Xi Jinping Pledges To "Strengthen Relationship" Between Saudi Arabia And China

Tyler Durden's picture

In what can only be described as a masterful play to entice Saudi Arabia to list shares of Aramco in Hong Kong (assuming the kingdom follows through with the listing, which is reportedly in jeopardy) Chinese state media reported Friday that Chinese President Xi Jinping pledged to strengthen the relationship between China and Saudi Arabia as the latter tries to reform its economy.

According to the South China Morning Post, Xi vowed to strengthen cooperation between the two states at a time when the Middle Eastern kingdom is facing a political shake-up at home, and heightened tensions with Lebanon and Iran. Xi’s vow of friendship came with the crucial qualifier that the relationship between the two countries wouldn’t be affected by shifting international circumstances.

No matter how the international and regional situation changed, China’s determination to deepen strategic cooperation with Saudi Arabia would not change, President Xi Jinping told Saudi King Salman in a telephone conversation, according to a report by China’s state broadcaster CCTV.

 

“China supports Saudi in its efforts to safeguard its sovereignty and achieve greater development,” Xi was quoted as saying.

Of course, that’s an implicit threat that China might come to KSA’s aide if the simmering hostilities between the kingdom and Iran explode out into a military conflict between the two regional rivals. However, the SCMP also stresses that China has a strong relationship with Iran as well.

Hong Kong is reportedly still in consideration to host the Aramco IPO.

And while China will presumably play the dual role of investor and adviser as the Kingdom seeks to diversify its economy into other industries besides energy, including technology and manufacturing, KSA has in returned promised to assist Xi’s “one belt, one road” economic reform program.

King Salman told Xi that Saudi Arabia was willing to become China’s “important partner” in the Gulf. The kingdom also intended to play a role in China’s “Belt and Road Initiative” and cooperate with Beijing in the energy and financial sectors, he said

Though Chinese media reports didn’t delve into too much detail about the recent purge orchestrated by Crown Prince Mohammed bin Salman, the call between the two leaders obviously follows an event two weeks for KSA, where its leaders reportedly pressured Lebanese Prime Minister Saad Hariri to resign. Hariri had to go, allegedly, because he was deemed too soft on Hezbollah, the shiite militant group that’s affiliated with Iran and is also an important powerbroker in Lebanon.

Two weeks ago, dozens of Saudi princes and officials were detained on corruption charges, a move that is believed to have helped Crown Prince Mohammed bin Salman to consolidate his power. And yesterday the Financial Times exposed the “corruption crackdown” for what is truly is: A naked cash grab meant to refill KSA’s foreign currency reserves while allowing it the financial flexibility to help ensure the Aramco IPO is executed at the best possible price.

Lebanese President Michel Aoun this week accused Saudi authorities of “detaining” Hariri, but Riyadh said he was free to leave the kingdom “when he pleases”. Hariri was reportedly supposed to arrive in France on Friday.

Saudi Arabia was also seen as a protagonist in leading 11 other nations to sever diplomatic ties with Qatar earlier this year, a move meant to punish KSA’s tiny neighbor for having too close a relationship with Iran.

Despite Xi’s promise, China also maintains warm relations with Iran, meaning the likelihood that China would become involved in a military struggle against either Iran or Saudi is probably low.

According to the SCMP, China has bolstered its presence in the region by forging closer ties with both countries. Of course, Saudi has plenty to gain from closer relations with China, including expanding its foothold in the world’s largest import market for crude.

During King Salman’s first official trip to China in March, the two countries signed deals, including some in the oil sector, worth a combined US$65 billion, the SCMP noted.

However, if the feud between Saudi Arabia and Iran intensifies - and that looks likely - the threat of a geopolitical conflict will become impossible to ignore.

What then?

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Theta_Burn's picture

At least we got another 250 billion in arms sales first..

bobcatz's picture

“China supports Saudi in its efforts to safeguard its sovereignty..."

