Strategic Cooperation Agreement Signed Between Abu Dhabi and Shanghai
In a significant move to bolster economic ties, a strategic cooperation agreement was recently signed between the Abu Dhabi Government and the Shanghai Municipal People’s Government. This landmark agreement was a highlight of a successful visit by an Abu Dhabi economic delegation, led by the Abu Dhabi Department of Economic Development (ADDED), to China. The signing of this agreement marks a pivotal step in enhancing collaboration between government entities and private sector companies, reinforcing Abu Dhabi’s commitment to forging strong partnerships with leading global economies.
Showcasing the Falcon Economy
The visit to China was not just about formal agreements; it was also an opportunity to showcase the attributes of what is known as the ‘Falcon Economy.’ This term encapsulates Abu Dhabi’s dynamic economic landscape, characterized by ample growth opportunities and a commitment to transformative strategies. The delegation highlighted how Abu Dhabi is adapting to new trends and changes in the global economy, positioning itself as a hub for innovation and investment.
Ahmed Jasim Al Zaabi, Chairman of ADDED, expressed satisfaction with the outcomes of the visit, stating, “We are pleased with the outcomes of our visit to China, building on strong foundations to further enhance our partnership by exploring new opportunities in clusters with high-growth potential and emerging industries.” His remarks underscore the shared commitment between the UAE and China to strengthen strategic cooperation, driven by mutual trust and a collaborative spirit.
Key Areas of Partnership
The strategic cooperation agreement encompasses a wide array of sectors, including business, trade, finance, science, technology, education, culture, health, tourism, and ports. This comprehensive approach aims to foster collaboration across various fields, ensuring that both Abu Dhabi and Shanghai can leverage their strengths for mutual benefit.
The Foreign Affairs Office of the Shanghai Municipal People’s Government and ADDED will spearhead initiatives to achieve the objectives outlined in the agreement. This partnership is aligned with the broader vision set forth by the leaderships of both the People’s Republic of China and the UAE, emphasizing the importance of economic cooperation as a cornerstone of bilateral relations.
Engaging with Chinese Powerhouses
During the six-day visit, the Abu Dhabi economic delegation engaged in fruitful discussions with top government officials, influential businesses, and investors across China. The delegation explored new opportunities with prominent Chinese companies such as ByteDance, Xiaomi, Legend Holding, Xiaodong, BYD, CICC, and CATL. These engagements reflect Abu Dhabi’s proactive approach to identifying and capitalizing on high-growth sectors and emerging industries.
Remarkable Growth in Bilateral Trade
The economic relationship between the UAE and China has witnessed remarkable growth over the years. Bilateral trade has surged from a mere $2 billion in 2000 to nearly $100 billion in 2023. In the first nine months of 2024 alone, trade between the two nations reached $74.5 billion, with projections indicating that it could rise to $200 billion by 2030. This impressive trajectory is further evidenced by a 16 percent increase in Chinese investments in the UAE and a staggering 120 percent rise in UAE investments in China.
The number of Chinese companies registered with the Abu Dhabi Chamber of Commerce and Industry has also seen significant growth, increasing by 38 percent in 2023 and 69.4 percent in 2024. This surge highlights Abu Dhabi’s attractiveness as a destination for Chinese businesses and investors seeking new opportunities.
Abu Dhabi Investment Forum
The Abu Dhabi Investment Forum (ADIF), organized by the Abu Dhabi Investment Office (ADIO) and Abu Dhabi Global Market (ADGM) in Beijing and Shanghai, served as a platform to attract Chinese investors and businesses. The forum showcased the emirate’s business-friendly ecosystem, encouraging participants to explore opportunities for growth and expansion on a global scale.
During this visit, ADIO and ADGM signed agreements with several leading Chinese entities, including Fosun International Limited, Hejun Group, Wind Information, and Yicai. These agreements aim to introduce Abu Dhabi’s investment opportunities to prominent Chinese businesses, enhance investment intelligence, and support the international expansion of Chinese companies, thereby deepening economic ties between Abu Dhabi and China.
Strengthening Bilateral Trade Relations
In addition to the agreements signed by ADIO and ADGM, the Abu Dhabi Chamber of Commerce and Industry (ADCCI) also established a strategic cooperation agreement with the Shanghai Federation of Industry and Commerce. This partnership aims to promote bilateral trade and mutual investment collaboration, streamlining efforts to support Chinese companies looking to expand into Abu Dhabi.
The Abu Dhabi-Shanghai Business Forum, organized by ADCCI, provided an ideal platform for businesses from both regions to build relationships and form agreements through B2B meetings. This initiative not only fosters collaboration but also enhances the potential for future investments and partnerships, paving the way for a robust economic relationship between Abu Dhabi and Shanghai.
Through these strategic efforts, Abu Dhabi is not only reinforcing its position as a key player in the global economy but is also setting the stage for a prosperous future built on strong international partnerships.
