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Saudi Arabia, Taiwan Forge Strategic Partnership as Trade Surges 78%

Taiwan’s economic representative to Saudi Arabia Sami Jang (Asharq Al-Awsat)
Taiwan’s economic representative to Saudi Arabia Sami Jang (Asharq Al-Awsat)
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Saudi Arabia, Taiwan Forge Strategic Partnership as Trade Surges 78%

Taiwan’s economic representative to Saudi Arabia Sami Jang (Asharq Al-Awsat)
Taiwan’s economic representative to Saudi Arabia Sami Jang (Asharq Al-Awsat)

Taiwan, a global leader in semiconductor manufacturing, considers Saudi Arabia an indispensable strategic partner, Taiwan’s economic representative to the Kingdom, Sami Jang, told Asharq Al-Awsat.

 

Jang highlighted that current cooperation focuses on future-oriented sectors such as electric vehicles and clean energy, supporting Saudi Arabia’s Vision 2030. He noted that bilateral trade has surged by an impressive 78% over the past five years.

 

Speaking to Asharq Al-Awsat, Jang emphasized Taiwan’s pivotal role in the global economy, pointing out that the island leads the world in key industries. He said the conditions for cooperation with Saudi Arabia strengthen this position.

 

Taiwan has made significant advances in artificial intelligence and semiconductors, producing more than 90% of the world’s chips, fueling global economic growth and making the island an indispensable partner across sectors.

 

Jang underscored that Taiwan currently leads the global industry, including markets in the United States, Japan, and Germany. Taiwan has been helping the world, and now it is leading it in semiconductor production. If its exports stopped, markets would stall. Taiwan now drives the global industry, he said.

 

On industrial collaboration between Taiwan and the United States, Jang noted that this year, Taiwan’s TSMC signed a $165 billion deal with the US, encompassing three factories and a research center. He added that this will pave the way for more deals announced by President Donald Trump during his visit to Saudi Arabia.

 

Advancing Saudi-Taiwanese Cooperation

Regarding Saudi-Taiwanese ties, Jang said Taiwan will continue to work diligently to ensure ongoing cooperation between the two sides, aiming to strengthen economic and trade partnerships and pursue the interests of both sides.

 

He reaffirmed that Taiwan's presence serves as a vital bridge for exchanging opportunities with the Kingdom.

 

He added that Taiwan is advancing cooperation with Saudi Arabia across multiple sectors, particularly electric vehicles and electronics.

 

Taiwan is committed to supporting partnerships between Taiwanese and Saudi companies, promoting industry and economic diversification in all sectors that contribute to this visionary goal. Sustainable development, clean energy, smart cities, and environmental protection remains Taiwan's top priorities, he added.

 

Jang said that as Taiwan’s representative to the Kingdom, he works tirelessly to secure a prosperous economic future for the two sides.

 

Bilateral Trade Shows Remarkable Growth

Jang highlighted the robustness of Taiwan-Saudi economic cooperation, describing his role as a vital bridge for exchanging expertise between the two sides. He provided the following trade figures:

 

Record growth in trade: Bilateral trade jumped from approximately 19.7 billion riyals ($5.2 billion) in 2020 to 35.1 billion riyals ($9.3 billion) in 2024.

 

Growth rate: This represents a 78% increase over five years.

 

Saudi exports: Growth was mainly driven by rising Saudi exports to Taiwan, particularly oil and chemical products, which rose 89.9% between 2020 and 2024, while Saudi imports from Taiwan increased 33.4% over the same period.

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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
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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.

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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
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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.

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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).
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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.