In 2008, a project for China-Africa overseas economic and trade cooperation was launched with the aim of developing strategic partnerships between Egypt, which occupies a strategic position in the Middle East, and China, which has an important role in the formation of the new world order. This project, known as the “China-Egypt Suez Economic and Trade Cooperation Zone” or “TEDA Cooperation Zone”, is located at the intersection of China’s Belt and Road Initiative and the Suez Canal Corridor. This area is known as the only industrial park in Egypt equipped with all-round support facilities that allow businesses to enter and set up directly. The TEDA Cooperation Zone is also the first overseas economic and trade cooperation zone project invested by the China-Africa Fund.
Located about 50 km south of the Suez Canal, this industrial zone has emerged as a pioneering project linking China’s Belt and Road Initiative and Egypt’s Suez Canal Corridor, giving a new look to the once desert land. Wei Jianqing, Deputy General Manager of China-Africa TEDA Investment Co., Ltd., the developer of the cooperation zone, said that with the progress of the Belt and Road Initiative’s joint development, more and more Chinese manufacturing enterprises are venturing overseas, and the cooperation zone provides a platform for these enterprises to invest and expand their business.[1]
“The successful landing of the project is significant to promote the industrialization of Egypt, and further strengthen the regional economy, promote industrial restructuring and accelerate the industrialization process,” Waleid Gamal El-Dein, Chairman for the General Authority of Suez Canal Economic Zone, said at the groundbreaking ceremony of the project’s plant.[2]
Over the past 15 years, the team of TEDA has developed the experience of overseas development and the business practices of TEDA Cooperation Zone. Based on almost 40 years of development experience of China’s TEDA Development Zone and the business models of many development zones at home and abroad, it has gradually formed the TEDA overseas model and a series of development and management models covering the whole process of overseas industrial parks. The TEDA model takes the park as the starting point, implements the “Belt and Road” five-link construction method, focuses on solving various problems involved in the overseas development of industrial parks, and promotes the sustainable development of overseas industrial parks along the Belt and Road Initiative and the training of management personnel.[3]
Looking before TEDA cooperation, indeed, relations between Beijing and Cairo go back a long way. In 1956, the Nasr administration was the first Arab country to recognize the People’s Republic of China. Later on, China provided financial support to Egypt during the Suez Crisis. Despite the changing political systems and governance in Egypt, China has maintained its importance for Egyptian foreign policy. In fact, Egypt’s ties with China started to develop further in 2013 when China launched the Belt and Road Initiative. This led to the signing of a “strategic partnership agreement” between the two countries in 2014, which promises cooperation in the fields of defense, technology, economy, counterterrorism and cybercrime.
Middle Eastern countries, which are also part of the historical Silk Road, are direct partners of China’s Belt and Road Initiative. Within the scope of this project, agreements have been signed with many Middle Eastern countries. It can be said that China and Middle Eastern countries complement each other in a way. Because while the Middle East has rich oil and gas resources, China’s growing economy is increasingly dependent on energy resources.
Moreover, the Middle East needs other resources and industrial development that can be met by China’s strength in infrastructure, manufacturing and financing. China attaches great importance to the principles of mutual benefit and win-win outcomes in Belt and Road cooperation. For example, China has implemented a number of infrastructure projects in the Middle East, including ports, railways and energy networks, which not only promote regional economic development but also provide more business opportunities for Chinese companies.
China can always play an active and constructive role in the Middle East region. This is because China’s pursuit of cooperation is not motivated by geopolitical concerns and does not act as a competitive player in the region. Given the current complex situation in the region, pursuing economic and regional cooperation can be one of the important approaches to reduce conflicts and create favorable conditions for peaceful development.[4]
On 15 July 2024, Egypt and China signed three strategic MOUs to promote socio-economic and technological developments and deepen relations. The first MOU, focusing on information sharing and cooperation in areas of mutual interest, was signed by Egyptian Minister of Planning and International Cooperation Rania Al-Mashat with the National Development and Reform Commission (NDRC). The areas of focus of the agreement include macroeconomics, industrial development, renewable energy, technological innovation and sustainable development. The agreement paves the way for workshops, seminars and training programs that will leverage China’s expertise to support Egypt’s development initiatives to advance socio-economic development.[5]
Consequently, China has assumed the role of architect of the emerging new international order. In addition to contributing to global world trade by connecting Asia, Europe and Africa by land and sea through the Belt and Road Initiative, China is also the leading player in the Shanghai Cooperation Organization to address security issues in Central Asia and the BRICS to enhance economic cooperation. Thus, China’s policies can be considered as an alternative to the new world order, which is developing towards multipolarity and which will create a balance to international organizations such as the United Nations, which are the basis of today and which have developed under Western hegemony.
The advantage that China has over other global powers, especially the United States, is that its foreign policy is closely aligned with the foreign policy of many Middle Eastern countries. Unlike the United States, China’s foreign policy principles are based on values such as respect for sovereignty and territorial integrity, non-interference, mutual benefit and peaceful existence. China also refrains from intervening under the pretext of protecting human rights or promoting democracy. In other words, it has refrained from applying double standards in international relations. Many states in the region see China in this way. It is therefore not surprising that China’s foreign policy is more attractive to leaders in the Middle East.[6]
[1] “TEDA, Signature Project Boosting High Quality China-Egypt BRI Cooperation”, Belt and Road Portal, https://eng.yidaiyilu.gov.cn/p/0P6LD9AV.html, (Accessed: 17.07.2024).
[2] Ibid.
[3] “China-Egypt TEDA Suez Economic and Trade Cooperation Zone”, China-Arab States Expo, https://www.casexpo.org.cn/en/newsDet.html?id=1527#:~:text=With%20the%20support%20of%20the,a%20bridgehead%20for%20China%2DEgypt, (Accessed: 17.07.2024).
[4] “BRI Cooperation Crucial for Development of Middle East”, Global Times, https://www.globaltimes.cn/page/202310/1299451.shtml, (Accessed: 18.07.2024).
[5] “Egypt and China Deepen Ties to Advance Socio-Economic Growth”, Space in Africa https://spaceinafrica.com/2024/07/15/egypt-and-china-deepen-ties-to-advance-socio-economic-development/, (Accessed: 17.07.2024).
[6] “China’s Evolving Economic and Security Role in Middle East”, Carnegie, https://carnegieendowment.org/posts/2024/03/chinas-evolving-economic-and-security-role-in-the-middle-east?lang=en, (Accessed: 18.07.2024).
