The potential of Sino-Arab economic cooperation was emphasized

China and Arab countries have significant potential to deepen economic and trade relations, especially in the financial and energy sectors, which will boost economic growth on both sides and contribute to global economic recovery, experts and business leaders said on Thursday.

Guided by the tangible development of the Belt and Road Initiative, China and Arab countries are likely to expand business ties in areas such as the digital economy, finance, new infrastructure, clean energy, services trade and high-end manufacturing, they said.

Mohammed Al Ajlan, chairman of the Saudi-China Business Council, said that as China enters a new era of economic growth based on ecology and innovation, Arab companies are optimistic about its long-term growth potential and recognize the numerous opportunities arising from the country’s focus on high-end industry manufacturing and digital economy.

Li Lei, vice president of Saudi Basic Industries Corp, said the new content based on cooperation between China and Arab countries will not only benefit global trade but also create more growth points for Arab companies to build their global supply chains and consumer bases in China.

Driven by complementary industrial structure, the development of the BRI initiative and long-term cooperation in the energy sector, China’s foreign trade with the Arab League has increased by 820.9 percent over the past two decades, from 303.8 billion yuan ($42 billion) in 2004. The data of the General Administration of Customs is 2.8 trillion yuan in 2023.

In the first four months of this year, China’s trade with the Arab League reached 946 billion yuan, the highest level in the same period, with an increase of 3.8% year-on-year, accounting for 6.9% of China’s total foreign trade value .

Lin Meng, director of the Modern Supply Chain Research Institute at the China Academy of International Trade and Economic Cooperation in Beijing, said Arabic products such as Egyptian oranges, Syrian rose essential oil, Tunisian olive oil and Saudi dates are gaining popularity. greater popularity among Chinese consumers, while Chinese-made new energy vehicles, home appliances and smartphones are finding their way into more Arab homes.

Ahmed Fahmy, head of the Arab League’s representative office in China, said Chinese electric vehicles are performing exceptionally well in many Arab countries thanks to their technological prowess and economies of scale.

This success positions Chinese companies as potential partners for Arab countries in driving the energy transition, he said.