China in the Middle East: September 2024

Tianjin in the UAE: On September 3, United Arab Emirates (UAE) Prime Minister Mohammed bin Rashid Al Maktoum held talks with Chen Min’er, a Chinese Politburo member and Communist Party secretary of Tianjin, where the two praised bilateral relations and committed to stronger ties. The Emirati deputy prime minister and minister of foreign affairs also met with Chen. Two days later, Dubai’s chamber of commerce signed a memorandum of understanding (MOU) with the Tianjin Sub-Council of the China Council for the Promotion of International Trade to increase trade and investment between Dubai and Tianjin.

Ras Al Khaimah Bolsters Chinese Relations: In early September, Saud bin Saqr Al Qasimi, ruler of the Emirate of Ras Al Khaimah, traveled to Xiamen in China’s Fujian Province to deliver the keynote address at the twenty-fourth China International Fair for Investment and Trade. During his speech, the Emirati leader claimed that Ras Al Khamiah and China entered a “new era of cooperation” and characterized China as an “essential partner” to his emirate’s future. During his stay in China, Al Qasimi met with Hé Lìfēng, China’s second vice premier, and visited the Guangdong Province cities of Dongguan and Shenzhen. Toward the end of the month, Al Qasimi hosted a Chinese delegation from the Guangdong Province; the two sides discussed cooperative opportunities between the emirate and the province.

Conferences, Conferences, Conferences: In late August, the UAE was home to a luxury travel conference where Chinese and Arab tourism companies networked to bring Chinese travelers to the region. In the first few days of September, the Sichuan government hosted the World Energy Battery Conference with the UAE as the guest of honor. The Arab country showcased its achievements in renewable energy, technology, and innovation. In Beijing, the UAE embassy hosted over a hundred Emirati and Chinese academics and scientists during the first UAE-China Think Tank Forum. In addition to serving as a platform for increased think tank collaboration, the forum convened experts with shared interests such as economic and trade exchange, culture, and education. Mid-month, Dubai hosted the 2024 China-MENA Intelligent Transportation Development and Cooperation Conference, which brought together officials from China, Iran, Saudi Arabia, the UAE, and other countries to discuss entry opportunities for China in the Arab world’s transportation market. The UAE also sent a delegation to the China-ASEAN Expo held in the south of China led by Undersecretary of the Ministry of Commerce Abdullah Ahmed Al Saleh. On the sidelines, Al Saleh met with the governor of China’s Guangxi Province to discuss trade. The same week, the UAE participated in the China International Fair for Trade in Services held in Beijing. During the fair, the China Council for the Promotion of International Trade hosted the UAE-Beijing Economic Forum to discuss greater economic and technological cooperation between the two countries. On the sidelines of China Arbitration Summit 2024, held in Beijing at the end of September, the head of Qatar’s delegation, along with the vice chairman of China’s International Economic and Trade Arbitration Commission, signed an agreement to bolster China-Middle East communication and collaboration in international commercial arbitration and dispute resolution.

In late September, Qatari Minster of Transport Jassim bin Saif Al Sulaiti traveled to Beijing for the 2024 Global Sustainable Transport Forum. During his visit, Al Sulaiti met with his Chinese counterpart to discuss greater cooperation on smart transportation technologies.

The head of Saudi Arabia’s Oversight and Anti-Corruption Authority led a delegation to the Global Operational Network of Anti-Corruption Law Enforcement Authorities plenary meeting held in Beijing. The Saudi Water Authority hosted the Saudi-Chinese Water Cooperation Forum in Beijing this month to promote “investment, development, and innovation opportunities in the water industry” between the two countries.

New Deals: In late August, the UAE sovereign wealth fund Mubadala Investment Company announced it had acquired the Chinese business of a Belgian global biopharma firm, including a manufacturing site in Zhuhai in partnership with an Asian health-care-focused asset manager. A few days later, the Dubai Financial Market and Shenzhen Stock Exchange signed an agreement to promote investments and increase collaboration. The two will also work on joint seminars, research, training opportunities for listed companies, environmental, social, and governance practices, and market and product development and regulation.

Building on a similar agreement signed by the University of Sharjah in November, Emirati company Orbital Space inked an accord with China’s Deep Space Exploration Lab to possibly support China’s efforts to build its International Lunar Research Station. On September 9, a shipping logistics subsidiary of ADQ, a UAE sovereign wealth fund, awarded $115 million in contracts to Chinese state-owned engineering company Shanghai Zhenhua Heavy Industries Company. Beijing’s corporation will provide twenty-three cranes to the Emirati firm’s terminals in Angola and Republic of Congo. Etihad Airways and SF Airlines, a subsidiary of China’s largest delivery and logistics company, announced a joint venture in the middle of September. The chairman of the UAE firm called the venture “a true testament” to thriving UAE-China relations.

