China has been working closely with Middle East countries to build up infrastructure and manufacturing through its "Belt and Road" initiative. As a result of sanctions, economic problems and security issues, many countries in the region suffer from a deficit of infrastructure. China hopes to help. With substantive investment in capital, personnel, technology and experience, Chinese enterprises aim to help Middle East countries upgrade their economies, while alleviating troubling social issues such as unemployment. At the same time, China has vowed to maintain it non-interventionist policy so that these countries can solve domestic and regional problems on their own.

A Chinese and local employees of China Petrochemical Corp (Sinopec) work together in Saudi Arabia. On Tuesday, Sinopec signed a framework agreement for strategic cooperation with Saudi Arabian oil giant Saudi Aramco, the world's biggest oil producer, according to the Saudi state news agency SPA. Photo: CFP

A new business hub widely known as Madinat al-Hareer, or Silk City, is expected to be completed by 2035 in northern Kuwait to serve as a new major stop on the ancient Silk Road trade route.

Featuring a 1,001-meter tall skyscraper in its master plan, the Silk City would be co-developed by Kuwaiti and Chinese enterprises under China's "Belt and Road" initiative. The 36-kilometer Sheikh Jaber Causeway project linking the Silk City with Kuwait City, capital of  Kuwait, is already under construction.

China is also working closely with many other Middle East countries, such as Egypt, Qatar, and Oman, to speed up cooperation in infrastructure and manufacturing.

With substantive investment in capital, personnel, technology and experience, Chinese enterprises in the Middle East are playing an important role in sustaining and upgrading the regional economy and facilitating social stability in the often conflict-ridden region.

More than oil

Energy cooperation has been an important part of China's economic interactions with the Middle East as about half of China's oil imports come from the region.

But experts say that China's proposal of the Silk Road Economic Belt and the 21st-Century Maritime Silk Road - popularly known as the "Belt and Road" initiative - has provided a good opportunity to expand economic and trade cooperation between the two sides.

"There is a large deficit in infrastructure in many Middle East countries, as a result of sanctions, economic difficulties or security problems," said Wu Bingbing, head of the Institute of Arabic-Islamic Culture Studies at Peking University.

"And some countries need to accelerate industrial development in order to accommodate increasing population and labor surplus," he noted. "These can be two areas where China's 'Belt and Road' initiative can meet the needs of Middle East countries."

According to Li Guofu, director of Middle East studies at the China Institute of International Studies, the best part of the "Belt and Road" initiative is that it ties China's development with that of other countries.

Mahmoud Allam, a former Egyptian ambassador to China, said the "Belt and Road" initiative has seen much acceptance and applause as it passes through Middle East countries.

Build it up

"Infrastructure is greatly needed for economic and social development in the Middle East," said Wu Sike, China's former special envoy to the Middle East. "Chinese companies have been working with Arab countries in this region for a long time, creating a foundation."

China's Arab Policy Paper released on January 13 has listed traditional areas of railway, highway and seaports as well as aviation and satellites in infrastructure cooperation with the Middle East.

Wu Bingbing mentioned railway construction as an example of China's cooperation with the Middle East. The second stage of construction of a high-speed railway from Ankara to Istanbul in Turkey is a landmark project, and the light rail project in Mecca, Saudi Arabia, has brought great convenience to pilgrims, he noted.

In the future, there is huge potential for Chinese companies in the region, with densely populated countries like Iran and Egypt in urgent need of more investment in infrastructure, he said.

In August 2014, a 72-kilometer expansion of the Suez Canal was approved by the Egyptian government to boost the country's ailing economy. Egyptian President Abdel Fattah Al-Sisi has said that Chinese companies have great chances in the project.

Ahmed Qandil, an expert in Asian affairs with the Ahram Center for Political and Strategic Affairs, said that Middle East countries, especially Egypt, can benefit from China's progress in space studies. The two sides can work together in making satellites and building ground stations, which will serve Egypt in its national development projects, he told Xinhua.

Easing unemployment

Apart from infrastructure, production capacity cooperation could also become a highlight of bilateral cooperation under the "Belt and Road" initiative, which would create more jobs, especially for young people.

"The biggest problem for many countries in the Middle East is social problems such as unemployment, especially in Egypt, where there is a large population," said Li, director of Middle East studies.

A key part of the Chinese initiative is the offering of infrastructure construction and experience, and that can bring good opportunities to young people, he told Xinhua.

The view was echoed by Qandil, who said the initiative can greatly help in reducing unemployment in the region.

"Solving that social and economic problem could be direct via projects or indirect by pushing economic activity, and eventually increase economic growth, which will serve the interests of the people in general," Qandil said.

Wu Bingbing noted that countries such as Egypt, Sudan, Iraq and Iran have relatively abundant labor force, low labor costs and a good education system, providing a good environment for developing the manufacturing sector.

"For example, textiles, steel, cement, construction materials can be potential areas of production capacity cooperation with Egypt," he said, "and in Iran, the automobile and electricity sectors have great potential."

A different way

In response to Western accusations that China has been a "free rider" in the Middle East, experts say China's policy on the region is simply different from that of the West.

"We focus on economy, trade and development, which help these countries solve domestic and regional problems on their own," said Wu Bingbing. "But Western countries mainly care about their political and security interests."

China's continuous operation of its large-scale investment projects in Iraq, for example, helps increase government income and improve social stability, making it easier for security operations, said Wu, the expert.

Even as the Islamic State wreaked havoc in Iraq in 2014, China did not stop its economic cooperation with the country, said Wu Sike. "The Iraqi government told me that China's role was extremely helpful for national stability."

Wu Bingbing noted that each country has its unique role in the Middle East, and should stick to its own advantages and principles.

Allam said big differences exist between the Western countries and China in regard to policies on the Middle East. "The West always looks upon the Middle East through the lens of colonialism and imperialism ... The West works on undermining the Middle East and spread chaos and divisions," he told Xinhua.

"However, the Chinese policy on the region is based on development, cooperation, building capabilities of the regional countries, defending the Middle East and African rights without internal intervention," he said.


Newspaper headline: China initiative strengthens ties with Middle East