Saudi Arabia finds Asia as a market for green energy investment
Fifteen strategic investment agreements were signed at the Saudi-Japan Investment Forum in Riyadh in various sectors as the two countries seek to deepen business ties. Agreements were signed to boost investment in sectors such as metallurgy, maritime, petrochemicals and automotive, with some 99 Japanese companies investing in Saudi Arabia, as the two countries seek to further strengthen their economic ties. Speaking at the forum, Saudi Arabian Investment Minister Khalid Al Falih said the kingdom plans to invest $3.3 billion in Japan by 2030, and that the two countries have strengthened ties with big gains. The minister added that Saudi Arabia will use its relationship with the East Asian nation to produce more than 500,000 electric vehicles a year by the end of the decade.
In addition, Al Falih said during the forum that Saudi Arabia aims to build five of the world's largest marine industrial parks in Ras Al-Khair. He added that the Kingdom aims to become the world's leading energy country, as the two countries plan to work together to achieve a smoother energy transition. Al-Falih said Saudi Arabia aims to become a major gaming and e-sports hub by 2030, with content that could be exported to the region and the world, "It follows for more than 60 years our collaboration with Japan for being a pioneer in the world and a partner country," he said.
A day before the forum, Saudi Arabia and Japan held a ministerial meeting in Riyadh, the Saudi Press Agency reported. Prince Abdulaziz bin Salman, Saudi Arabia's minister of energy, and Yasutoshi Nishimura, Japan's minister of economy, trade and industry, signed a memorandum of cooperation in the areas of circular carbon economy and carbon recovery, as well as hydrogen, flammable ammonia and its derivatives. The two ministers agreed to focus on reducing emissions rather than energy, effectively implementing carbon recovery and the circular carbon economy.
The dialogue also expressed the ambitions of the two countries to cooperate in the petrochemical industry to maximise the integration of the entire value chain, SPA reports. The parties also expressed their intention to continue cooperation in the energy sector, focusing on electricity, renewable energy, energy efficiency and innovation.
The Kingdom's advancement and expansion knows no bounds. Saudi Arabia, in its quest to champion zero-emission energy policies, also signed a memorandum of understanding with the Chinese company, Huawei. These agreements with the Asian giant's company are expected to help boost investments in smart infrastructure and cloud in the country, among several agreements reached with other Chinese companies during President Xi Jinping's visit. The agreement with Huawei includes plans to establish smart industrial infrastructures in key cities in the country, as well as to develop cloud computing.
Saudi Arabia stresses in a statement that the two nations wish to "develop and strengthen" ties between them in various sectors. Chinese and Saudi Arabian officials praised the agreements for helping to "build a more diversified and sustainable economy" and promote Saudi Arabia's regional goals and its Vision 2030 strategy. Several media outlets have highlighted the US actions against Huawei as part of a broader strategy to address security risks in Chinese technology. As a result, the FCC (Federal Communications Commission, a US regulatory agency) has banned the sale of Huawei products in the US due to concerns that they may threaten national security.
