‘Riyadh Declaration’ Enriches Cooperation between China, Arab Countries

Significant participation at the recent Arab-Chinese Business Conference in Riyadh (Asharq Al-Awsat)
Significant participation at the recent Arab-Chinese Business Conference in Riyadh (Asharq Al-Awsat)
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‘Riyadh Declaration’ Enriches Cooperation between China, Arab Countries

Significant participation at the recent Arab-Chinese Business Conference in Riyadh (Asharq Al-Awsat)
Significant participation at the recent Arab-Chinese Business Conference in Riyadh (Asharq Al-Awsat)

At the end of the 10th edition of the Arab-Chinese Business Conference, which took place in Riyadh on June 11-12, Saudi Arabia was effectively able to shift the focus of participating nations from the political sphere to the economic domain.

The event was marked by the signing of a multitude of deals and agreements, surpassing a total value of $10 billion.

This comes in the wake of the successful inaugural Arab-Chinese Cooperation and Development Summit held in Riyadh at the end of 2022, where all parties reached positive outcomes and agreed upon 24 points of cooperation across various regional and international issues, further enhancing strategic partnerships.

Economic Diversification

During the conference, involved countries expressed their interest in increasing investments and promoting regular communication among companies, research institutions, and development organizations. This collaboration aims to contribute to economic transformation and diversification.

At the conclusion of the tenth session of the Arab-China Business Conference and the eighth session of the Investment Symposium, the Arab and Chinese sides reached nine agreements as part of the “Riyadh Declaration.”

These agreements primarily focus on enhancing economic, trade, investment, and financial partnerships to serve common interests and contribute to fulfilling the aspirations of both sides within the frameworks of Arab countries’ visions and strategies, as well as the Belt and Road Initiative.

Furthermore, the agreements address developmental challenges and call for the establishment of a new modern Silk Road.

Quality Projects

Participants agreed to explore further new opportunities to enhance cooperation and investment in all economic sectors, including priority quality projects.

They also decided to maintain effective participation in Arab-Chinese- cooperation in qualitative fields such as energy, renewable energy, digital economy, entrepreneurship, investment, and small and medium enterprises (SMEs), and encouraging operating companies and specialized institutions from both sides to enhance communication and cooperation in the fields of advanced and vital industries.

Information Exchange

The parties also agreed on encouraging companies and research and development institutions from both sides to communicate periodically, to contribute to economic transformation and diversification, enhance the exchange of information on investment projects, their legal frameworks, and investment policies related to those projects, work to promote them and provide the necessary support for them, and benefit from the leading Chinese experience in the field of scientific research and innovation.

They also emphasized the importance of human resources in the Arab world to launch cooperation potentials between the Arab countries and China, exchange experiences, and organize training courses for technical training and capacity building.

Supply Chains

Participants appreciated the response of Arab and Chinese industrial and commercial bodies to the calls of governments, and their role in deepening solidarity, cooperation, and political support, enhancing information exchange, resuming the movement of people exchange appropriately and regularly, accelerating the pace of resumption of work and production, and working to stabilize financial markets and supply chains.

They agreed to work to address the negative effects of the Corona pandemic, the global economic recession, and the repercussions of the Ukrainian crisis as a priority for the international community and economic recovery.

Carbon Emissions

The countries agreed to work towards enhancing the multilateral trading system in accordance with the rules and principles of the World Trade Organization.

They emphasized the importance of reducing carbon emissions as committed by both Arab countries and China until 2060, which is expected to lead to the addition of about (1000) gigawatts of renewable energy to be added to the Arab region and the African region, which gives the private sector in the Arab world and China opportunities to expand investments in the value chain in this field.

 



Oil Prices Reset as Supply Uncertainty Reigns

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
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Oil Prices Reset as Supply Uncertainty Reigns

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)

Oil lost early gains on Tuesday and prices were back near their previous close in the face of uncertainty over how supply will be affected by Ukraine-Russia peace talks, international trade tariffs and OPEC+ crude output.

Brent crude futures were up only 1 cent at $75.23 per barrel by 1242 GMT, retreating from $76.07 earlier in the session.

US West Texas Intermediate crude futures were up 51 cents from Friday's close to $71.25 a barrel. There was no settlement for WTI on Monday because of the US Presidents' Day holiday, Reuters reported.

"Each rally seems to find willing sellers, whether or not it is because of neighbouring technical numbers that keep movement trapped or notions of a war settlement topped with tariffs is hard to tell," said John Evans of oil broker PVM.

"Day trading and short-term flows are ruling the fate of oil prices at present."

US and Russian officials held more than four hours of talks in Riyadh on Tuesday, their first on ending the war in Ukraine. But Moscow made a new demand: that NATO cancel its 2008 promise on Ukraine membership.

Ukraine was not at the talks and has said that no peace deals can be made on its behalf.

If a deal is reached, Washington and its allies could abandon sanctions throttling the supply of Russian oil to the world.

Oil prices were bolstered on Tuesday by a Ukrainian drone attack on a Russian pipeline that pumps about 1% of global crude supply.

The damage could reduce oil transit volumes from Kazakhstan by about 30% and take up to two months to repair, Russian oil transport company Transneft said.

Another question hanging over oil markets is whether OPEC+ is considering a delay to monthly supply increases scheduled in April.

Russian state media said the group's members were not looking to hold off from the increases after Bloomberg News reported that OPEC+ members were exploring a possible delay.