Joint Saudi-US Statement Supports Development of Clean Hydrogen, Private Sector Partnership

Saudi Crown Prince Mohammed bin Salman meets with United States Special Presidential Envoy for Climate John Kerry in Riyadh. (SPA)
Saudi Crown Prince Mohammed bin Salman meets with United States Special Presidential Envoy for Climate John Kerry in Riyadh. (SPA)
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Joint Saudi-US Statement Supports Development of Clean Hydrogen, Private Sector Partnership

Saudi Crown Prince Mohammed bin Salman meets with United States Special Presidential Envoy for Climate John Kerry in Riyadh. (SPA)
Saudi Crown Prince Mohammed bin Salman meets with United States Special Presidential Envoy for Climate John Kerry in Riyadh. (SPA)

Saudi Crown Prince Mohammed bin Salman, Deputy Prime Minister and Minister of Defense, held talks in Riyadh on Wednesday with US Special Presidential Envoy for Climate John Kerry.

Discussions focused on international efforts to combat climate change and bolstering partnership in the private sector. They also covered Saudi Arabia’s sophisticated initiatives aimed at combating this phenomenon and reducing emissions, starting with the Saudi Green and Middle East Green initiatives.

They also highlighted Saudi Arabia’s efforts, as last year’s president of the G20, in promoting the circular carbon economy.

The meeting was attended by Saudi Energy Minister Prince Abdulaziz bin Salman bin Abdulaziz, Deputy Defense Minister Prince Khalid bin Salman, Foreign Minister Prince Faisal bin Farhan and Minister of Environment and Water Abdulrahman al-Fadley.

Also present from the American side were Chargé d'Affaires of the US Embassy in the Kingdom Martina Strong, head of the climate ambition and implementation team Jonathan Pershing and head of global innovation Varun Sivaram.

A joint statement at the end of the meeting said that the United States and Saudi Arabia “are committed to addressing the increasing climate change challenge with seriousness and urgency.”

“They will work to strengthen the implementation of the Paris Agreement and actively promote a successful G20 in Italy and COP 26 in Glasgow. Both countries affirm the importance of reducing greenhouse gas emissions and taking adaptation actions during the 2020s to avoid the worst consequences of climate change,” it added.

“They affirmed their intention to work together:

“To actively support and engage bilaterally on the Saudi Green Initiative and the Middle East Green Initiative, including on clean energy, sustainable agriculture, and land use;

“To advance efforts under the announced Net-Zero Producers Forum, including, e.g., on methane abatement, the circular carbon economy, and clean-energy and carbon capture and storage technologies;

“To cooperate on the potential of clean hydrogen to address the hardest to abate sectors and to partner to accelerate clean hydrogen’s development and deployment, recognizing the two countries’ respective initiatives in this regard;

“To collaborate on accelerating the deployment of renewable energy and low-emissions power systems in the region;

“To encourage private sector partnerships;

“To support ocean-based and nature-based solutions for addressing both mitigation and adaptation; and to launch cooperation on enhancing climate change research in the areas of mitigation and adaptation,” it said.

“Recalling their fruitful, in-depth discussion on their respective ongoing and future climate initiatives, both sides acknowledge each other’s efforts and look forward to engaging with each other and enhancing their actions on to road to Glasgow and beyond,” said the statement.

In remarks to Asharq Al-Awsat, a State Department spokesperson said the world was witnessing a severe climate change crisis. The situation is dire in the Middle East in particular due to rising temperatures, desertification, drought and other climate factors.

The Biden administration has vowed to work on a comprehensive strategy, that includes the government, industry, financial and social society sectors, to push forward measures to ease and adapt to climate change.

The US encourages and supports Saudi Arabia’s efforts and plans in the climate sector and in preserving the environment, he added.

It also encourages all other partners in the Gulf Cooperation Council to connect their plans to ease and adapt to climate with broader regional plans and visions, he continued.

He pledged that Washington will continue to partner with them in these efforts, which is an important way to speed up climate ambition and constructive regional cooperation.



IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
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IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA

The International Monetary Fund (IMF) and the Arab Monetary Fund (AMF) signed a memorandum of understanding (MoU) on the sidelines of the AlUla Conference on Emerging Market Economies (EME) to enhance cooperation between the two institutions.

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki, SPA reported.

The agreement aims to strengthen coordination in economic and financial policy areas, including surveillance and lending activities, data and analytical exchange, capacity building, and the provision of technical assistance, in support of regional financial and economic stability.