China knows Israhell is wagging the US to destroy Saudi Arabia. http://wp.me/p4OZ4v-2g9

sincerely_yours's picture

In other words, the Saudi-Israel cooperation to wage war on Lebanon is just propaganda.

S.A. would never join forces with that Apartheid country and risk the isolation of its fellow Muslim countries.

besnook's picture

the sauds have to turn to china because china is its biggest customer now. china wants a peaceful mideast so the oil flows without interruption and the one belt road remains secure. i think the sauds are trying to bait israel into a conflict with lebanon so hezbollah can put israel in a box with the top taped shut forever. israel really has nothing to offer anyone in the region except trouble.

bobcatz's picture

No one has to bait israhell to wage war. It's been at perpetual war since its creation, trying desperately (and soon vainly) to safeguard the faulty foundation (Fake Hebrewness of its people) on which it was built.

silverer's picture

"Strengthen Relationship"

Translation: Help you get the US out of there.

philipat's picture

To be confirmed when Saudi agrees to accept CNY for oil shipments to China, the world's largest oil market in which China has already lost 5 percentage market share points and will lose more unless it agrees soon. This has been a quiet "pincer" movement by the Chinese to give Saudi little choice but with a smile and a handshake and in a way in which, as is usual with Chinese diplomacy, eveyone wins. Except, of course, Washington yet there is nothing specific that Washington can point to as "Unfriendly" or "Aggressive" on China's part. Again, typical of Chinese diplomacy. The US continues to underestimate the Chinese and does so at its own peril.

Escrava Isaura's picture

philipat: US continues to underestimate the Chinese and does so at its own peril.

There isn’t much that the US can do. And, what the US could do, it’s already in place.

Can the US block oil sales to China like it did to Japan in 1940 leading to Pearl Harbor?

Can the US block China to other markets, again, like it did to Japan in the 40’s and many other nations now?

US can’t without triggering WW3.

Second, China can acquire all the necessary dollars to buy oil. And, the price of oil is cheap in dollars.

Third, Saudi Arabia is a dog that barks but can’t bite. If Saudis go to war with Iran, Iran will destroy their oil fields.

Saudis can’t stop its gravy train.

It’s the only one they have.

 

webmatex's picture

So China and their friends SA and China and their friend Iran become partners in a belt/road with their friends from Russia, Quatar, Turkey, Iraq, Pakistan, India etc. in a very friendly and fast changing dollar free zone.

Did i leave somebody out - someone who needs a friend? sad

Citizen G's picture

Ok, I’m confused, somebody lay it out for me. Who is going to be fighting who in this new Saudi Iran war? Or is every body just going to play smear the queer and the USSA has the ball?

Brazen Heist's picture

The Saudis can't make their own tea, let alone fight and win a war against Iran.

The Saudis and the USSA are both bogged down with their own bullshit to be able to win any fights.

They'll huff and they'll puff aplenty, though.

Atomizer's picture

Which one will be dangling from power line.

Ozzy Man Reviews: Goat on a Power Line

https://m.youtube.com/watch?v=m3OA7sx2aCQ

Enjoy, just got nabbed at JewTube in Australia. Reboot  

Brazen Heist's picture

China is not stupid enough to jump in and overtly take sides in any Sunni-Shia conflict.

philipat's picture

No, it will play both sides against the middle and will ilkely succeed as an honest broker. Something for which the US has lost all credibility?

Brazen Heist's picture

Russia is doing a good job of broker/mediator as it is. China has yet to step up to the plate.

America tried. And failed.

JibjeResearch's picture

China only wants the oil ...

If a civil war takes place, China will supply the weapons..

That's about it...

I woke up's picture

It's really disappointing to see the US, Russia and China courting Saudi Arabia

Brazen Heist's picture

Economic interests. It's the Saudis who are seeking China and Russia. Saudis are in a dire financial situation.

Karmageddon's picture

The house of Saud is nothing more than a diseased whore just a waiting to spread her legs for the highest bidder....

