Managing Relations with the West with the Help of the East
Xi Jinping arrived in Saudi Arabia to strengthen ties with Gulf countries, meeting with over 30 regional leaders, which somewhat worried Washington.
Xi Jinping has returned to the international stage as a powerful figure. After more than two years of isolation due to the pandemic, the Chinese leader has participated in various multilateral and bilateral meetings in recent months to bolster China’s foreign relations.
Following the G20 summit in Indonesia and the APEC summit in Thailand, Xi Jinping visited Saudi Arabia on December 7, highlighting Beijing’s efforts to become a leading player in the Gulf region. This area, rich in fossil resources, plays an important role in China’s energy diversification. Additionally, growing dissatisfaction with the United States and the West has turned many Gulf countries, including Saudi Arabia, into key partners for redesigning the global order and replacing the current one.
Seize the Day carpe diem
Xi Jinping arrived in Riyadh and during his three-day stay participated in numerous meetings with both Saudi Arabian leaders and in multilateral talks with other Gulf and Arab region leaders. This is Xi Jinping’s third trip abroad after two years of isolation due to the pandemic. In recent weeks, the Chinese president has been particularly active on the diplomatic front, meeting with foreign leaders and striving to restore and enhance China’s international image, which was recently damaged by the pandemic and Beijing’s refusal to condemn Russia for its invasion of Ukraine.
Xi Jinping’s meetings have focused on China’s foreign policy priorities: the Shanghai Cooperation Organization summit in Central Asia, where Russia is losing its grip and China can expand its influence; participation in the G20 and APEC summits in Southeast Asia, a region that is increasingly becoming a focal point of international attention due to its significant economic and strategic importance; and finally, Saudi Arabia, a country rich in energy resources.
It should be noted that the timing of this recent visit is no accident. While relations between Riyadh and Washington are increasingly tense, China’s presence in the Gulf is steadily growing. Certainly, Beijing is well aware that, like many countries, it will be difficult for Saudi Arabia to remain neutral in the face of escalating tensions between China and the United States. As a result, Xi Jinping’s visit could not have come at a better time.
Strategic Cooperation
The trip to Saudi Arabia following the G20 summit in Bali and the APEC summit in Thailand underscores the importance China places on Riyadh. With exports of 81 million tons of oil in 2021, Riyadh is China’s leading oil supplier. In contrast, last year, especially after the disorderly withdrawal of American forces from Afghanistan, Saudi oil supply to the United States decreased.
Therefore, energy supply was a key topic in the leaders’ discussions, but the partnership between Beijing and Riyadh goes beyond that. China is Saudi Arabia’s main trading partner, and the two countries have significant cooperation, including China’s Belt and Road Initiative, an investment plan in the economic infrastructure of over 70 countries and international organizations, and the development of two trade routes: the Silk Road Economic Belt and the Maritime Silk Road, which are central to Xi Jinping’s foreign policy.
Saudi Arabia’s development vision for 2030 is a program aimed at reducing the country’s dependence on oil, diversifying its economy, and developing service sectors such as healthcare, education, infrastructure, entertainment, and tourism.
Saudi Arabia has also agreed to use the Renminbi, China’s official currency, whose main unit is the Yuan, for paying for its energy resources in Beijing. This currency is legally used in mainland China but not in Hong Kong and Macau.
Like other countries in the region, Riyadh seems to be significantly interested in seeking multilateral platforms for dialogues as alternatives to Western ones. Saudi Arabia has also applied to become a dialogue partner and member of the Shanghai Cooperation Organization, a mechanism for cooperation on security, economic, and cultural issues, with China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan, and Uzbekistan as its main members.
Finally, Saudi Arabia has expressed interest in joining BRICS, an organization that brings together some of the world’s emerging economies, including Brazil, Russia, India, China, and South Africa. Therefore, for Beijing, which seeks to establish an international order outside the hegemony of the United States and the West, Riyadh could be considered a vital partner.
Does Riyadh Enjoy the Dispute Between the West and China?
Over the past year, relations between Saudi Arabia and the United States have significantly deteriorated. In the ever-changing Middle East, the United States is often viewed as a distant and unreliable partner.
After the start of the war in Ukraine, Saudi Arabia has repeatedly expressed its interest in maintaining good relations with Russia, especially within OPEC+. The latest event in this regard was the decision by OPEC+ countries in October to cut production by about two million barrels per day. This decision followed months of pressure from the United States on Riyadh, which was trying to persuade Saudi Arabia to increase production to balance rising global market prices.
In the context of a global energy crisis, Riyadh and OPEC+’s decision was viewed by Washington as a political choice, especially given the international situation in which it was made. Therefore, this tension opens the door for China to strengthen its presence in the region and attempt to overshadow the U.S. presence.
However, although Saudi Arabia is increasingly aligning itself with China, completely replacing the United States will be challenging for the country, at least for now. China is not willing to present itself as the guarantor of stability in the region. Additionally, the United States is one of the largest suppliers of arms to the Saudi military, and just in August, the Biden administration approved the sale of military equipment worth $3 billion. Despite the United States’ military importance, a Middle East politically abandoned by Washington would significantly create a favorable environment for Beijing’s interests.