The Economic Influence of China in the Middle East

In recent memory, Chinese influence has evolved into a complex and intertwined system between Beijing and the Middle East. While the Chinese powerhouse seems to focus its efforts on expansionist ideals and ambitions all across the world, Arab nations perceive China as an alternative force to the US with the potential to sway international opinion. Countries in the Middle East are vying to get on China’s good side, as their P5 member status of the United Nations Security Council can sway resolutions in the favor of the region. Beijing, on the other hand, has recognized these attempts and plans to capitalize on the need for China’s good favor.

Recent consequential events in the greater Middle East have forced Beijing to evaluate their role in the region.

With ties between Washington and Beijing at an all-time low, much attention has been placed on the recent China-Arab Cooperation Forum. This gathering brought together over 20 representatives from the MENA region; even the Secretary General of the Arab League was in attendance. Those who participated were encouraged to increase trade and development opportunities, as well as developing infrastructure projects as a part of China’s One Belt One Road economic program.

US-China Trade War and Arab Relations

The recent trade war between Beijing and Washington is keeping international economic relations taut between the superpowers. Most recently, tariffs and trade regulations placed on Beijing by the United States has caused a massive trade imbalance. Negotiations between the two reached a stalemate, with Beijing’s ultimate response being import duties on hundreds of products imported form the US.

In response, Beijing has begun to develop and invest more in the Middle East. The massive domestic demand for hydrocarbon imports has been steadily rising. The growing Chinese economy and the subsequent demand for oil had made the Middle East the perfect place to invest. By strengthening ties with the Arab world, China will be able to contain US influence in the region. The country is predicted to become the world’s largest consumer of OPEC oil, specifically in Iran, Saudi Arabia and Iraq. Beijing has committed to import 8 trillion USD worth of Middle Eastern oil over the next five years.