Toward the middle of September, state-owned QatarEnergy signed an agreement with Chinese state-owned China State Shipbuilding Corporation to build six additional liquefied natural gas vessels (LNGs)—in addition to the eighteen already ordered—to be delivered to the Gulf state between 2028 and 2031. The value of all twenty-four ships is estimated to be $8 billion. The Qatari company also announced that one of those LNGs will be named the Rex Tillerson to honor the former secretary of state and energy executive’s achievements in the energy sector. On the same day, a Chinese autonomous driving company signed an agreement to establish a research-and-development operation in the Qatar Science & Technology Park.

In September, Saudi Aramco announced agreements to deepen energy security collaboration with two Chinese firms. Later in the month, Riyadh’s oil company signed a five-year partnership with China National Building Material Group on industrial development in the kingdom. In an interview with Xinhua, the head of the Saudi Fund for Development—the Saudi government agency working on financing projects in developing countries—made clear that he would welcome Saudi Arabia-China collaboration on projects in other countries and described China’s global development projects as complementary to Saudi Arabia’s. On September 17, Riyadh announced its approval for two of the kingdom’s firms to establish exchange-traded funds (ETF) tracking Hong Kong–listed equities, expected to collectively accumulate close to $900 million. This followed the city’s launch of an ETF in November 2023 that tracked Saudi stocks and raised more than $1 billion.

Saudi Industry Minister Visits China: August’s update discussed a Chinese delegation visit to Saudi Arabia; in September, it is the kingdom that visits China. Over the month’s first two weeks, Saudi Industry and Mineral Resources Minister Bandar Al Khorayef led a delegation to visit Guangzhou and Hong Kong to strengthen bilateral relations and draw investments. In Guangzhou, the delegation held a roundtable with the province’s chamber of commerce and met with the mayor and with Chinese automotive and mining companies. In Hong Kong, Al Khorayef had meetings with government officials to discuss enhanced industrial-sector cooperation and joint investment opportunities. Al Khorayef also traveled to Singapore, where he met with the minister of manpower and second minister for trade and industry to discuss greater economic cooperation.

China Continues to Condemn Israel: Beijing continued its condemnation of Jerusalem in September. As Israel picked up its operations in the West Bank, China’s deputy permanent representative to the United Nations, Geng Shuang, denounced Israel’s actions, expressing shock and concern and adding, “We must never allow the same humanitarian catastrophe in Gaza to happen in the West Bank.”

 When Hamas murdered six Israeli hostages in Gaza, rather than use words that referred to the terrorist organization’s explicit actions, the Chinese Foreign Ministry spokesperson expressed “deep regret for the death of the six captives.” At the UN, Geng said “The six hostages who perished in Gaza are distressing.” As reported in Chinese state-run media outlets, Geng called for the “immediate release of all detainees, be they Israeli or Palestinian.” In mid-September, he urged the United States to be “responsible” by influencing Israel to halt military operations per the Council resolutions, “to give the long-suffering Palestinian people a chance to live.”

Throughout the month, China continued to defend Lebanon with language supporting Beirut’s sovereignty. Referencing Israel’s attack on Hezbollah communication devices, China’s ambassador to the UN Fu Cong said, “China once again condemned such unscrupulous and indiscriminate attacks...We firmly support Lebanon in defending sovereignty, security, and national dignity.” After Jerusalem conducted an air strike that killed Hezbollah leader Hassan Nasrallah, the Chinese foreign ministry expressed China’s concern about escalation, its opposition to Israel’s infringement, and its condemnation of attacks on civilians. By the end of the month, China’s embassy in Israel began to urge its citizens to leave the Jewish state.

Turkey Bolsters Ties with China: At the beginning of September, Turkey applied for membership in the intergovernmental organization BRICS. Bloomberg also reported that Turkey aims to send a delegation, led by Energy Minister Alparslan Bayraktar, to China for advanced talks. The goal would be to team up with Beijing to process a Turkish deposit of rare earth elements, with the hope that Chinese companies will produce batteries in Turkey as Chinese manufactures seek better access to the European Union.

