Diplomatic relations between the People’s Republic of China and the United Arab Emirates were first established in 1984 and have grown significantly over the past few decades. This created a foundation for future cooperation and marked the start of their official interactions.
The UAE has an embassy in Beijing and a consulate-general in Hong Kong, while China has an embassy in Abu Dhabi and a consulate-general in Dubai. For years, the UAE and China have been strong allies, cooperating under economic, political, and cultural aspects.
The Economic Cooperation grew in the 1990s, driven by mutual interest in trade and investments. The UAE’s strategic location was a gateway to the Middle East and Africa, which was particularly enticing to Chinese businesses. According to data of the National Bureau of Statistics of China, between 1990 – 1999, China mainly exported textiles, home appliances, mechanical equipment, and raw materials to the UAE and imported oil and aluminum ingots (also known as metal bars) from the UAE.
In the UAE, trading centres were built, while the state-owned enterprises mainly traded in Dubai and Abu Dhabi. From 1982, China’s construction contracting companies started to establish subsidiaries in Abu Dhabi and contract flyovers.
The slow growth of the China-UAE partnership was caused by factors such a focus on trade in goods like textiles, light industrial goods, mechanical and electrical products, while there was little contracting and labour cooperation or strategic partnerships. In 2007, UAE-China bilateral trade exceeded over $19 billion, indicating a growth rate of 41 percent, with 2000 Chinese firms operating in the UAE and a large Chinese community who are primarily involved in the construction sector.
According to the Georgetown Journal of International Affairs, China is Saudi Arabia and the UAE’s largest non-oil trading partner worldwide, and the UAE has remained as China’s second-largest trading partner. Wen Jiabao, who was a Chinese politician, serving as a premier from 2003 to 2013, emphasised the importance of the UAE-China economic partnership in the Persian Gulf region, referring to it as a transfer centre for Chinese products to the Middle East and African markets.
He also encouraged Emerati businesses to invest in China and Chinese companies to invest in the UAE. At the beginning of June, China emphasised their support for the United Arab Emirates regarding its quarrel with Iran over three islands in the Gulf – Abu Musa, Greater Tunb and Lesson Tunb – which have been under Iranian control since 1971.
The dispute started in 1908 when the British occupied the islands until November 1971, when the then-Shah of Iran instructed his country’s navy to seize control. The UAE and other Arab states have always perceived Iran’s occupation of the islands as illegal, which Tehran defends it as an Emirati “misunderstanding”. In response to the joint statement, Iran responded by inviting the Chinese ambassador to Tehran. In 2022, China expressed its support for negotiations for a peaceful resolution.
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