This announcement comes at the height of strengthening trade and diplomatic ties between China and the Middle East, traditionally under American influence.
Saudi Arabia announced $10 billion in investment deals on Sunday, the first day of an Arab-Chinese economic conference in Riyadh, most of which have been struck by the oil-rich monarchy. This announcement comes at the height of strengthening trade and diplomatic ties between China and the Middle East, traditionally under American influence, with Beijing overseeing even the recent rapprochement between the region’s two major rivals, Iran and Saudi Arabia has.
The tenth Sino-Arab Economic Conference, held for the first time in the Gulf Kingdom, will bring together more than 3,500 decision-makers and representatives from Chinese and Arab companies over two days, according to the Saudi Investment Ministry.
New technologies, agriculture, renewable energies or real estate
“Day one was marked by the signing of $10 billion worth of investment agreements,” covering areas ranging from new technologies to agriculture, including renewable energy, real estate, minerals or tourism, the ministry added. Most of these have been concluded between Chinese companies and Saudi private or public companies for an amount of at least $8 billion.
Notably, a memorandum of understanding was signed between the Saudi Ministry of Investment and Chinese electric car maker Human Horizons to set up a $5.6 billion joint venture. Another $533 million deal was struck between AMR ALuwlaa Company and Hong Kong-based Zhonghuan International Group for an iron factory in Saudi Arabia. In addition, Saudi corporation ASK and China National Geological & Mining Corp have pledged to develop a $500 million copper mining project in the kingdom, according to the same source.
American critics ignored
This “meeting is an opportunity (…) to build a common future towards a new era for the benefit of our peoples,” said Saudi Foreign Minister Faisal ben Farhane at the opening of the conference, underlining the development potential of Arab-Chinese economic relations.
Saudi Arabia, the world’s largest crude oil exporter, hosted Chinese President Xi Jinping in December, drawing criticism from the US, its traditional partner. When asked about this, Saudi Energy Minister Abdelaziz bin Salman said he “ignored” the criticism and said businessmen go “where opportunities arise”. During his visit to Riyadh last week, US Secretary of State Antony Blinken said his country is “not asking anyone to choose between the United States and China.”