WTFUD's picture

I woke this morning
Love laid me down by the river
Drifting i turned on upstream bound for my forgiver
In the giving of my eyes to see your face
Sound did silence me
leaving no trace
I beg to leave to hear your wonderous stories
Beg to hear your wonderous stories
La La lala la la. . . . YES

If those Wahhabi Head-choppers would've smoked the Peace-Pipe like the Persians, they'd kept the Infidel at Bay.

Endgame Napoleon's picture

It is a photo op for two of America’s biggest purchasers, two of the countries that our bought-and-paid-for politicians sold us to.

nmewn's picture

lol...authoritarian birds of a feather and what not.

WTFUD's picture

Blazing Saddles - Mr nmewn - sponsoring every dirty piece of shit around the globe to fuck over your neighbours, then running out of cash is reckless, lol.

WTFUD's picture

Simple Rule Of Thumb - Saudi would not exist without Vichy DC, Israel & the UK, propping them up ( at a helluva price, mind you; talk about selling your soul to the devil ). China & Russia are doing their damnedest to make these Inbred's see the Light but old habits die hard, Waheebie Jeebies. Can't teach an old dog new tricks, China.

MuffDiver69's picture

In the end no one can protect the inbreeds but us at this point. That’s all that matters more then money..In ten or twenty years if China has a military that could do it they might, but they are still developing..The sooner we split the better..The situation is not solvable and Saudi Arabia loves the western hedonistic lifestyle too much to cause major waves..It’s smart to keep their relations with China good though..Its all about selling oil anyways..

Krungle's picture

What the crap is this? If China gets in bed with KSA, they're going to obviously direct them away from this Iran nonsense. Iran is already slated to be an integral part of the belt initiative, and China has consistently been against pre-emptive war and overseas adventurism. They just want to do business, and they want their partners to do business. The "pivot" to the Shia crescent is clearly a Zionist/Neocon project, and I'm sure that Xi has explained to MBS that he's being used as a disposable pawn for Israel. And removing itself from the clutches of the petrodollar will free KSA to be part of the new empire and thus not need to be do the bidding of Tel Aviv and DC. So this is not some move that puts in the Chinese in the position of choosing betwen allies and trade partners. Rather, if KSA signs up to join with China, that puts an end to KSA getting itself involved in idiotic wars. This is no different than King Salman going to Moscow to make nice with Putin--who will likewise not abandon Iran to be friends with the Saudis. I'm going to guess that however chummy MBS is with Kushner, getting his marching orders from him will get old fast. And he's more likely to get warning from Moscow when the inevitable blowback from his coup occurs than he is from Tel Aviv (who will just turn the next guy in power). 

hola dos cola's picture

Xi is just curious about Las Vegas.

If you have thousands starving and dying because of your incompetence and still go to Las Vegas to walk the tables in your hood underwear, it must be pretty awesome.

Laowei Gweilo's picture

the whole Vegas-Saudi Prince-assassination-gone-wrong theory is pretty whack

the CIA is gonna supply guns to terrorists when they know Princy is on the floor above? in Vegas?! when their Prince puppet is visiting?! and the Saudi opposition can't bring in their own? of all the ways to kill Princes, they're gonna massacre him in a shootout in Vegas -- opposed to all the 'accidents' that the Prince himself is now creating? and a massacre of concert goers is really somehow a good way to 'cover' the failure of that plan?

of all the possible conspiracies, all of which are based on really good questions, it makes far faaaar less sense than just a good ole false flag

Bloody Fkn Muppet's picture

"However, if the feud between Saudi Arabia and Iran intensifies - and that looks likely - the threat of a geopolitical conflict will become impossible to ignore.

What then?"

 

More proxy wars, obviously. Duh.

Kyddyl's picture

Saudi isn't going to fight Iran. They will probably attack gas and oil rich fields of easier nearby countries as the huge Ghawar oil field is probably about played out. Witness the noises about Aramco going public. The latest spree of Saudi detentions and murders has raised some 800 billion in US dollars for Saudi Arabia. The US is hopelessly cash strapped and debt ridden and very vulnerable to losing world dollar reserve status. The US imports some 17% of its oil from Saudi as it helps to refine the sour north and south American crude. The US sold out Iraq's oil to China long ago so Saudi is ever more essential and the US will back Saudi in their takeovers. Until they can't anyway. 