Chinese EVs in Turkey: In September, Bloomberg also reported that China’s commerce ministry warned its domestic companies in July not to invest in Turkey’s auto industry; those who want to must first inform the Ministry of Industry and Information Technology. However, in the days after, an anonymous source within Ankara’s industry ministry told Reuters, “Chinese electric vehicle manufacturer BYD’s investment process in Turkey continues without any problems. . . . Discussions are underway with other Chinese carmakers for new investments.” Just a week later, Turkey tightened restrictions on importing some hybrid vehicles from a range of countries, including China. At the same time, a Chinese off-road SUV debuted in Turkey’s car market and has established a sales network across seventeen Turkish cities.

Chinese Parts for Turkey’s Power Plants: Turkey’s first nuclear power plant is under construction by the Russian company Rostarum. As the German parts needed for construction continued to face delays, Rostarum decided in September to purchase the parts from China instead.

Li Visits the Gulf:  China’s Premier Li Qiang visited Saudi Arabia and the UAE from September 10 to 13. The Chinese leader started his travels in Saudi Arabia to co-chair the fourth meeting of the High-Level Chinese-Saudi Joint Committee with Saudi Crown Prince Mohammed bin Salman. Speaking to representatives of the kingdom’s largest and most influential companies, Li urged greater Saudi investment and involvement in China’s economy. The Chinese leader announced that Beijing would ease market access, lift all foreign investment restrictions in manufacturing, accelerate the opening of service sectors, and support foreign enterprises. The committee also discussed political and security cooperation and increased trade. Before the committee meeting, bin Salman and Li met to discuss increased cooperation in the energy, investment, and trade sectors. According to a Chinese state-run media outlet, the premier conveyed to the crown prince that China prioritizes relations with Saudi Arabia, particularly in its Middle East diplomacy. The Chinese Foreign Ministry reaffirmed that prioritization during a press conference. Li also met with Secretary-General of the Gulf Cooperation Council (GCC) Jasem Mohamed Al Budaiwi to discuss increased economic cooperation across sectors and further policy coordination through the China-GCC Strategic Dialogue. The two also discussed ways to quicken a China-GCC free-trade negotiation.

After his visit to Saudi Arabia, Li traveled to the UAE. In a meeting with President Mohamed bin Zayed Al Nahyan, Li expressed China’s willingness to increase trade and cooperate in fields such as energy, electric vehicles, high-end manufacturing, biomedicine, and digital economy. After the meeting, the Dubai’s president tweeted, “The UAE is committed to building upon 40 years of deep-rooted cooperation with China to achieve enduring growth, development, and prosperity for our peoples.” Li was also hosted by Emirati Vice President and Prime Minister Mohammed bin Rashid Al Maktoum. The Chinese leader then addressed the UAE-China Business Forum in Dubai where, similar to his remarks in Saudi Arabia, he urged Emirati businesses to invest in China’s economy. Chinese Ministry of Foreign Affairs Spokesperson Mao Ning reiterated Li’s sentiment in a press conference, saying companies should capitalize on Belt and Road cooperation, China and UAE’s similar development strategies, and technological and industrial innovation.

Chinese Defense Technology in the Middle East: Some September reports claim that Chinese state-owned China North Industries Corporation promoted its OW5-A50 air defense system at security exhibitions in Egypt, Qatar, and Saudi Arabia. During the September Egypt International Airshow, in addition to the air defense system, China showed off its J-10 fighter aircraft and Y20 military transport aircraft with flyovers above the pyramids. In addition, a subsidiary of Chinese state-owned Chinese Electronics Corporation inked a deal with a subsidiary of the Arab Organization of Industrialization to manufacture defense systems. Towards the end of the month, People’s Liberation Army Air Force Commander Zhang Dingqiu and UAE Armed Forces Chief of Staff Issa Saif Mohammad Al-Mazrouei held a meeting to discuss Emirati interest in Chinese aerospace defense technology. 

Investments in the Suez Canal: On the sidelines of the early-September China-Africa Cooperation Forum held in Beijing, Egypt’s prime minister oversaw the signing of deals worth over $1 billion with Chinese companies. In an interview with Xinhua before the summit, Chairman of the General Administration of the Suez Canal Economic Zone Walid Jamaldin explained that those projects build on growing Chinese investment in Egypt: over “the past two years [the Suez Canal Economic Zone] has attracted more than $6 billion in investment, 40 percent of which has come from China. With Chinese investment in Egypt growing in various sectors, the prospects for cooperation between the two sides are very bright.” On the sidelines of the sixth Arab Water Forum hosted in Abu Dhabi, Egypt’s minister of water resources and irrigation met with Chinese Vice Minister of Water Resources Zhu Chengqing to discuss a possible MOU between the two countries on enhanced water cooperation.

