The rapid ascent of China’s economic influence in Africa has been both undeniable and transformative, particularly since China overtook the United States as Africa’s largest trade partner in 2009. By 2023, China had quadrupled the U.S.-Africa trade volume, a trend that has become a growing concern for U.S. policymakers.
The widening trade gap between the U.S. and Africa has spurred a renewed American interest in developmental and infrastructure investments aimed at strengthening U.S.-Africa economic ties. It is in this context that the Lobito Corridor—an ambitious 1,300 km railway project spanning Zambia, the Democratic Republic of Congo (DRC), and Angola—emerged in 2023 as a key U.S.-backed initiative.
China’s Influence and the Belt and Road Initiative (BRI)
China’s engagement with Africa has largely been driven by its Belt and Road Initiative (BRI), an immense infrastructure and economic development project launched in 2013. The BRI is intended to enhance global trade routes and boost economic growth across participating countries. In Africa, China’s role through BRI has been nothing short of comprehensive. As of 2023, 52 African nations had signed Memorandums of Understanding (MoUs) related to BRI, resulting in tens of billions of dollars in loans aimed at constructing essential infrastructure—roads, ports, and railways—that have unlocked economic potential in resource-rich but capital-deficient regions.
In 2023 alone, China provided $21.7 billion in loans to African countries under the BRI umbrella. Beyond its financial reach, these loans have facilitated access to Africa’s vast natural resources. The Democratic Republic of Congo (DRC), for example, is home to 72% of the cobalt and copper mines owned by Chinese companies. Similarly, in Guinea, Chinese firms dominate the bauxite industry, including significant stakes in the Simandou iron ore mine. This influx of investment and control over key industries has further entrenched China’s economic dominance on the continent.
Lobito Corridor: A U.S.-Backed Response
Against the backdrop of China’s deep-rooted presence in Africa, the United States, alongside other Western allies, has sought to re-establish its influence on the continent through the Lobito Corridor project. Announced in October 2023 at the EU Global Gateway Forum, the project is a collaborative effort involving the African Development Bank (AfDB), Africa Finance Corporation (AFC), the United States, and the European Commission. The Lobito Corridor aims to build critical infrastructure that will connect northwestern Zambia to the Angolan port of Lobito, located on the Atlantic Ocean, providing the landlocked nation with a new export route.
Structurally, the Lobito Corridor’s funding model reflects a similar approach to China’s BRI. However, the U.S. strategy emphasizes multilateralism and private sector involvement. Through September 2024, the United States has committed over $3 billion to the project across various sectors, including transportation, logistics, agriculture, clean energy, health, and digital access. Much of this funding is sourced from the Partnership for Global Infrastructure (PGI), a G7 initiative launched in 2022 to bolster global infrastructure efforts. The goal is clear: the U.S. hopes to create a viable alternative to China’s infrastructure-focused diplomacy by targeting critical infrastructure and development needs across Africa.
Strategic Importance of the Lobito Corridor
The Lobito Corridor stands out as a critical piece of infrastructure aimed at transforming trade patterns in southern Africa. Currently, Zambia’s copper exports—one of its most vital industries—are shipped eastward through Tanzania’s Dar Es Salaam port on the Indian Ocean. The Lobito Corridor, however, will offer an alternative westward route, linking Zambia’s copper belt to the Atlantic Ocean for the first time. This railway could have far-reaching implications for the global supply chain, particularly as copper is a key material in the renewable energy transition. Beyond Zambia, the corridor is also expected to facilitate mineral exports from the DRC, which boasts some of the world’s richest deposits of cobalt and other essential materials used in battery production and green technologies.
Phase one of the project, the renovation of the Benguela railway in Angola, is already underway and progressing smoothly. By August 2024, copper shipments were already being sent from the DRC to the United States, marking the first tangible outcomes of the Lobito Corridor initiative. The second phase, which involves constructing a new railway through Zambia, is still in the planning stages, with feasibility studies ongoing.
