US embassy cable - 03HARARE48

S E C R E T HARARE 000048 
 
SIPDIS 
 
LONDON FOR CGURNEY 
PARIS FOR CNEARY 
NSC FOR SENIOR AFRICA DIRECTOR JENDAYI FRAZER 
 
E.O. 12958: DECL: 01/07/2012 
TAGS: PREL, ZI, CI 
SUBJECT: CHINESE TIES TO ZIMBABWE 
 
REF: 02 STATE 219948 
 
Classified By: POLITICAL SECTION CHIEF MATT HARRINGTON.  REASONS: 1.5 ( 
B) AND (D). 
 
1.  (S) The ruling ZANU-PF party has long maintained a close 
diplomatic and military relationship with China, dating back 
to the liberation war in the 1970's.  Since independence in 
1980, the Government of Zimbabwe (GOZ) has purchased a range 
of military hardware from China, including aircraft, 
armaments, air defense radars, and medical equipment.  The 
two countries frequently exchange senior-level visits by 
military delegations, and China regularly sends technical 
military advisors to work with their Zimbabwean counterparts. 
 Zimbabwe sends significant numbers of military officers to 
Chinese training courses each year.  We understand that China 
was considering the possibility of establishing a facility in 
Harare to refurbish Chinese military equipment in the region, 
but it is unclear whether these discussions have moved beyond 
the exploratory stage.  China has also provided cellular 
telephone intercept equipment to Zimbabwe's Central 
Intelligence Organization, a move that will significantly 
increase the ruling party's capacity to monitor those who 
oppose it. 
 
2.  (U)  China maintains one of the largest embassies in 
Harare, with eighteen diplomats on the diplomatic list, 
including seven officers in the economic/commercial section 
alone.  In addition, three military officers serve in the 
Defense Attache's office.  Two correspondents with China 
Radio International -- a bureau chief and one other 
journalist -- are assigned to Harare, along with one or two 
correspondents with the Chinese news network. 
 
3.  (C)  The private Chinese community in Zimbabwe is, by 
comparison, relatively small, comprising only several hundred 
citizens who run restaurants, foreign exchange bureaus, and 
small-scale import-export businesses.   Chinese DCM Zheng 
Zhuqiang told us private trade between China and Zimbabwe is 
fluorishing, and reported that China imports significantly 
more from Zimbabwe than it exports (Note: about three times 
more, according to GOZ trade statistics.  End Note.)  In 
2002, approximately 30 percent of Zimbababwe's tobacco 
exports went to China.  At the same time, Zheng lamented the 
deteriorating macroeconomic environment in Zimbabwe and 
predicted that the situation would only worsen.  The GOZ, he 
said, was currently unable to repay large loans from Beijing. 
 Regarding government-supported investment, the picture was 
not encouraging, either.  For instance, the GOZ's imposition 
of price controls recently forced the closure of a profitable 
joint venture cement production company formed only in 2000. 
 Zheng also implied that a Chinese parastatal construction 
company -- which in the past has built major infrastructure 
projects such as roads and dams -- is struggling.  In a 
gesture of goodwill, the PRC recently donated 4,500 tons of 
yellow maize directly to the Government of Zimbabwe and 
provided some cash assistance to the GOZ for food purchases. 
 
 
4.  (C)  The PRC is beginning to reach out to the opposition 
MDC, in an apparent sign of growing realization that the 
political and economic crises in Zimbabwe are unsustainable. 
 The Chinese Ambassador recently hosted several senior MDC 
leaders for dinner.  According to one of the MDC attendees, 
the Ambassador expressed serious concern about the 
deterioriating political crisis in Zimbabwe and took his 
guests by surprise with his outspoken criticism of Mugabe's 
unwillingness to relinquish power.  He reportedly offered to 
arrange a visit to China by a senior MDC delegation. 
 
 
SULLIVAN