Both sides affirmed that the MoU represents an important step toward deepening their strategic partnership and strengthening the regional financial safety net, serving member countries and enhancing their ability to address economic challenges.


Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT
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Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT

The Federation of Saudi Chambers announced the formation of the first joint Saudi-Kuwaiti Business Council for its inaugural term (1447–1451 AH) and the election of Salman bin Hassan Al-Oqayel as its chairman.

Al-Oqayel said the council’s formation marks a pivotal milestone in economic relations between Saudi Arabia and Kuwait, reflecting a practical approach to enabling the business sectors in both countries to capitalize on promising investment opportunities and strengthen bilateral trade and investment partnerships, SPA reported.

He noted that trade between Saudi Arabia and Kuwait reached approximately SAR9.5 billion by the end of November 2025, including SAR8 billion in Saudi exports and SAR1.5 billion in Kuwaiti imports.


Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
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Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).

Harvard University economics professor Pol Antràs said Saudi Arabia represents an exceptional model in the shifting global trade landscape, differing fundamentally from traditional emerging-market frameworks. He also stressed that globalization has not ended but has instead re-formed into what he describes as fragmented integration.

Speaking to Asharq Al-Awsat on the sidelines of the AlUla Conference for Emerging Market Economies, Antràs said Saudi Arabia’s Vision-driven structural reforms position the Kingdom to benefit from the ongoing phase of fragmented integration, adding that the country’s strategic focus on logistics transformation and artificial intelligence constitutes a key engine for sustainable growth that extends beyond the volatility of global crises.

Antràs, the Robert G. Ory Professor of Economics at Harvard University, is one of the leading contemporary theorists of international trade. His research, which reshaped understanding of global value chains, focuses on how firms organize cross-border production and how regulation and technological change influence global trade flows and corporate decision-making.

He said conventional classifications of economies often obscure important structural differences, noting that the term emerging markets groups together countries with widely divergent industrial bases. Economies that depend heavily on manufacturing exports rely critically on market access and trade integration and therefore face stronger competitive pressures from Chinese exports that are increasingly shifting toward alternative markets.

Saudi Arabia, by contrast, exports extensively while facing limited direct competition from China in its primary export commodity, a situation that creates a strategic opportunity. The current environment allows the Kingdom to obtain imports from China at lower cost and access a broader range of goods that previously flowed largely toward the United States market.

Addressing how emerging economies should respond to dumping pressures and rising competition, Antràs said countries should minimize protectionist tendencies and instead position themselves as committed participants in the multilateral trading system, allowing foreign producers to access domestic markets while encouraging domestic firms to expand internationally.

He noted that although Chinese dumping presents concerns for countries with manufacturing sectors that compete directly with Chinese production, the risk is lower for Saudi Arabia because it does not maintain a large manufacturing base that overlaps directly with Chinese exports. Lower-cost imports could benefit Saudi consumers, while targeted policy tools such as credit programs, subsidies, and support for firms seeking to redesign and upgrade business models represent more effective responses than broad protectionist measures.

Globalization has not ended

Antràs said globalization continues but through more complex structures, with trade agreements increasingly negotiated through diverse arrangements rather than relying primarily on multilateral negotiations. Trade deals will continue to be concluded, but they are likely to become more complex, with uncertainty remaining a defining feature of the global trading environment.

Interest rates and artificial intelligence

According to Antràs, high global interest rates, combined with the additional risk premiums faced by emerging markets, are constraining investment, particularly in sectors that require export financing, capital expenditure, and continuous quality upgrading.

However, he noted that elevated interest rates partly reflect expectations of stronger long-term growth driven by artificial intelligence and broader technological transformation.

He also said if those growth expectations materialize, productivity gains could enable small and medium-sized enterprises to forecast demand more accurately and identify previously untapped markets, partially offsetting the negative effects of higher borrowing costs.

Employment concerns and the role of government

The Harvard professor warned that labor markets face a dual challenge stemming from intensified Chinese export competition and accelerating job automation driven by artificial intelligence, developments that could lead to significant disruptions, particularly among younger workers. He said governments must adopt proactive strategies requiring substantial fiscal resources to mitigate near-term labor-market shocks.

According to Antràs, productivity growth remains the central condition for success: if new technologies deliver the anticipated productivity gains, governments will gain the fiscal space needed to compensate affected groups and retrain the workforce, achieving a balance between addressing short-term disruptions and investing in long-term strategic gains.