📅 Sunday Edition | 🌍 How to Trade With Africa – Weekly Newsletter (Edition #35-Extra)
Introduction: A Global Trade Reset Is Underway
There are moments in history when the ground shifts beneath our feet — when the structures we once considered stable begin to creak, sway, and crack. We are living through such a moment.
The recent wave of U.S. tariff announcements — from steel and aluminum to electric vehicles and semiconductors — is not merely about economics. It signals something deeper: the global trade order, once largely defined by post-Cold War liberalization and multilateral cooperation, is entering a new phase.
Supply chains are being rethought. Geopolitical alliances are being recalibrated. And amid this shifting landscape, an opportunity is emerging — one that Africa must seize with vision, urgency, and unity.
The Shifting Global Trade Landscape
Let’s set the stage.
In early 2024, the United States reinstated and expanded a series of tariffs targeting imports from China, citing concerns around industrial overcapacity, national security, and the need to rebuild domestic industries. Meanwhile, global supply chains — once optimized solely for efficiency — are now being redesigned for resilience and geopolitical alignment.
This shift is about more than just U.S.-China dynamics. It’s a broader rethinking of global interdependence. Countries are asking:
- Who are our strategic suppliers?
- Where is our economic vulnerability?
- How can we “friendshore” or “nearshore” production?
These questions have created both disruption and opportunity.
And if Africa is listening closely, it should recognize this for what it is: an inflection point.
Why Africa Should Be on the Global Radar
Africa has long been viewed through a limited lens — often as a continent rich in resources but poor in infrastructure, governance, or opportunity. But that outdated narrative no longer holds.
Today’s Africa is home to:
- 1.4 billion people, with a median age under 20
- The world’s largest free trade zone: The African Continental Free Trade Area (AfCFTA), is crafted to create one market of 54 countries, and once realized, stands a potential to significantly change the lives of many across the continent.
- Growing urbanization, with over 50 cities projected to exceed 1 million residents by 2030
- A booming digital economy, expected to reach $180 billion by 2025
What Africa needs now is not recognition, but recalibration — a global acknowledgement that Africa is not just a market to exploit or a development case study, but a partner in reshaping global commerce.
From Extraction to Partnership: A New Trade Ethic
For too long, Africa’s role in global trade has been defined by resource extraction: oil, minerals, coffee, and cocoa, etc. But the profits rarely stayed on the continent, and value addition was minimal.
It’s time for a new paradigm — one built on mutual benefit, value creation, and industrial transformation.
Imagine this:
- African lithium powering global EVs — not just as raw ore, but in locally assembled batteries
- African cocoa transformed into world-class chocolate, branded and exported by African companies
- African data centers serving global cloud networks, powered by renewable energy
This is not utopia. It’s achievable — but only with intentional action, with investment and rerouting resources where they are needed the most.
Infrastructure: The Arteries of Economic Growth
You cannot trade what you cannot move.
Africa’s infrastructure gap is perhaps the most well-documented constraint on its trade potential. The World Bank estimates that inadequate infrastructure costs African economies up to 2% of GDP growth annually. But the good news? That’s a fixable problem.
Africa need:
- Efficient ports and customs systems
- Modern highways and rail networks to connect countries and industrial zones
- Digital infrastructure — broadband, data centers, and 5G deployment
- Reliable energy grids, with a transition to renewables
This is not just about attracting investment — it’s about enabling local industries to thrive and to compete globally.
Let’s be clear: The AfCFTA will only succeed if it’s underpinned by physical and digital infrastructure that makes intra-African trade viable and cost-effective.
Skills: Building Africa’s Workforce of the Future
Africa’s youth bulge is often described as either a ticking time bomb or a demographic dividend. It will be neither — unless Africa invests in the skills of the future.
Automation, AI, blockchain, biotech, etc. — these are the industries of tomorrow. But how does Africa prepare its youth to leverage opportunities created through these industries?
Africa need:
- Curriculum reform that emphasizes critical thinking, coding, STEM, and entrepreneurship
- Public-private partnerships to build vocational and technical training centers
- Investment in research and development — not just adoption of foreign tech, but creation of tailored tech to solve local problems.
Education must not stop at the classroom. It must become a continental priority — a foundation for economic competitiveness.
