China-Gulf Initiative: Evolving Chinese Demand for Gulf Energy and Geopolitical Implications

On September 15, as part of the China-Gulf Initiative, AGSIW hosted a discussion examining energy relations between China and the Gulf states.

Speakers:

Ben Cahill, Senior Fellow, Energy Security and Climate Change Program, Center for Strategic and International Studies
Kate Dourian, Non-Resident Fellow, AGSIW; Contributing Editor, MEES; Fellow, Energy Institute
Ed Morse, Global Head of Commodities Research, Citigroup
Robert Mogielnicki, Senior Resident Scholar, AGSIW (Moderator)

China is a key energy partner for the oil- and gas-producing countries of the Gulf region. China is seeking to secure long-term contracts for Qatari natural gas. Oman sends most of its crude oil exports to Chinese buyers. And Saudi Aramco has invested in major refinery projects across China. Yet China’s relative significance as a destination for Gulf energy exports varies from country to country. The United Arab Emirates, for example, possesses a diverse group of (mostly) Asian buyers for its energy exports.

How has the Russian invasion of Ukraine and its effect on Russian energy exports impacted Chinese demand for Gulf energy? In what ways are Gulf countries – especially those like Iraq with weak state capacity – willing to expand their energy relations with China, and what are the limits to these energy-based ties? How are energy strategies developed in Beijing as well as global efforts to address climate change likely to impact Chinese demand for Gulf energy?

AGSIW hosted a discussion, as part of the China-Gulf Initiative, around these questions and more.