Analysis: China and Saudi Arabia: Reinvigorating ties

King Salman receives warm welcome upon his arrival in China on Wednesday. (SPA)
Updated 16 March 2017
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Analysis: China and Saudi Arabia: Reinvigorating ties

At the invitation of Chinese President Xi Jinping, Saudi Arabia’s King Salman is paying a state visit to China. The visit by the monarch, arguably the most strategically significant leg of his month-long Asia tour, comes as Riyadh has boosted its efforts to diversify the economy away from oil dependence, and broaden the Kingdom’s foreign partners.
Although energy and trade will likely occupy an important place in the talks between the two leaders, the relations between both countries have expanded in various fields, especially in defense and security.
Energy cooperation remains the foundation of relations between Saudi Arabia, the world’s top exporter of crude oil, and China, the world’s biggest importer. China’s oil consumption has risen dramatically from 2.9 million barrels per day (mbpd) in 1993 to 11.90 mbpd in 2016. Thus, oil imports have also rapidly increased, rising from zero percent in 1993 to more than 66 percent of China’s total oil supply, or around 7.6 mbpd last year.
Importantly, the International Energy Agency (IEA) expects China’s appetite for crude oil imports to remain strong over the next decade, growing at an average rate of 2.4 percent over 2017-2022 to around 9.4 mbpd in 2022, with a possible additional 1.5-2 mbpd by 2030. In this context, Saudi Arabia will fight very hard to protect its growing energy interests in China.
Beyond oil, China also offers important economic advantages to Saudi Arabia’s sizeable downstream and petrochemicals sectors. Saudi Basic Industries Corp. (SABIC) already holds a stake in a polycarbonate complex in Tianjin with China Petroleum & Chemical Corporation (Sinopec Group), while Saudi Aramco holds a stake in the Fujian Refining & Petrochemical Company.
Against this backdrop the main concern for Riyadh is the future trajectory of China’s economy and the uncertainty over its oil demand. Growing competition is also an emerging challenge as Saudi Arabia is now facing competition for Chinese market share from Russia, Iraq, Iran, Venezuela and even Brazil.
Russia last year overtook Saudi Arabia to become China’s biggest crude oil supplier for the first time ever, shipping some 1.05 mbpd compared to Saudi Arabia’s 1.02 mbpd. Meanwhile, China’s petrochemical capacity is also projected to grow significantly over the coming years, while the yuan devaluation is reducing production costs and raising the price of imports. This situation would inevitably reduce the country’s reliance on imports.

Top trade partner
China’s rapid economic development over the past three decades contributed to a significant increase in its oil imports. In the process, Saudi Arabia become China’s top partner in the Middle East and North Africa (MENA). Looking forward, HSBC projects that China will remain the number one export market for Saudi Arabia to 2030, and will increase its dominance given its still relatively fast growth and demand for energy.
Today, more than 160 Chinese companies are operating in several sectors of the Saudi economy and the number of Chinese projects in the Kingdom reached around 175. The Chinese economic footprint in Saudi Arabia is most pronounced in the telecommunication and construction sectors. Huawei Technologies has a prominent presence in Saudi Arabia and represents one of the major success stories of Chinese companies in the Kingdom.
Yet China-Saudi relations are still transactional in their nature and have been restricted mainly to energy exports (oil, petroleum products and petrochemicals), Chinese manufacturing goods and limited cross-investment. To be sure, the trade between the two countries has dropped significantly to $42.4 billion in 2016, a decline of almost 18 percent from the previous year and nearly 40 percent since 2014, when the oil prices started to decline.
In this context lies the importance of the Saudi king’s visit to China, especially to attract more Chinese investment to the Kingdom and the use of Chinese expertise to contribute to the diversification of the Saudi economy away from oil.

Growing defense ties
Developing strategic relations with China is one of the most important foreign policy goals of Riyadh in the coming years. In January 2016, during President Xi Jinping’s state visit to Saudi Arabia, the two countries established a comprehensive strategic partnership.
From the Saudi perspective, Beijing could be regarded as a valuable source of political support as Saudi Arabia continues a path of selective economic reforms whilst also seeking to deflect Western pressure in the political arena. For example, last October China backed Saudi Arabia’s sovereign immunity and criticized the so-called Justice Against Sponsors of Terrorism Act (JASTA).
Counterterrorism is an emerging area of cooperation between the two countries. Last November, Riyadh and Beijing revealed a five-year plan for security cooperation including counterterrorism cooperation and joint military drills.
There is potential for Chinese companies to win more Saudi defense procurement over the next decade, particularly as Riyadh is seeking to diversify its military sources, and receive technology transfer as Riyadh aims ambitiously to localize over 50 percent of military equipment spending by 2030.
All in all, and despite several obstacles, Saudi-Chinese relations will be strengthened steadily in the future. Or as Chinese Foreign Ministry Spokeswoman Hua Chunying, during her regular press conference on March 13, put it: “We stand ready to take King Salman’s visit as an opportunity to take China-Saudi Arabia comprehensive strategic partnership to a higher level.”
• Dr. Naser Al-Tamimi is a UK-based Middle East researcher, political analyst and commentator with interests in energy politics and Gulf-Asia relations. Al-Tamimi is author of the book “China-Saudi Arabia Relations, 1990-2012: Marriage of Convenience or Strategic Alliance?” He can be reached on Twitter @nasertamimi and e-mail: [email protected].


