UAE President Sheikh Mohammed bin Zayed Al Nahyan made his first official visit to the United States as president last month. Meanwhile, relations between the UAE and China are growing stronger, says academic Ghulam Ali.
UAE President Sheikh Mohammed bin Zayed Al Nahyan and Chinese President Xi Jinping attend a welcoming ceremony at the Great Hall of the People in Beijing, China, on May 30, 2024. (Tingshu Wang/Pool/Reuters)
On November 1, 1984, China and the United Arab Emirates (UAE) established diplomatic relations. China opened an embassy in Abu Dhabi in April 1985, and the UAE opened an embassy in Beijing in March 1987. Currently, the UAE has consulates in Hong Kong, Shanghai, and Guangzhou, and China has a consulate in Dubai. Over the past 40 years, our two countries have expanded relations in all areas.
High-level visits between the two countries, which began early, played an important role in the development of bilateral relations. Chinese President Yang Shangkun became the first Chinese head of state to visit the UAE in 1989. The following year, in 1990, Sheikh Zayed bin Sultan Al Nahyan, the founding father and first president of the UAE, visited China. This is the first visit to China by an Arab Gulf leader.
Other important visits that strengthened ties include President Xi Jinping’s visit to the UAE in 2018. At that time, the two sides elevated their relationship to a “comprehensive strategic partnership,” representing the highest level of diplomatic relations. Sheikh Mohammed bin Zayed Al Nahyan visited China several times as Crown Prince of Abu Dhabi and again in May 2024 as President of the UAE. Over the past 40 years, the two sides have signed nearly 150 bilateral agreements and memorandums of understanding.
During President Sheikh Mohammed’s visit in May 2024, he described China as his second home, and Xi called the China-UAE relationship a model.
Common positions on key issues
China and the UAE support each other’s core issues. The UAE supports the “One China” policy, opposes any form of “Taiwan independence,” and advocates peaceful unification. China has provided indirect support to the UAE in its territorial dispute with Iran over the sovereignty of three strategically located islands in the Persian Gulf: Abu Musa, Lesser Tunbu and Greater Tunbu. A joint statement issued at the China-GCC summit during President Xi’s visit to Saudi Arabia in 2022 emphasized “peaceful resolution” of the conflict.
China has maintained a similar position on other occasions, including in the China-UAE statement after the China-Arab States Cooperation Forum earlier this year, much to Iran’s irritation. China has no direct stake in the conflict and has taken this difficult position ostensibly to please GCC states, which support the UAE’s efforts towards a peaceful resolution. Iran, on the other hand, claims these islands are an integral part of its territory.
This handout photo provided by the UAE Presidential Court shows President Sheikh Mohammed bin Zayed Al Nahyan (right) meeting with Chinese Premier Li Qiang in Abu Dhabi on September 12, 2024. (Hamad Al Kaabi/UAE Presidential Court/AFP)
Relations between China and the UAE are also expanding into the defense sector. In August 2023, the two countries conducted the first-ever joint air exercise “Falcon Shield.” A second series will be held in China in July 2024, indicating that it is becoming a regular event. The UAE has purchased L-15 light attack multi-role aircraft from China. Against the backdrop of the UAE’s dispute over its purchase of 50 F-35 fighter jets from the United States, the UAE has expressed interest in purchasing China’s J-20 stealth fighter jet.
Diplomatic touches, symbolic gestures, and rhetoric are important aspects of this relationship. During President Xi’s visit in 2018, Abu Dhabi welcomed him with a 21-gun salute, arranged a state dinner, and displayed President Xi’s image on a nearly full-height LED screen at the 65-story Adnoc headquarters. and renamed the mobile network “WelcomePresChina”. He was awarded the UAE’s highest civilian award, the Order of Zayed.
During President Sheikh Mohammed’s visit in May 2024, he described China as his second home, and Xi called the China-UAE relationship a model. For the past two years, the UAE has celebrated Chinese New Year and this year’s Mid-Autumn Festival by lighting up the world’s tallest building, the Burj Khalifa, in Dubai.
Since the UAE launched the Chinese language program in 2019, more than 71,000 students have enrolled in the program across 171 schools.
