UAE-China non-oil trade rockets 86.11%

Non-oil trade between the UAE and China jumped 86.11 per cent to $13.4 billion in 2009 from $7.2 billion in 2005, a senior Abu Dhabi government official said in China yesterday.

"Trade exchange in non-oil products between Abu Dhabi and China grew from $266 million to $956 million during the same period," Nasser Al Suwaidi, Chairman of the Abu Dhabi Department of Economic Development (DED), told delegates at the Abu Dhabi Investment Forum in China, a statement from the DED said.

The forum in Tianjin was attended by more than 600 senior Chinese government officials and businessmen.

"The UAE is the second-largest trade partner to China in the Gulf Coperation Council, and the largest market for Chinese exports in the Arab world," said Al Suwaidi.

Giyas Gokkent, an Abu Dhabi-based economist, told Gulf News that given the growth dynamics, the prospects of UAE-China trade are bright.

Energy-hungry nation

 "The Chinese economy is energy-hungry and the UAE is a major oil exporter from the region. Given the weight of the Chinese economy on the global oil market, it has an impact on oil prices. The UAE is also a regional trade hub," Gokkent added.

Al Suwaidi said at the forum that Abu Dhabi's economy is expected to grow 4.5 per cent this year.

He said the UAE has in recent years has taken interest in boosting investment ties with China in sectors such as finance, real estate and construction, which has resulted in the UAE's investment in China growing to $220 million.

"Besides, the UAE tops Arab countries in attracting Chinese investments with forecasts showing that there are 3,000 companies operating in the UAE in sectors such as real estate, construction, trade, services, and tourism," said Al Suwaidi.

"Abu Dhabi's government is committed to attaining a diversified economy conceptualised by its 2030 Economic Vision that calls for optimising non-oil sectors, especially the industry, to back up the economy whilst attracting more foreign investments in aluminium, iron, steel, glass, minerals, plastics, petrochemicals, and some heavy industries that have been decided as motivating the industrial sectors," he said.

He added: "Those industries help provide an excellent opportunity for positive cooperation between Abu Dhabi and China, given that Abu Dhabi currently has Emal while China has imported 1.4 million metric tonnes of aluminium annually since 2009."