Niger’s relationship with China is becoming strained, less than a year after the military coup in July 2023 that removed President Mohamed Bazoum from power. After the coup, the new military leaders cut ties with Western countries and looked to China and Russia for support. But recent developments suggest the cooperation with China is facing challenges.
Energy disputes raise diplomatic concerns
On Wednesday, Chinese Foreign Minister Wang Yi met with Niger’s Foreign Minister, Bakari Yaou Sangaré, in the city of Changsha. During their meeting, Wang urged Niger to resolve its disagreements with Chinese energy companies through open dialogue.
In March, Niger’s military government expelled three Chinese oil executives from China National Petroleum Corporation (CNPC) and its subsidiaries. The decision came after disputes over pay differences between international and local workers. Authorities also revoked the licence of a Chinese-owned hotel in Niamey, citing unfair practices and administrative breaches.
Tensions increased in May. The government told CNPC and its refinery unit, Soraz, to end contracts for foreign workers who had served for more than four years.
Key projects and investments under pressure
Wang asked Niger to protect the rights and safety of Chinese companies and citizens. He also urged the country to maintain stable conditions for long-term cooperation. This includes the Agadem oilfield and a 1,980-kilometre pipeline from Agadem to Seme, a port in Benin. CNPC built the pipeline, which became operational in 2023. The project cost around US$7 billion. CNPC also invested US$980 million in the Soraz refinery, completed in 2011.
The pipeline has faced issues. Armed attacks disrupted oil transport, and Benin temporarily blocked exports of Nigerien crude oil to China. These setbacks caused financial losses for CNPC and Chinese banks.
To support Niger’s new government, China provided a US$400 million oil-backed loan. Niger agreed to repay the loan with crude oil shipments over 12 months. This funding helped the government manage an urgent cash shortfall.
Security issues remain a concern
Sangaré said China is now Niger’s main partner in trade, investment, and the economy. He added that the two countries had upgraded their relationship to a strategic partnership. He expressed Niger’s willingness to build mutual trust and maintain regular dialogue.
Despite these efforts, Niger’s security situation remains unstable. Armed groups continue to launch attacks in several areas. Earlier this month, the Chinese Embassy in Niamey advised Chinese nationals to limit travel and avoid crowded areas. The embassy warned that the security outlook across the country remains “tense and complicated”.