China Eyes Electric Vehicle Manufacturing Opportunities in Saudi Arabiahttps://english.aawsat.com/business/5067617-china-eyes-electric-vehicle-manufacturing-opportunities-saudi-arabia
China Eyes Electric Vehicle Manufacturing Opportunities in Saudi Arabia
Chinese ambassador to Saudi Arabia (Asharq Al-Awsat)
China’s ambassador to Saudi Arabia, Chang Hua, expressed Beijing’s hopes to strengthen its partnership with the kingdom, especially in electric vehicle production and other industries.
Speaking to Asharq Al-Awsat, Hua condemned violations of Lebanon’s sovereignty and the targeting of civilians.
He called for immediate action to reduce tensions and prevent further escalation in the region.
“China is deeply shocked by the high civilian casualties from the conflict between Israel and Lebanon,” Hua said, urging the international community to work on calming the situation.
He emphasized that, no matter how things unfold, “China will always stand for justice and remain committed to peace and stability in the Middle East. We are ready to work with all parties to promote peace in the region.”
China’s Economic Growth
Hua highlighted China’s rise from a $30 billion economy to a $17.8 trillion one, making it the world’s second-largest economy and a leader in trade and industry.
He reiterated China’s goal to maintain high-level openness, push for high-quality economic development, and promote a multipolar world with fair global governance and inclusive economic globalization.
Saudi-China Relations
Hua described the partnership between Saudi Arabia and China as entering a new phase of deep development, congratulating Saudi Arabia on its 94th National Day.
He noted that Chinese Premier Li Qiang’s recent visit to Saudi Arabia has boosted bilateral relations and strengthened the comprehensive strategic partnership, driving it towards a more stable and prosperous future.
The ambassador stressed the need to expand trade and investment between the two countries and highlighted the upcoming “Saudi-Chinese Cultural Year 2025” as a key event.
Hua also pointed out that Saudi Crown Prince Mohammed bin Salman values the strong and historic relationship between the two nations.
The Crown Prince looks forward to further aligning Saudi Vision 2030 with China’s Belt and Road Initiative, expanding cooperation in energy, investment, and culture.
Hua noted that China is Saudi Arabia’s largest trading partner, with bilateral trade exceeding $100 billion in the past two years. He also mentioned the recent currency swap agreement between the two countries, which has helped boost trade and investment.
New Developments in Saudi-China Relations
According to Hua, the cooperation between the two nations has grown significantly, particularly in the automotive, renewable energy, and tourism sectors.
In 2023, Saudi imports of Chinese cars reached $4.12 billion, driven by companies like Changan, Geely, MG, Chery, Great Wall, Hongqi, GAC, and BYD, which have opened branches in the kingdom.
Discussions are ongoing about building local manufacturing plants. China exported 4.91 million vehicles in 2023, making it the largest car exporter globally for the first time, including 1.203 million electric vehicles, a 77.6% increase from the previous year.
Hua noted that Saudi Vision 2030 aims for electric vehicles to account for at least 30% of all cars in Riyadh by 2030, and he expressed optimism about enhancing collaboration in automotive manufacturing.
Chinese companies are also increasingly involved in Saudi Arabia’s renewable energy sector. They are working on multiple solar projects, including the Al Shuaibah photovoltaic plant, the largest of its kind in the world, with a capacity of 2.6 gigawatts.
In July 2023, the Renewable Energy Localization Company (RELC), backed by the Saudi Public Investment Fund, signed agreements with three Chinese firms—Envision Technology Group, Jinko Solar, and TCL Zhonghuan—to establish joint ventures for high-efficiency solar cell production in Saudi Arabia.
These projects will focus on producing solar components, helping Saudi Arabia achieve its goal of sourcing 75% of renewable energy project components locally by 2030.
Hua also highlighted the increasing exchange of visits between citizens of both countries. In September 2023, China and Saudi Arabia signed a memorandum of understanding to facilitate group tourism, making the kingdom an official destination for Chinese tour groups.
