Visit takes China ties to new level

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DEALS SEALED: Officials sign agreements in the presence of Saudi and Chinese ministers in Beijing on Monday. (SPA)
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SOLIDARITY: Commerce and Investment Minister Majid Al-Qassabi and Minister of Energy, Industry and Mineral Resources Khalid Al-Falih with a Chinese official at the China Council for the Promotion of International Trade. (SPA)
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CULTURAL TIES: Information and Culture Minister Adel Al-Toraifi poses for photographers with Chinese Culture Minister Li Yang during their meeting in Beijing on Monday. (SPA)
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DEFINING PRIORITIES: Khalid Al-Falih, minister of energy, industry and mineral resources, addresses Saudi-China Business Forum in Beijing on Monday. (SPA)
Updated 31 August 2016
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Visit takes China ties to new level

BEIJING: Saudi Ambassador to China Turki bin Mohammed Al-Madhi has stressed the importance of Deputy Crown Prince Mohammed bin Salman’s visit to China, noting that it promotes the march of relations between Saudi Arabia and China and pushes them toward wider levels to serve the interests of the two friendly countries. According to him, the deputy crown prince’s visit comes as a complement to mutual visits between the leaders of the two countries and highlights the interest and keenness of the two leaderships to push their relations to the highest level in the different areas that benefit the two countries and their friendly peoples.
The ambassador added that the meeting of Custodian of the Two Holy Mosques King Salman with Chinese President Xi Jinping when he visited the Kingdom in January this year formed a strong push in the march of relations between the two countries.
“The visit of the deputy crown prince is a great opportunity to showcase Saudi Vision 2030,” he said. “Chinese officials are pretty excited.” He pointed out that during this visit several bilateral meetings will be held between the deputy crown prince and Chinese leaders, in addition to a meeting of the Saudi-Chinese Higher Committee at its first session, which will result and lead to positive results that serve to promote bilateral cooperation in many of areas.
Saudi businessman Mohammad Al-Abdullah Al-Anqari said the presence and presentation of Vision 2030 by Prince Mohammed at the G-20 summit, which joins the largest and the most important countries in the world, represents a great contribution to the summit and proves that the Saudi vision has global dimensions.


How the Crown Prince’s visit to South Korea is advancing Vision 2030

Updated 27 June 2019
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How the Crown Prince’s visit to South Korea is advancing Vision 2030

  • Mohammed bin Salman and South Korean President Moon Jae-in agree to a Vision Realization Office in Riyadh and Seoul
  • Business deals that redefine their traditional oil partnership include eco-friendly automobile technology and hydrogen energy

SEOUL: Crown Prince Mohammed bin Salman’s history-making visit to South Korea has taken Saudi Arabia a step closer to achieving its Vision 2030 economic transformation following the establishment of a joint “Vision Realization Office” that will expand business cooperation between the two countries beyond their traditional oil partnership.

The crown prince met with South Korean President Moon Jae-in at the presidential Blue House after being welcomed by Prime Minister Lee Nak-yeon at a VIP airfield in Seongnam, south of Seoul, earlier on Wednesday. It is the first visit to South Korea by an heir to the throne of the world’s largest oil exporter in more than two decades.

The crown prince, who also serves as deputy prime minister and minister of defense, stressed that he would invest more in South Korea, focusing on expanding bilateral collaboration in the fields of energy, automotive, tourism and health.

“South Korea has made tremendous success in Saudi Arabia. I hope South Korea will do the same to further improve the bilateral relationship,” the crown prince was quoted by a Blue House spokesman as saying.

“People of both countries will thrive through cooperation in the sectors of defense and economy.”

Moon pledged to provide full support for Saudi Arabia’s efforts to diversify its economic portfolio, breaking away from its dependence on the energy segment.

The two leaders discussed ways of boosting their relationship, with a focus on the new industrial sectors of information and communications technology, hydrogen energy, robots, health, medical service and culture.

