China-Saudi Arabia Sign 'Comprehensive Strategic Partnership' Agreement: "Relations with China Are Very Important"

Xi Jinping Visits Saudi Royal Palace... Talks with King and Crown Prince
Belt and Road Initiative and Vision 2030 Cooperation... 34 Investment Agreements Signed

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] China and Saudi Arabia have signed a 'comprehensive partnership' agreement through a summit meeting, agreeing to strengthen cooperation between their mega projects, the 'Belt and Road Initiative (land and maritime Silk Road)' and 'Vision 2030.' As Saudi Arabia distances itself from its traditional ally, the United States, and deepens close diplomacy with China, significant shifts in the Middle East geopolitical landscape are expected.

According to Saudi SPA news agency on the 8th (local time), Chinese President Xi Jinping held talks at the Saudi royal palace with King Salman bin Abdulaziz Al Saud and Crown Prince Mohammed bin Salman, who also serves as Prime Minister. During the meeting, the leaders of both countries signed an agreement establishing a comprehensive strategic partnership.

In the meeting with King Salman, President Xi stated, "China regards Saudi Arabia as an important power in a multipolar world and places great importance on developing a comprehensive strategic partnership with Saudi Arabia." He added, "China is ready to further strengthen strategic communication and deepen comprehensive cooperation with Saudi Arabia to promote the development interests of both countries and maintain world peace and stability."

King Salman responded, "Both sides have reached important common understandings on many issues, and China's interests are also Saudi Arabia's interests." He continued, "Saudi Arabia highly values its relationship with China and is prepared, together with President Xi, to advance the comprehensive strategic partnership with China and deliver more benefits to the peoples of both countries who share a friendly relationship."

The two countries are also enhancing economic cooperation through this summit. The day before, delegations from both sides signed 34 investment agreements in areas including green hydrogen, solar power, information technology, cloud computing, transportation, and logistics. SPA news agency reported that agreements worth 110 billion riyals (approximately 38.6 trillion KRW) are expected to be signed between the two countries.

The greatest achievement of President Xi's Middle East tour is expected to be the China-Arab States Summit and the China-Gulf Cooperation Council (GCC) meeting held on the 9th. To attend these meetings, leaders from major Middle Eastern countries are gathering in Riyadh, the capital of Saudi Arabia.

Saudi Arabia's warm reception of President Xi and the large-scale summit are expected to relatively diminish the United States' influence in the Middle East. Earlier, U.S. President Joe Biden visited Saudi Arabia in July to request increased oil production for price stabilization but failed to achieve results. Subsequently, Saudi Arabia and the Organization of the Petroleum Exporting Countries Plus (OPEC+) implemented a daily oil production cut of 2 million barrels starting in October.