Several Chinese travel agencies have begun offering packages to Saudi Arabia, and direct flights between the two countries are increasing. Saudi Airlines has expanded its routes, operating numerous weekly flights between Beijing, Shanghai, Shenzhen, Riyadh, and Jeddah.
Saudi Arabia, Türkiye Strengthen Supply Chains with Land Corridor Bypassing Maritime Chokepointshttps://english.aawsat.com/business/5282621-saudi-arabia-t%C3%BCrkiye-strengthen-supply-chains-land-corridor-bypassing-maritime
Saudi Arabia, Türkiye Strengthen Supply Chains with Land Corridor Bypassing Maritime Chokepoints
Saudi and Turkish transport ministers meet to strengthen cooperation (X)
At a time when the near-total closure of the Strait of Hormuz and the escalating U.S.-Iran war have put global supply chains under complex geopolitical strain since late February, a strategic land corridor is emerging from the heart of the maritime blockade, promising to redraw the map of international transport and trade.
Between Riyadh and Ankara, a surge in logistics activity is moving beyond conventional bilateral cooperation. It is shaping a secure, sustainable overland alternative for energy, goods and regional food supplies bound for global markets.
The official signing on Tuesday by Saudi Minister of Transport and Logistics Services Saleh Al-Jasser and his Turkish counterpart, Abdulkadir Uraloğlu, of comprehensive memorandums of understanding on railways, logistics operations and technology laid the operational foundation for that shift.
The agreements go beyond easing the immediate movement of goods. They aim to build a cross-border connectivity system that can serve as an operational line of defense against the current maritime crises.
According to the Turkish minister, the rail link rests on infrastructure that already exists in both Saudi Arabia and Türkiye. He said the Saudi side had completed its section up to the Jordanian border, while Türkiye’s rail network extends into Syrian territory. Iraq could later join the project, he added.
How the network connects
Technically and operationally, the corridor is taking shape as a connected rail network built around geography. The line starts in Istanbul, linking Türkiye’s advanced network to the Arab interior. It crosses Türkiye’s southern border into Syria through Aleppo, then runs south to Damascus, the project’s central anchor.
From the Syrian capital, the route crosses into Jordan, passes through Amman and reaches the Saudi border at the Haditha crossing. That strategic point is where the Syrian and Turkish networks meet the advanced infrastructure of Saudi Arabia Railways (SAR).
Inside Saudi Arabia, the route takes on major development weight. Its main and branch lines pass through major projects, such as the Port of Neom, which is seen as a future logistics corridor linking Red Sea ports. It then connects Makkah and Medina before integrating with the unified Gulf railway network.
That Gulf extension opens the way for the line’s long-term goal of reaching Oman and the Arabian Sea, giving it the profile of a comprehensive intercontinental land corridor that bypasses traditional maritime choke points.
Turning the kingdom into a transit hub
Logistics expert Nashmi Al-Harbi told Asharq Al-Awsat that the signed memorandums “translate in practical terms the vision of creating a land corridor that directly links the Gulf to Europe through Jordan, Syria and Türkiye.”
Al-Harbi said Saudi Arabia’s two maritime outlets, on the Red Sea and the Arabian Gulf, combined with Türkiye’s position as Europe’s natural land gateway, “turn Saudi Arabia from a logistics endpoint into a genuine strategic transit hub connecting three continents.”
“The added value for supply chain resilience lies in drawing on the lessons of Red Sea disruptions, which proved that diversifying corridors has become an urgent necessity, not an economic luxury,” he said.
He said the project would create alternative land routes that strengthen transport resilience between Asia and Europe, away from the impact of maritime chokepoint closures or swings in marine insurance costs. Required investment in the line is estimated at about $5.5 billion, he added.
Al-Harbi said the project “fully aligns with the National Transport and Logistics Strategy, which aims to consolidate the kingdom’s position as a global hub.”
It also supports regional connectivity and the localization of the railway industry, he said, building on a strong base after the kingdom ranked fifth globally in container handling speed.
He said the project’s practical impact, including the exchange of best practices in freight, last-mile services and joint logistics centers, would cut cargo transit times between the Gulf and Europe from more than 30 days on traditional sea routes to less than two weeks by land once completed.
