Strengthening Commercial Ties: China and Saudi Arabia's Economic Diplomatic Moves

In an effort to bolster economic relations, China's commerce minister has called for stronger ties with Saudi Arabia in the realms of new energy and capital markets. The appeal came during discussions with Saudi Arabia's investment minister, as reported by the Chinese commerce ministry on Wednesday. This dialogue is part of Beijing's strategy to rally support from Riyadh amidst a broader attempt to secure a Gulf trade alliance.

The talks, held in Beijing, involved China's Wang Wentao and Saudi's Khalid Al-Falih deliberating on synergies between China's Belt and Road initiative and Saudi Arabia's Vision 2030—a program designed to reduce the kingdom's reliance on oil. Despite some hurdles, such as Saudi reservations over the impact of low-cost Chinese imports on its industrial goals, China remains keen on intensifying its trade with the Gulf Cooperation Council (GCC) nations.

China-Saudi trade relations are robust, with China maintaining a surplus, exporting goods worth over $50 billion to Saudi Arabia in the last year, including smartphones and solar panels. Conversely, Saudi Arabia exported $57 billion to China, predominantly oil, according to customs data.

(With inputs from agencies.)