Cultural ties and people-to-people exchanges are also increasing. More than 1 million Chinese tourists visited the UAE in 2023. More than 350,000 Chinese people currently live in the UAE. More than 210 flights each month, operated by the UAE’s national carrier, connect the two countries. Both companies are increasing frequency in response to growing demand. Chinese culture and language are attracting attention in the UAE. Since the UAE launched the Chinese language program in 2019, more than 71,000 students have enrolled in the program across 171 schools.
Approaching through China-led grouping and trade
The UAE is gradually coming under the umbrella of Chinese-led multilateral institutions. It joined BRI in 2015 and became one of the founding members of the Asian Infrastructure Investment Bank. In May 2023, the UAE became a dialogue partner of the Shanghai Cooperation Organization (SCO), and in 2024 it became a full member of the BRICS group, which includes Brazil, Russia, India, China, and South Africa.
China and the UAE are also connected through the China-Arab Summit and the China-GCC Summit. China has invited the UAE as a “special partner country” to the 21st China-ASEAN Expo to be held in Nanning, China in September 2024. This was the first time a GCC delegation attended the event.
People relax near palm trees with the skyline in the background in Abu Dhabi, United Arab Emirates, September 27, 2023 (Amr Alfiqi/Reuters)
The growth of bilateral relations can be measured by trade, which reached approximately USD 95 billion in 2023. Notably, of this amount, non-oil trade amounted to USD 80.6 billion, reflecting a 12% year-on-year increase. This is equivalent to an 800-fold increase since diplomatic relations were established. The two countries aim to increase trade volume to US$200 billion by 2030. From 2003 to 2022, the UAE invested US$11.4 billion in China, while China invested US$6.9 billion during the same period.
Relations between China and the UAE have expanded to cover every conceivable area. The two countries have entered into currency swap agreements, financial and digital cooperation agreements, joint investment agreements, stock exchange partnerships, tourism initiatives, new economy collaborations, entrepreneurship programs, aviation agreements, logistics partnerships, cooperation in AI and emerging technologies, and infrastructure projects. Signed. Digital networks, ports, construction.
Facing tariffs, sanctions and technology denial from the United States and other Western countries, China is drawn to the UAE, which offers a favorable investment environment and serves as one of the Middle East’s leading financial hubs. No wonder 60% of China’s trade in the region goes through the UAE.
Complementary relationship under US intervention
The interplay of interests in changing global power relations brings the two sides closer together. Facing tariffs, sanctions and technology denial from the United States and other Western countries, China is drawn to the UAE, which offers a favorable investment environment and serves as one of the Middle East’s leading financial hubs. No wonder 60% of China’s trade in the region goes through the UAE.
China’s vast market, economic influence, appetite for technology transfer, unconditional policy, and expertise in renewable energy, infrastructure, and scientific research, on the other hand, complement the UAE’s economic diversification. Furthermore, the nature of the regimes in both countries ensures political stability and policy coherence, and non-interference further supports the development of relations.
US President Joe Biden (right) and UAE President Sheikh Mohammed bin Zayed Al Nahyan walk down the White House Colonnade in Washington, DC, USA on September 23, 2024 (Samuel Corum/Sipah/Bloomberg)
What threatens this relationship? The United States has been the UAE’s largest strategic partner throughout history. The United States has noticed China’s deepening influence in the UAE, particularly in the areas of AI and defense, and has taken steps to curb this influence. Following US intervention, the UAE’s state-run G42 withdrew from China and signed a huge $1.5 billion deal with Microsoft in April this year.
During UAE President Sheikh Mohammed’s visit to the United States in September 2024, the United States took further steps to tempt the UAE. The United States designated the UAE as a “major defense partner,” a status that could enhance military cooperation, interoperability, advanced weapons transfers, and revive F-35 negotiations. The two countries also announced a partnership to lead global advances in artificial intelligence (AI).
Some analysts have suggested that these developments would curb China’s role, but the Foreign Affairs article argues that it will have little effect as private companies from both countries will continue to cooperate. In the case of the G42, know-how may still flow to companies in each country. The UAE has deep ties with Chinese investors.
Will the UAE choose a side (unlikely given increasing multipolarization and the relative decline in US power) or, as many Arab Gulf states do, find a balance between the two countries? As the two countries celebrate the 40th anniversary of the founding of the country, all eyes will be on whether they will maintain their close relationship. diplomatic relations with China.