Industrialisation: The Heart of Economic Sovereignty
No nation has developed without industrialisation. It’s as simple as that.
For Africa, industrialisation isn’t just an economic strategy — it’s a path to dignity, resilience, and global influence.
The goal? Move from being exporters of raw materials to manufacturers of finished goods.
To do that, African governments must:
- Establish more special economic zones (SEZs)
- Offer more incentives for local production
- Encourage innovation
- Support regional value chains that connect producers, processors, and exporters across borders
And yes, environmental sustainability must be embedded in this journey. Africa must industrialise differently — cleanly, digitally, inclusively.
African Businesses: The Time to Go Global is Now
To African entrepreneurs, creatives, manufacturers, and service providers:
Don’t wait. Don’t ask for permission. Go Local, Go Continental, & Go global to expand & cushion your business to ensure sustenance.
Build partnerships. Find markets. Expand your reach. The global demand for authentic, ethical, innovative products is growing, and African businesses are uniquely positioned to deliver.
What’s needed?
- Access to finance and trade facilitation
- Branding and storytelling to shape global perception
- E-commerce platforms and logistics solutions that can scale
- Strategic collaborations with diaspora networks, accelerators, and export councils
Africa must become a continent of exporters — not just of commodities, but of brands, ideas, and culture.
Governments: Step Into the Role of Enabler, Not Gatekeeper
For this transformation to occur, African governments must evolve.
The role of the state must be to enable, not obstruct.
- Cut red tape.
- Make it easier to start and scale a business.
- Create stable, transparent regulatory environments.
- Invest in public goods that catalyze private innovation.
And above all — listen to the private sector. Co-create policy. Learn from what’s working. Be bold in reform.
The competition isn’t the country next door — it’s the global marketplace. The country next door should be co-opted into the value chains to strengthen the business offering on the continent and globally.
To the World: Look to Africa Differently
To international investors, partners, and policymakers reading this, understand this:
Africa does not want charity. Africa wants partners — those willing to invest, co-create, and build long-term value.
This is not just a moral imperative. It’s a strategic one.
Africa represents:
- The world’s next billion consumers
- A deep pool of talent and creativity
- A frontier for innovation in fintech, agriculture, and green energy
So ask yourself: Are you investing in Africa’s potential, or still trapped in old paradigms?
The Role of the African Diaspora
Let’s not forget the bridge-builders.
The African diaspora — from Toronto to Tokyo, London to São Paulo — is one of the most underutilized assets in Africa’s development story.
Diaspora communities can:
- Transfer skills and knowledge
- Mobilize investment and venture capital
- Serve as ambassadors for African products and culture
These networks can be formalized & built to form diaspora investment platforms, knowledge exchange programs, and trade missions.
What Success Looks Like by 2035
Let’s paint a picture.
By 2035, Africa wants to see:
- African-made EVs driving on African roads
- African pharmaceutical hubs exporting vaccines globally
- Seamless digital payments across 30+ African countries
- A new generation of African unicorns, listed on African stock exchanges
- A continental logistics network rivalling the best in the world
- Africa’s Workforce of the Future equipped with skills required to meet future demands
This is not fantasy. This is planning, execution, and vision — done right.
The Urgency of Now
The world is changing. Fast.
Those who move slowly will be left behind. Those who hesitate will miss the wave. Africa cannot afford to delay. This is not just a moment — it is the moment.
As the global trade order resets, Africa has the chance to reset its trajectory. To move from the periphery to the center. To lead.
Conclusion: Building Forward Together
Africa stands at the crossroads of history, between the old world and the new. Between extraction and innovation. Between dependency and sovereignty.
Africa has the resources. The people. The vision. What it needs now is alignment.
Governments must govern wisely. Businesses must think boldly. Investors must act ethically. And citizens must believe in their potential.
Let this not be another missed opportunity. Let it be the beginning of Africa’s global era — not as a follower, but as a co-architect of a more balanced, inclusive, and sustainable world.
Let’s not wait for the world to notice Africa. Let’s make Africa impossible to ignore.
👉 Got thoughts or insights to share? Hit reply—we’d love to hear from you!
Until next time, keep trading smart 💼🌍 – stay inspired, stay curious, and let’s connect!
Warm Regards,
Ngoanamokgotho Maggie Tladi
Your Trusted Guide to Trading with Africa