Saudi Arabia’s Energy Minister, Prince Abdulaziz bin Salman, asserted that the Kingdom seeks to collaborate, not compete, with Beijing.
Prince Abdulaziz, bin Salman also revealed that he does not heed Western apprehensions about the burgeoning ties between Saudi Arabia and China.
Saudi Arabia, the world’s leading oil exporter, shares a bond with China, the largest energy consumer globally, primarily through hydrocarbon links. However, the cooperation between Saudi Arabia and China extends to security and advanced technology sectors, indicating a political rapport that raises eyebrows in the US.
Addressing queries about the criticism of this bilateral relationship during an Arab-China business conference, Prince Abdulaziz bin Salman stated, “I actually ignore it because…as a business person…now you will go where opportunity comes your way.” He emphasized that Saudi Arabia doesn’t have to choose others.
The conference in Riyadh attracted a plethora of Chinese entrepreneurs and investors. This event occurred just days after US Secretary of State Antony Blinken’s visit.
Major Oil Deals with China
In March, Saudi Aramco, the state-owned oil company, unveiled two significant deals to escalate its multi-billion dollar investment in China and solidify its position as China’s principal crude oil supplier. These agreements were the largest announced since Chinese President Xi Jinping’s visit to Saudi Arabia in December, during which he advocated for oil trade in yuan, threatening the dollar’s dominance.
Prince Abdulaziz noted the necessity of capitalizing on China’s growing oil demand. He advocated, “Instead of competing with China, collaborate with China.”
The momentum between the two countries also augurs well for the successful culmination of negotiations for a free trade agreement between China and the Saudi Arabia-led Gulf Cooperation Council (GCC), which has been ongoing since 2004.
Saudi Investment Minister Khalid Al Falih emphasized the need for such an agreement to safeguard emerging Gulf industries as the region transitions towards non-oil economic sectors. Falih expressed hope for striking a deal soon and emphasized the necessity to empower their industries to export. He further added that countries negotiating free trade deals with them should understand their need to protect new, emerging industries.
