentally conscious industries that can compete in a sustainable future. Equally important is the emphasis on capacity building at the local level.

That is, through vocational training programs and skills development initiatives, the industrial zones will empower communities, equipping young Africans—particularly women and the youth—with the tools necessary to lead the green revolution.

The approach signals that Africa’s industrialization is not only sustainable but also inclusive, creating opportunities for smaller businesses to thrive alongside larger manufacturing giants.

Strategic Cooperation for Green Industrialization

As they say, it takes two to tango. China is not carrying out the BAP alone. Indeed, there is a calculated effort to collaborate with other stakeholders in the green industrialization space. Few weeks after the 2024 FOCAC summit saw the Africa Climate Foundation (ACF) signing a three-year Strategic Cooperation Framework Agreement with China’s Ministry of Industry and Information Technology and China Testing and Certification International Group.

The agreement was the first formal cooperation between the ACF, and the Chinese government and it is said “to unlock new opportunities in green and low-carbon industrial development, aligning with the recent outcomes of FOCAC, including the Beijing Declaration and Action Plan”. What’s more ACF emerged as a key partner in launching the BRICS “Green Manufacturing Partnership” campaign alongside prominent Chinese and international stakeholders.

It is safe to say that this and other partnerships are capable of transforming Africa’s energy infrastructure through capacity building, research, and sustainable energy solutions. Whether it’s upgrading energy grids or implementing low-carbon technologies in manufacturing, the collaboration ensures that Africa’s future industrial base will be built on clean and renewable energy sources.

A Future Built on Green Industrialization

Envisage an African city once plagued by energy shortages, where industrial growth was stifled by unreliable power. Now, fast-forward to a future where rows of solar panels glint under the African sun, and wind turbines spin steadily in the breeze, powering entire manufacturing hubs that create eco-friendly products for the global market. In this new reality, Africa isn’t just industrializing; it’s doing so with green energy at its core, and China’s FOCAC initiative is at the heart of this transformation.

The focus on green industrialization is Africa’s opportunity to kill two birds with one stone—growing its economy while reducing its carbon footprint. The plan is comprehensive, standing out not just as an ambitious but a thoughtful approach.

The financial support, earmarked at RMB 360 billion, is a bold one, targeting critical areas such as renewable energy infrastructure, green manufacturing, and the creation of zones and innovation parks to enable Africa leap forward in the global green economy. For the collaborations, they are strategic, serving as the secret sauce to ensure sustainability and long-term success of green industrial development.

But what sets the Plan apart is its inclusivity—a commitment to vocational training and skills development, especially for youth and women. In essence, this ensures that Africa’s green revolution doesn’t come from the top down but is built from the ground up, empowering communities at every level.

Thus, the ripple effect will be immense—local talents can rise to the occasion, leading their own industries while small businesses flourish alongside manufacturing giants.

Through FOCAC, Africa is not only industrializing but doing so sustainably, setting the stage for a new era of growth driven by green energy, innovation, and collaboration.

Dr. Ankrah is a Senior Research Fellow, Africa-China Centre for Policy and Advisory and Lecturer, Ghana Communication Technology University.

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