Al-Jasser and Uraloğlu shake hands after signing the two memorandums of understanding (X)
Alternatives as shipping costs soar
Logistics expert Hassan Al-Hilal told Asharq Al-Awsat the Saudi-Turkish memorandums represent “a strategic step that strengthens the kingdom’s role as a major center for re-exporting and distributing goods.”
He said the move comes at a critical moment for global trade. “Geopolitical disruptions in vital maritime corridors in recent months have caused record jumps in shipping and marine insurance costs, exceeding 300% compared with pre-crisis levels, as ships have been forced to take longer and riskier alternative routes,” he said.
Al-Hilal said the Saudi-Turkish logistics corridor gives suppliers and exporters “multimodal transport options, combining maritime shipping through Saudi ports with land and rail transport extending through Türkiye toward European and Central Asian markets.”
“This operational diversity directly helps reduce costs linked to storage and rehandling, and limits reliance on a single maritime route,” he said. “It ensures the stable flow of goods and products with high competitive efficiency, maximizing the benefits of the kingdom’s large investments in its port infrastructure.”
Key differences
Comparing the route with the India-Middle East-Europe Economic Corridor, or IMEC, Al-Harbi identified three key differences that he said gave the Saudi-Turkish route the edge.
“The first is the geographic route, which passes through Syria and Jordan to Türkiye, rather than IMEC’s passage through Israel. The second is the nature of implementation, as the current project is based on signed memorandums with a clear technical road map, compared with IMEC, which has been suspended since 2023. The third difference lies in the geopolitical dimensions. Türkiye, which had previously criticized the corridor for bypassing its territory, is returning through this new route strongly to the heart of the strategic Eurasian connectivity map,” he said.
Al-Hilal added what he called a decisive operational difference. IMEC, he said, is “a long-term strategic project that requires massive structural investment,” while current Saudi-Turkish cooperation is based on “maximizing the use of infrastructure that already exists” and on immediate operational links between two advanced logistics networks.
That makes it capable of delivering tangible results in the foreseeable term and at a much faster pace to meet current market needs, he said.
Joseph Salem, partner and head of travel, transport and hospitality at Arthur D. Little Middle East, said: “Reviving the Hejaz Railway is one of the most prominent infrastructure projects in the region’s modern history. The two memorandums of understanding signed in Riyadh between Saudi Arabia and Türkiye, one covering logistics services and the other railway technology, bring the project one step closer to implementation.”
He said an operational line would give the Gulf a direct overland trade corridor to Europe, reducing reliance on sensitive maritime passages at a time when supply chain resilience has become a growing strategic priority.
“The most important challenge remains implementation, whether in terms of financing, the stability of transit routes, or turning feasibility studies expected to be completed by the end of the year into actual investments,” Salem said.
“The importance of these two memorandums stems from the fact that they address the essential pillars of any cross-border railway project, including the standardization of technical specifications, signaling standards and regulatory alignment,” he added.
“If these elements are in place, the Hejaz Railway could regain its position within the next decade as one of the most important strategic land corridors linking Europe and the Gulf.”
Reviving a century-old legacy
The emerging land artery is not new. It is an ambitious revival, with a modern investment mindset, of a legacy dating back more than a century. It is an extension of the Hejaz Railway, which began operations in 1908 and linked Istanbul with Medina and Mecca through Syria and Jordan.
At the time, Damascus was a main anchor point, with lines branching north and south, as well as vital extensions to Lebanon, especially Beirut, and the historically Palestinian port of Haifa. The railway formed an integrated regional network before it broke apart during World War I.
From Neom to the border
The agreements follow advanced operational steps by the parties to the route. Ankara announced the activation of a trilateral memorandum of understanding with Syria and Jordan to modernize networks and connect the rail line between Türkiye and Aleppo, before integrating the Aleppo-Damascus-Jordan line.
