CONTEMPORARY EURASIA VIII (2) ContEurVIII2 | Page 72

CONTEMPORARY EURASIA VIII (2)
search for oil. This could have been welcomed by Saudi Arabia.
Accordingly, Saudi Arabia’s importance for China was rapidly
increasing, while it became crucial for Beijing to use every possible
opportunity for strengthening its ties with Riyadh, especially concerning
the economic sector and energy cooperation. China was also deepening
its export and investment ties with Saudi Arabia. From the period of 1995
to 2005, the annual volume of Saudi imports from China has constantly
risen, in aggregate terms expanding approximately 600 percent over the
last decade of the twentieth century. Moreover, Beijing’s investments in
the Kingdom have expanded significantly as well. In regard to Beijing’s
strategic calculations, the significance of developing Sino-Saudi trade and
investment ties could simply mean that China was strengthening its
efforts to establish itself in the Kingdom’s calculations as a pleasant and
desirable long-term customer for importing Saudi’s oil. On the other
hand, Saudi Arabia was a long-standing US ally in the region. Chinese
leaders believed that by establishing closer ties with the Kingdom, they
had an opportunity to force the United States to take China more
seriously and accept its role as a global player. Indeed, energy
cooperation was the most significant and rapidly developing aspect in
regard to Sino-Saudi relations. China’s Sinopec and Saudi’s Aramco
achievement in expanding mutual cooperation was especially important,
increasing investments and oil production capacity. Only after China
established its interest in increased Saudi production capacity did Saudi
Aramco’s investment budget greatly expand. 23
Saudi Arabia, in its cooperation with China, was gaining other
benefits as well. Similar to the Iranians, Saudis also sought to develop
their military capabilities. As China began to expand its role as a supplier
of advanced military technology and weapons, the Kingdom hoped to use
this opportunity. Taking into account oil-rich Saudi Arabia’s strategic
significance, China was surely eager to provide the Kingdom with its safe
and advanced military technology. Saudi leaders were impressed by
Beijing’s impulse to protect the value of China’s currency after the Asian
financial crisis in 1997. Furthermore, after the September 11 attacks, the
Saudis turned sharply towards China for collecting more oil revenues.
The main reason was that after the attack, Washington became a less
attractive destination for Riyadh’s investments. 24

23
24
Ibid, 193, 195.
Ibid, 196.
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