Royal order approves transformation of King Khaled Eye Specialist Hospital

Updated 10 sec ago
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Royal order approves transformation of King Khaled Eye Specialist Hospital

RIYADH: A royal order was issued on Saturday to transform King Khaled Eye Specialist Hospital and Research Center into an independent, non-profit institution under the Royal Commission for Riyadh City, Saudi Press Agency reported.

Ibrahim bin Mohammed Al-Sultan, acting CEO of the commission, thanked King Salman and Crown Prince Mohammed bin Salman for their commitment to improving health services in the Kingdom, SPA added.

Al-Sultan said that the transformation will establish the hospital as a global leader in ophthalmology, reflecting the leadership’s dedication to providing world-class healthcare.

Recognized as a pioneer in its field, the hospital's transformation is part of a broader initiative to enhance specialized health and educational entities, including King Saud University and King Faisal Specialist Hospital.

The Royal Commission will oversee the hospital’s development, ensuring it aligns with international standards and continues to serve as a cornerstone of Saudi healthcare excellence, SPA reported.


Thai scholar thanks Saudi Arabia for ‘transformative role’ in his life

Updated 30 November 2024
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Thai scholar thanks Saudi Arabia for ‘transformative role’ in his life

RIYADH: Abdullah Mustafa, a prominent Muslim scholar from Thailand and one of the guests of the Custodian of the Two Holy Mosques’ Program for Umrah and Visit, has expressed gratitude to Saudi Arabia for its pivotal role in shaping his life and career, the Saudi Press Agency reported.

Fifty years ago, a young Mustafa embarked on a life-changing journey to Saudi Arabia, receiving a scholarship from the Islamic University of Madinah. He fondly recalled the simplicity of the Prophet’s Mosque during his early days — a stark contrast to the magnificent religious landmark it has become today.

During his 16 years in Saudi Arabia, Mustafa immersed himself in Islamic studies, earning a doctorate in Islamic advocacy and interfaith dialogue. His academic pursuits were particularly focused on understanding Buddhism, the predominant religion in Thailand, and developing effective strategies for Islamic outreach.

Upon his return to Thailand, he dedicated his life to spreading the message of Islam. He translated the Holy Qur’an into the Thai language, making it accessible to a wider audience. His tireless efforts have led to numerous conversions and a strengthened Muslim community in Thailand.

He emphasized the enduring impact of Saudi Arabia’s support for Muslims worldwide and highlighted the “esteemed” position held by graduates of Saudi universities in various fields, including education and Islamic jurisprudence.

Looking to the future, Mustafa expressed hope that his daughter, currently studying at Taibah University in Madinah, will continue his legacy of serving Islam.

He acknowledged the Kingdom’s progressive approach to education, emphasizing the importance of women scholars in Islamic advocacy.

He also extended heartfelt thanks to King Salman and Crown Prince Mohammed bin Salman for their unwavering commitment to serving Islam and Muslims around the world, and gratitude to the Ministry of Islamic Affairs for its endeavors to promote moderate Islam and foster “global Islamic unity.”


Saudi Arabia’s 26th relief plane lands in Lebanon

Updated 30 November 2024
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Saudi Arabia’s 26th relief plane lands in Lebanon

  • Continuing mission follows the directives of King Salman and Crown Prince Mohammed bin Salman

RIYADH: Saudi Arabia’s humanitarian efforts for the Lebanese population displaced by the conflict continues with the 26th relief plane arriving at Beirut-Rafic Hariri International Airport on Saturday morning.

The aircraft, operated by King Salman Humanitarian Aid and Relief Center, was loaded with various relief aid, including food, medical and shelter supplies, state news agency SPA reported.

The continuing mission follows the directives of King Salman and Crown Prince Mohammed bin Salman to support the Lebanese people.