In August 2024, Helaina Matza, a special coordinator for PGI at the U.S. State Department, provided insights into the future of the Lobito Corridor. During a press conference, she revealed that discussions had been held on expanding the corridor eastward, linking it to Tanzania’s Dar Es Salaam port via the existing Tazara railway. This expansion would create a comprehensive Trans-Africa Corridor, connecting the Atlantic and Indian Oceans and providing a new lifeline for trade across the continent.
Matza emphasized that U.S. policy has always been regional in scope, seeking to address the long-term development needs of Africa rather than focusing on isolated infrastructure projects. The ultimate aim, she noted, is to ensure supply chain resilience by facilitating access to critical minerals, which are vital for the global energy transition.
China’s Challenges: A Window of Opportunity for the U.S.?
While China remains a dominant player in Africa’s economic landscape, there are signs of weakening momentum. Chinese foreign direct investment (FDI) in Africa, which averaged $4 billion annually from 2019 to 2021, has more recently slowed. In 2023, BRI-related investments in Africa fell to $7.5 billion—a sharp 55% decline from 2021, when investment levels peaked at $16.5 billion. This pullback reflects broader economic challenges facing China in the wake of the COVID-19 pandemic and concerns over mounting debt in BRI partner countries. For example, African nations such as Kenya and Zambia have faced significant public backlash over debt sustainability, with the high costs of BRI loans straining national finances.
The decline in Chinese investment presents an opening for the U.S. and its Western allies. Although America’s FDI in Africa has lagged behind in recent years, falling into negative territory at points, the soft power of the Lobito Corridor could position the U.S. as a more favorable development partner. Growing unease over China’s lending practices has created demand for alternative infrastructure models, particularly those that prioritize transparency, debt sustainability, and regional collaboration.
What distinguishes the Lobito Corridor from China’s BRI is its multilateral approach. From the outset, the project has involved a broad coalition of partners, including African institutions like the AfDB and the AFC. This collaborative strategy serves both financial and political purposes. On the financial front, it helps spread the burden of infrastructure financing, which is especially important for projects with long timelines and uncertain profitability. The AfDB, for instance, helped raise $1.6 billion for the corridor in 2023, playing a pivotal role in its early stages.
Politically, the involvement of African institutions helps the project avoid the accusations of neocolonial exploitation that have plagued other foreign-led infrastructure initiatives. Unlike many BRI deals, the Lobito Corridor includes greater oversight from local and regional stakeholders, a point that resonates with African leaders wary of ceding too much control to external powers.
U.S. Soft Power and the Future of Africa
The Lobito Corridor is not just about economic interests; it is also a statement of U.S. commitment to African development. The timing of the project is crucial, as it coincides with growing dissatisfaction with China’s debt-heavy development model. By providing a credible alternative, the U.S. and its partners are positioning themselves as long-term allies in Africa’s growth story.
Despite China’s early lead in infrastructure development and its strong diplomatic presence in Africa, the continent’s diversity presents opportunities for the U.S. to gain ground. Africa is home to 54 countries, each with unique development challenges and varying degrees of engagement with China. While some African nations have benefited immensely from Chinese investment, others have become cautious about the strings attached. In this context, the U.S. can offer African governments more leverage in their dealings with China by presenting itself as a viable partner that promotes governance, transparency, and regional economic integration.
As China’s economic influence in Africa enters a phase of reassessment, the U.S.-backed Lobito Corridor represents a key moment in the broader competition for influence on the continent. While the Lobito Corridor still faces significant hurdles, particularly in overcoming China’s entrenched position, it has the potential to reshape the landscape of infrastructure development in Africa. More importantly, it symbolizes a shift in U.S. strategy towards multilateralism, private sector engagement, and long-term regional growth.
By providing African nations with alternatives, the Lobito Corridor could spark a new era of U.S.-Africa relations, one where Africans benefit from greater choice, competition, and cooperation. As the United States, China, and other global powers vie for influence, the continent itself stands to gain from this renewed focus on its development, marking a win-win for all parties involved.
