Report: Israel, Middle East a Prime Target for China Investments

China has been investing money in projects all over the world, but a study by Foreign Policy magazine shows that the Middle East is a major target of that investment – and Israel is the major target of Beijing’s Middle East investments. Since 2006 China has invested $12.19 billion in projects in Israel, part of an overall investment of well over $100 billion in the past decade-plus.

In Israel, China has invested in numerous projects, perhaps most famously in the Tel Aviv subway system. Among projects Chinese companies hope to be a part of in the future is the refurbishing of Haifa Port. The investments are part of China’s Belt and Road program, which has seen it investing in 152 countries around the world. According to Foreign Policy, some 63% of the world’s population has been directly impacted by these investments.

Over the past five years, China had invested $123.1 billion in projects in the Middle East, 75% of it in the past three years. Besides Israel, China has been investing in Kuwait ($10.43 billion over the past decade) and Qatar ($7.27 billion). Much of the Middle East investment is now being funneled to Egypt, where Chinese companies are working on two major projects – improvement to the Suez Canal and the construction of new government quarters, as requested by Egyptian President el-Sisi.

According to Foreign Policy, China’s interest in the Middle East is the same as everyone else’s – energy. Dependent as it is on imported oil, Beijing has been developing relationships with a host of countries that export oil and gas, and Israel is in that latter category now. The report said that China is hoping to develop long-term deals with energy exporters that will enable it to buy energy at a discount.