Saudi Transport Minister Saleh Al-Jasser said the Saudi rail network already extends to the Jordanian border via the Haditha crossing, giving the project significant implementation flexibility. Joint technical studies will be completed by the end of this year to strengthen a sustainable land transport system, he said.
According to technical information, the new route will pass through the Port of Neom, linking the kingdom’s giga-projects to the heart of Europe through Türkiye.
International financing and operational pressure
In a related move that strengthens the corridor’s readiness, the Asian Infrastructure Investment Bank, or AIIB, approved a 645.83 million euro loan, equivalent to about $750 million, as a first package to help finance a new 127-km green railway line in Türkiye.
The strategic project, known as the Northern Istanbul Railway Crossing Project, aims to bypass Istanbul’s congested urban area and provide a high-capacity land link for freight and passengers across the Istanbul Strait. It would help ease bottlenecks in international supply chains and connect Türkiye’s two largest airports to the rail network.
The Turkish project’s total strategic cost is estimated at about $8.27 billion, with participation from the World Bank and other international financing institutions to raise the share of Eurasian rail transport.
In the final analysis, the joint rail push lays the groundwork for an unprecedented shift in regional shipping by removing the time and geographic obstacles imposed by maritime disruption. Cutting goods delivery times to less than two weeks would redirect investment toward this emerging land artery, at the expense of traditional routes and suspended alternatives.
FII Institute Names Princess Maha bint Mishari Al Saud as CEOhttps://english.aawsat.com/business/5282409-fii-institute-names-princess-maha-bint-mishari-al-saud-ceo
FII Institute Names Princess Maha bint Mishari Al Saud as CEO
Princess Maha bint Mishari bin Abdulaziz Al Saud (Asharq Al-Awsat file photo)
The FII institute, run by a global nonprofit foundation of Saudi sovereign wealth fund PIF, has named Princess Maha bint Mishari bin Abdulaziz Al Saud as its CEO, according to the institute's website.
“With more than 25 years of leadership experience spanning healthcare, academia, strategic partnerships, and international engagement, Dr. Al Saud has built a distinguished career centered on creating impact through collaboration and institution-building. She has worked across the public, private, and nonprofit sectors to advance initiatives that strengthen organizations, expand opportunity, and improve lives,” the website said.
Before joining FII Institute, she served as Vice President of External Relations and Advancement at Alfaisal University.
She has helped expand strategic partnerships, deepen international engagement, and elevate the university’s global standing in education, research, and innovation.
“A recognized advocate for leadership, healthcare transformation, education, and human development, Dr. Al Saud has represented Saudi Arabia at major international forums, including the G20, and the fourth Eurasian Women’s Forum,” FII Institute said.
“Dr. Al Saud holds an MBBS degree and is certified by the American Board of Internal Medicine, having completed her residency training at George Washington University. Her executive credentials include the Senior Executive Leadership Program at Harvard Business School, IMD Business School and she holds the prestigious, peer-reviewed distinction of Master of the American College of Physicians (MACP),” it added.
Egypt Clears Arrears to Oil and Gas Companieshttps://english.aawsat.com/business/5282403-egypt-clears-arrears-oil-and-gas-companies
People walk past a shop selling football jerseys in Khan el-Khalily Bazar in Cairo on June 9, 2026. (AFP)
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Egypt Clears Arrears to Oil and Gas Companies
People walk past a shop selling football jerseys in Khan el-Khalily Bazar in Cairo on June 9, 2026. (AFP)
Egypt's Minister of Petroleum Karim Badawi said on Wednesday that the full settlement of arrears owed to oil and gas partners marked a turning point for the sector.
Badawi said payment of the arrears, "restores investor confidence and paves the way for increased upstream activity and accelerated project development".
Egypt had accumulated about $6.1 billion in arrears to foreign oil companies by June 30, 2024 due to a prolonged foreign currency shortage that delayed payments and weighed on investment and gas output. The shortage has since eased, though some companies have said that arrears kept accumulating.
The minister said clearing the debt removed a key obstacle to new investment inflows and would support increased exploration, drilling and field development activity, including projects in the Mediterranean where development typically requires significant capital spending and years of work before production begins.
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