Middle East Green Tech Investment by Region (2023 and 2024)

In 2024, Gulf investments in China surged to US $2.2 billion, a strong rise from US $739 million in 2023, reflecting a growing partnership between the two regions. This shift isn’t just about returns; it’s about leveraging China’s leadership in green energy, technology, and advanced manufacturing to align with the Gulf’s economic diversification goals. As Western firms reduce their exposure to China, Gulf nations are filling the gap, balancing opportunity with geopolitical considerations.

This collaboration extends beyond investment. The Belt and Road Initiative (BRI) and increasing bilateral trade agreements are strengthening ties, offering the Middle East a hedge against Western market volatility. Chinese companies, once seen as component suppliers, are now becoming co-developers and investors in the Gulf’s renewable energy and infrastructure projects.

The ACWA Power-Silk Road Fund partnership, which saw the Chinese fund acquire a 49% stake in the Saudi energy giant, exemplifies this shift. Chinese firms like State Power Investment Corporation Limited (SPIC) are also actively bidding on large-scale Gulf solar projects. Additionally, investments in electric vehicles, biotech, agritech, and fintech signal a deeper economic integration between the two regions, positioning GCC countries as key players in a multipolar global order.