Look at some history. Doesn't anyone remember 'Regans "trickle down" bit of genius? Or what happened during and after the big Oil Embargo? (I believe that was a bit of bank manipulation then as now by Saudi's with large interests in American banking which included the Kashoggi's who were part of the devastation of the Carter administration via a banking cartel. Utah got royally taken by Kashoggi when Khashoggi headed a company called Triad Holding Company, which among other things built the Triad Center in Salt Lake City, which later went bankrupt and took down quite a few Utah businessmen with it. He was famed as an arms dealer, brokering deals between US firms and the Saudi government, most actively in the 1960s and 1970s. In the documentary series The Mayfair Set, Saudi author Said Aburish states that one of Khashoggi's first weapons deals was providing David Stirling (famous for covert destruction of unionism) with weapons for a covert mission in Yemen during the Aden Emergency in 1963. Among his overseas clients were defense contractors Lockheed Corporation (now Lockheed Martin Corporation), Raytheon, Grumman Aircraft Engineering Corporation and Northrop Corporation which merged to become Northrup Grumman But then Republics seem to have a penchant for Saudi's and clearly do their bidding. funny how eerily history seems to rhyme.

Khashoggi was implicated in the Iran–Contra affair as a key middleman in the arms-for-hostages exchange along with Iranian arms dealer Manucher Ghorbanifar and, in a complex series of events, was found to have borrowed money for these arms purchases from the Bank of Credit and Commerce International (BCCI) with Saudi and United States backing. His role in the affair created a related controversy when Khashoggi donated millions to the American University in Washington, DC to build a sports arena which would bear his name. Khashoggi was a member of the university's board of trustees from 1983 until his indictment on fraud and other charges in May 1989. So why pick on old history? Because as Mark Twain said "the only thing new is the history you haven't read". The names change but the actions don't, they just seem to get worse and worse.

And in case you're still scratching your head there's this: On 4 November, 2017, many times billionaire Al-Waleed was arrested in Saudi Arabia in a "corruption crackdown" conducted by a new royal anti-corruption committee. This was done on authority of Crown Prince Mohammad Bin Salman, his cousin (both are grandsons of Ibn Saud, first monarch and founder of Saudi Arabia). Just days before his arrest, Al-Waleed reportedly contacted US-based Saudi journalist Jamal Khashoggi and invited him to return to the Kingdom and contribute to Mohammad Bin Salman's vision. (Jamal fled Saudi Arabia on 18 September 2017.)Since then many Saudi billionaires have been "detained", Al-Waleed included. Since then most of these billionaires and their families have been released after paying some 800 billion in ransom. Just how that will play out is yet to be seen.

The are whispers about Saudi and nuclear Zionist Israel forming and unlikely alliance. But then again, look who has huge financial interests in US banking and "defense", the very same two, clear back to at very least the 1960's. 

 

 

Kyddyl's picture

After Khashoggi ran into financial problems, he sold his yacht in 1988 to the Sultan of Brunei, who in turn sold it to Donald Trump for USD 29 million. Trump renamed the yacht the Trump Princess. When Trump ran into financial problems, he sold it to Prince Al-Waleed bin Talal in 1991. The yacht's current name stems from the Prince's investment company, Kingdom Holding Company, his lucky number (5), and his children's initials ('K' and 'R').

https://www.superyachtfan.com/superyacht_kingdom_5_kr.html

Son of Captain Nemo's picture

To the Saudis "they really like your Gold"... And so do the Russians -but you won't put your money in their banks in greater proportions because they are cleaning your breakfast, lunch and dinner in the energy excavation "department"!

In short, like your Anglo-Zionist patron(s)...

YOU ARE "YESTERDAY'S NEWS"!... AND YOU KNOW "IT"!!!...