China’s Meetings With Qatar: Qatari Assistant Undersecretary of the Ministry of Interior for Security Affairs Nayef bin Faleh bin Saud Al Thani led a delegation to China’s Global Public Security Cooperation Forum in Beijing. During his visit, Al Thani met with Vice Governor of Shaanxi Province Lai Bing to discuss security cooperation. Huawei Technologies participated in Qatar’s September Advanced Technology for Construction and Services Exhibition Expo and showcased its digital infrastructure solutions. In the same week, Qatar’s chamber of commerce welcomed a delegation from China’s Council for the Promotion of International Trade and its Chamber of International Commerce. The sides discussed areas of potential collaboration and investment opportunities between the two countries. The Chinese delegation was led by Chinese Community Party Vice Minister of the International Department of the Central Committee Li Mingxiang. During his visit, Li met privately with Qatari Secretary-General of the Ministry of Foreign Affairs Ahmed bin Hassan Al Hammadi. Li also held meetings with Bahraini and Kuwaiti officials. The Qatar-China Parliamentary Friend Group also met in September to discuss enhancing bilateral relations.

Iran at BRICS: The head of Iran’s national security council, Ali Akbar Ahmadian, was invited to attend a mid-September BRICS security conference in Moscow. During the conference, Ahmadian backed the Chinese-Brazilian plan for peace in Ukraine and called for BRICS to take a greater role in brokering a resolution between Moscow and Kiev. The Iranian official also held a meeting with Chinese Foreign Minister Wang Yi where the two called for Israel to withdraw from Gaza. Wang told Ahmadian, “China has always viewed China-Iran relations from a strategic and long-term perspective, supporting Iran in safeguarding national sovereignty, security and national dignity.”

Developing China-Iran Relations: In mid-September, regarding relations with China, Iranian President Masoud Pezeshkian told journalists, “We want to build the same highways that existed before on the Silk Road route….We will definitely be a strategic partner with China…” In late September, China’s special envoy for West Asian affairs visited Tehran and met with a senior advisor to Iran’s foreign minister. The two discussed the humanitarian crisis and need for a cease-fire in Gaza, worsening conditions in Syria, and developments in Yemen. A few days later, Iran’s naval commander met with his Chinese counterpart in China; the two discussed joint exercises and deeper maritime relations.

China at UNGA: The UN General Assembly (UNGA) took place in New York in late September. On its sidelines, Wang met Pezeshkian. He told the Iranian leader that China supports Iran’s efforts to protect its “sovereignty, security, territorial integrity, and national dignity.” Wang reportedly added that “China will, as always, support Iran,” regardless of international or regional changes. The two also agreed to establish working groups to progress and implement China and Iran’s 2021 twenty-five-year cooperation agreement. The foreign ministers of China, Iran, Pakistan, and Russia met on the sidelines of UNGA to discuss Afghanistan and released a joint statement that listed nineteen items of agreement calling for stability and condemning the West for conditions in the central Asian country. Finally, China and the Gulf Cooperation Council held a meeting on the sidelines of UNGA.

While UNGA took place in New York, Uzbekistan hosted a ministerial meeting of the Asian Infrastructure Investment Bank. On its sidelines, Iran and China’s finance ministers met to discuss the implementation of their plan for strategic partnership.

China used its platform at the United Nations to condemn Israel. During his speech to the general assembly, Wang said, “The Palestinian issue is the greatest wound to human conscience . . . the historical injustice suffered by the Palestinian people can no longer be ignored and a comprehensive ceasefire is urgent.” During UNGA week, Wang met with his Lebanese counterpart, Abdallah Bou Habib, and expressed China’s firm solidarity with Lebanon. Beijing also voted in favor of the September 18 UN General Assembly resolution that called for Israel to withdraw settlements and its military forces from the West Bank.

Cultural Ties: In cultural news, the National Museum of China signed an MOU with Qatar Museums to establish a framework for collaboration on joint exhibitions, cultural exchanges, and shared archaeological and preservation efforts. The Saudi Museums Commission announced a new exhibition in September to highlight the cultural and social practice of writing in Arab and Chinese cultures. The show will feature fifty works from thirty Chinese artists. In late September, Chinese Vice Foreign Minister Deng Li celebrated the Saudi National Day at Riyadh’s embassy in Beijing and held a meeting with the kingdom’s ambassador. September also witnessed the second Iran-China Watercolor Exchange Exhibition, which culminated with a ten-meter-long watercolor painting on themes of peace and friendship by Chinese and Iranian artists. Finally, the UAE curated different events to celebrate the Chinese Mid-Autumn Festival, and Dubai’s Burj Khalifa displayed a light show for the occasion.