KSrelief conducts medical outreach in Yemen, Djibouti and Bangladesh

Updated 30 November 2024
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KSrelief conducts medical outreach in Yemen, Djibouti and Bangladesh

RIYADH: Saudi Arabia’s King Salman Humanitarian Aid and Relief Center (KSrelief) conducted various medical activities in Yemen, Djibouti and Bangladesh in cooperation with volunteer organizations and specialists.

In Yemen’s Socotra, 16 specialist volunteers successfully completed a project involving specialized and general pediatric surgeries. During the campaign from Nov. 16 to 23, KSrelief’s medical team conducted 404 examinations, performed 60 surgeries, and provided medicine for 208 patients.

In Djibouti, the aid agency launched on Wednesday a cardiac catheterization surgery project – with seven specialists in the team – and has successfully performed four procedures since.

In Bangladesh’s city of Rangpur, KSrelief implemented the Saudi Volunteer Project to combat blindness and its contributive diseases. The center’s volunteer medical team examined 5,082 cases, performed 456 specialized eye surgeries, and distributed 1,454 eyeglasses from Nov. 22 to 26.


How researchers in Saudi Arabia are turning desalination waste into valuable resources

Updated 30 November 2024
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How researchers in Saudi Arabia are turning desalination waste into valuable resources

  • Industry experts are working on technology to recover minerals from the highly saline waste liquid produced from desalination.
  • Brine, a byproduct from turning sea water into fresh water, can also be repurposed for energy production, KAUST professor says

RIYADH: Saudi Arabia has established itself as a global leader in the rapidly advancing water desalination market, doubling its production capacity, while developing new technology to repurpose the harmful byproduct of the process — brine.

While desalination is effective for achieving water sustainability, producing drinking water from sea water in arid regions, it leaves behind a highly concentrated saline fluid. If this brine is disposed of back into the sea without treatment, it poses a potential danger to  marine ecosystems.

Simply put, brine is highly concentrated seawater that contains contaminants, including chemicals used during the desalination process.

“The chemicals should be all neutralized,” said Noreddine Ghaffour, a research professor at the Water Desalination and Reuse Center at King Abdullah University of Science and Technology (KAUST).

He told Arab News that “there is no reason to dump chemicals into the sea, because they are all negatively affecting marine life, including chlorine and antiscalants.”

KAUST Professor Noreddine Ghaffour. (Supplied)

Water desalination scientists in Saudi Arabia have developed technologies to neutralize chemicals in brine before discharge and to disperse salt over a radius of up to 2 km when reintroduced into the sea.

Ghaffour, who was granted Saudi citizenship for his work and expertise on desalination, said that researchers and industry experts believe the future of the process is in recovering minerals, while treating the brine and achieving zero liquid discharge.

While around 70 percent of Earth is covered in water, only 2.5 percent of it is fresh, of which 1 percent is easily accessible, according to the National Geographic website.

Water desalination separates salt ions from sea water to make it safe for consumption. Salinity levels vary by body of water; for example, the Red Sea has 40 grams of salt per liter, while the Arabian Gulf’s salinity is 45 grams per liter.

The three main water desalination technologies employed in Saudi Arabia are: multi-stage flash distillation, a thermal process using evaporation and condensation; multiple-effect distillation, which uses electrical energy to break down water ions; and reverse osmosis, which separates water molecules through a semipermeable membrane.

All three technologies produce brine, but reverse osmosis plants generate lower quantities compared with the other two methods.

DID YOUKNOW?

• Some elements, like lithium, are 5,000 times more abundant in the ocean than on land. Lithium is crucial for Li-ion batteries. (Source: KAUST)

• In 2021, Saudi Arabia set a world record for the lowest energy consumption in mobile desalination, reducing it to 2.27 kWh/m³. (Source: Desalination Lab)

• By 2040, 33 countries, including 14 in the Middle East, are projected to face extreme water stress. (Source: Desalination Lab) 

Reverse osmosis, according to Ghaffour, uses a method called membrane separation, where osmotic pressure is overcome by a semipermeable membrane that filters out salt ions, allowing only water molecules to pass through.

Ghaffour explained that although the semipermeable membrane effectively filters out about 99 percent of salts, some still manage to pass through, producing brine.

After pretreatment, the feed water is introduced to the RO system, where dissolved solids are removed, and freshwater is produced. (Photo courtesy: Saudi Water Authority)

Moreover, osmotic pressure — the force applied to a solution to prevent a solvent from passing through a semipermeable membrane — requires a lot of electrical energy.

“Electricity is one of the most expensive energy forms… the main problem with (reverse osmosis) is that we do this under pressure,” the KAUST professor said.

He added: “The more salt, the higher the osmotic pressure. In order to pass only water molecules through the membrane, we need to apply a pressure which is higher than the osmotic pressure.