Both sides “reaffirmed their strategic partnership regarding Saudi Vision 2030,” a joint press release said. “In this regard, the two leaders agreed to set up the ‘Vision Realization Office’ in both Riyadh and Seoul, respectively, as part of efforts to expedite bilateral efforts for the successful Vision 2030 partnership.”

At a luncheon hosted by Moon, South Korea’s business tycoons greeted the crown prince and other Saudi delegates.

Among the business leaders were Lee Jae-yong, vice chairman of Samsung Electronics; Chung Eui-sun, vice chairman of Hyundai Motor Group; Chey Tae-won, chairman of SK Group; LG chairman Koo Kwang-mo; and Chung Ki-sun, senior executive vice president of Hyundai Heavy Industries.

“I hope companies from both nations can set up a strategic and cooperative relationship through vibrant business activity,” the crown prince said.

Later in the day, he was invited to Samsung’s VIP guesthouse in Itaewon, Seoul, for more discussions on business partnerships with young South Korean representatives, a Samsung spokesman told Arab News.

IN NUMBERS

• $8.3bn - Estimated worth of economic deals signed on Wednesday

• 16 - Number of MoUs between the two governments, including agreements related to eco-friendly automobile technology and hydrogen energy

• 15 - Number of MoUs signed by the Saudi business delegation

• $6bn - Value of the deal signed by Saudi Aramco and S-Oil, South Korea’s third-biggest oil refiner, to build refinery and downstream facilities in South Korea

• $1.8bn - Cost of developing a propane dehydrogenation and polypropylene complex in Jubail, a joint project between SK Gas and Saudi’s Advanced Petrochemical (APC)

According to the Blue House spokesman, Seoul and Riyadh signed a total of 16 memorandums of understanding (MoUs), including agreements related to eco-friendly automobile technology and hydrogen energy.

“Based on the latest MoUs with Saudi Arabia, South Korean companies will lay the groundwork for advancing into the Middle East region in the fields of green cars, hydrogen energy supply, hydrogen fuel cell and others,” Minister of Trade, Industry and Energy, Sung Yun-mo, told reporters.

On top of the government agreements, eight MoUs between companies have been signed. The value of the agreements is estimated at $8.3 billion, the minister added.

Among the lucrative business deals are Saudi Aramco’s petrochemical project with S-Oil,  South Korea’s third-biggest oil refiner. Under the $6 billion deal the refinery will build a facility to produce ethylene and other basic chemicals out of naphtha and refinery off-gas, as well as olefin downstream facilities in Ulsan, about 400 km southeast of Seoul, by 2024.

Another high-profile agreement is on hydrogen cars. “The collaboration of Hyundai and Saudi Aramco will cover not only existing projects but also future-oriented business plans,” Chung Eui-sun, Hyundai’s vice chairman, said in a statement.

“This MoU will be an opportunity to help further solidify our strategic cooperative partnership,” he added.

Under the partnership, the two companies will cooperate in establishing hydrogen-charging infrastructure in South Korea and supply hydrogen fuel-cell electric cars in Saudi Arabia.

Other MoUs include Aramco’s joint investment with Hyundai Heavy Industries to build a ship engine plant in the King Salman Global Maritime Industries Complex, and a joint project between SK Gas and Saudi’s Advanced Petrochemical (APC) to develop a $1.8 billion propane dehydrogenation and polypropylene complex in Jubail.

On a political note, Moon and the crown prince condemned terror activities harming energy security and regional stability in the Middle East, including this week’s deadly attack by Yemen’s Houthi rebels on Abha’s civilian airport in southern Saudi Arabia.

The crown prince promised to help with South Korea’s possible fuel shortages in case of supply disruption caused by tensions in the Middle East, while both leaders called for international efforts to secure energy safety at the Strait of Hormuz, where two Japanese oil tankers were struck by unidentified attacks.

South Korea imported 101.5 million barrels of crude oil from Saudi Arabia, Seoul’s biggest oil supplier, in the first four months of this year, down 2.7 percent from a year ago, according to data from state-run Korea National Oil Corp.