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China and UAE Discuss Strategic Alignment as Gulf Sovereign Capital Surges

Chinese and UAE officials met in Beijing on October 22, 2026, to align national development strategies and expand bilateral trade following $110 billion in non-oil trade in 2025. Meanwhile, Gulf sovereign wealth funds deployed $14.2 billion into China and Hong Kong during the first nine months of 2026, led by Saudi Arabia and UAE funds.

Illustration: A modern financial office tower and modern skyline in a major Chinese metropolis viewed across water during sunset, with architectural g
Illustration

High-level Chinese and Emirati officials convened in Beijing on October 22, 2026, to align China's 15th Five-Year Plan with the 'We the UAE 2031' national growth strategy. The UAE leadership delegation, led by Acting Director of the Abu Dhabi Executive Office Faisal Alkaabi, met with Liu Haixing, Minister of the International Department of the CPC Central Committee. Talks centered on expanding bilateral trade and cross-border investments, following a bilateral non-oil trade volume of $110 billion recorded in 2025. Priority sectors identified included smart manufacturing, advanced technology, logistics corridors, renewable energy, and artificial intelligence.

The strategic alignment coincides with a major increase in Gulf sovereign investment into mainland China and Hong Kong. Data from Singapore consultancy Global SWF provided to CNBC shows Gulf sovereign wealth funds contributed to $14.2 billion deployed during the first nine months of 2026, marking an increase of almost 190% compared to the $4.9 billion recorded across all of 2025.

Middle Eastern institutions accounted for nearly 70% of total sovereign capital injected into China and Hong Kong during this period. Saudi Arabia's Public Investment Fund led with $6 billion, followed by the Abu Dhabi Investment Authority (ADIA) with $2.5 billion, Abu Dhabi's Mubadala Investment Company with $800 million, and the Qatar Investment Authority (QIA) with $600 million. Investments concentrated heavily on technology, robotics, artificial intelligence, biotechnology, advanced manufacturing, and domestic consumer sectors.

In related bilateral activity, Sheikh Saud bin Saqr Al Qasimi, Ruler of Ras Al Khaimah, completed a six-day visit to Guangdong and Fujian provinces. The visit resulted in cooperation pacts with Chinese companies, including agreements on humanoid robotics with UBTECH Robotics and smart transportation with the Shenzhen Urban Transport Planning Center.

Sources

  • UECN · 2026-10-23

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