Illustration courtesy of the Saudi Water Authority

“And the osmotic pressure in Red Sea water, for instance, is 30 bar… so we need a pressure higher than 30 bar, which is a very high pressure.”

He also explained that “recovery” refers to “how much water we recover from the sea,” adding that “if the recovery is 50 percent, this means that salt contents are doubled.”

Ghaffour said selecting the correct location for a desalination plant is highly important. Authorities must choose sites with a reliable water intake that will not disrupt marine ecosystems or impact densely populated areas.

A view of an outfall system of desalination plant, which handles the safe discharge of treated wastewater back into the environment. (Photo courtesy: Saudi Water Authority)

According to the UN Environment Programme, unless waste water is properly treated and dispersed, it may form a dense plume of toxic brine, which can degrade coastal and marine ecosystems. 

Increased salinity and temperature can reduce dissolved oxygen levels and contribute to the formation of “dead zones” — areas where few marine species can survive.

Ghaffour said that while brine is bad for the environment, it has not caused significant global environmental harm. Over the past 30 to 40 years, Saudi Arabia and the Gulf region have experienced few negative side-effects from the desalination process, he said.

Processing brine to yield useful chemicals such as NaOH and HCl. (Infographic courtesy of MIT News)

Concern over waste water from desalination returning to the sea at a higher temperature is less of an issue with the reverse osmosis method, Ghaffour said. “We have the same temperature as sea water, maybe one degree more, which is affordable.”

Researchers are determined to achieve zero liquid discharge, which involves treating brine until only solids remain. However, this process also concentrates all the salts in the same place.

To remove salt ions from brine, a complex and costly process called mineral recovery is used.

Brine from water desalination as a raw material. (Courtesy of global-recyling.info)

The challenge in mineral recovery lies in the fact that high-value minerals, such as lithium, rubidium, and uranium, are present in brine at very low concentrations. 

To make the process efficient and economically viable, further technological advancements are needed. 

Currently, “there are no technologies to handle this huge volume,” Ghaffour said. “We are talking about huge volumes of water, like 1 million tons of water (recovered) every day, it’s higher than a river.”

Several technologies have been developed for mineral recovery on a smaller scale. One method involves chemical treatments that precipitate different salts in stages, starting with calcium carbonate and ending with lithium.

Another mineral recovery method involves the use of ion exchange membranes or absorbents designed to capture specific minerals, such as lithium.

The post-treatment stage process is mainly for stabilization, corrosion control, disinfection, and air stripping for CO2 & H2S removal. (Photo courtesy: Saudi Water Authority)

One of the largest areas of current research is the magnesium hydroxide family, particularly for its applications in the cement and concrete industry. 

Saudi Arabia is already using nanofiltration technology to produce magnesium from magnesium-rich waters, with the next step being the extraction of magnesium hydroxide for cement production.

Expensive and critical minerals like rubidium — which costs around $3,000 per kilo — as well as uranium and lithium, are of great interest, but are costly to extract due to their low concentrations, requiring significantly more energy in the process. 

From a commercial perspective, businesses prefer to purchase lithium from produced water — a byproduct of oil and gas production — rather than from brine. 

Brine can also be repurposed to enhance the efficiency of the desalination process. Due to its high osmotic potential, brine can be used for energy production.

Ghaffour said that several companies are utilizing reverse electrodialysis to generate energy, which is then used to power the reverse osmosis process. 

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In addition, to achieve a circular carbon economy, reverse electrodialysis can be combined with brine dilution for mineral recovery, allowing part of the brine to be reused in an efficient closed-loop system.

“This is what I call a seawater factory,” Ghaffour said. “We take seawater and we produce everything from seawater without polluting back. 

“Many experts are saying that in the future, desalinated water, which is what we need most, will itself be a byproduct, because we will have so many more valuable products from the sea. Then this desalinated water will be just one of the byproducts.”

Operational tanks are used to store freshwater for distribution through transmission lines. (Photo courtesy: Saudi Water Authority)

However, he believes that turning this vision into reality will take time.

“We have to distinguish between two things. One is science and the second one is technology scale-up.”

In September 2024, Lihytech, a KAUST startup, announced a partnership with Aramco to strategically collaborate on recovering lithium from oilfield brines using direct lithium extraction technology and a membrane developed at KAUST. 

Ghaffour is also collaborating with a Singaporean company, MediSun Energy, to integrate desalination with energy and mineral production, aiming to optimize these processes as a whole. A pilot facility has already been installed in China, with plans for another installation in Saudi Arabia. 

“The whole world is working on this (mineral recovery and optimizing desalination). We will see a lot of developments in this, in my opinion,” he said.