China's exports to the UAE are expected to cross $20 billion in 2007, up from $11.4 billion last year, Gao Yusheng, China's ambassador to the UAE said yesterday.
"During the first seven months of 2007, Chinese exports to the UAE were valued at $9.2 billion," Gao told Gulf News in an interview. China is the single largest exporter to the UAE, he said.
Gao said nearly 70 per cent of Chinese exports to the UAE is in transit trade as Chinese businessmen use Dubai's free ports for the strategic and tax advantages they provide in re-exportation of goods.
"The emirate is a free port... from here Chinese goods are re-exported to Saudi Arabia, Iran and other Middle East countries, as well as to countries in Africa, which are so much closer from here," said Gao, adding that around 150,000 Chinese nationals lived and worked in the UAE.
Chinese exports to the UAE comprise mainly of electronic goods, food items and heavy and light machinery, said Gao. China imports primarily crude oil and petrochemicals from the UAE, he added.
Gao said UAE is a major financial hub and the centre for trade and tourism in the Middle East and the Gulf region and because of its robust economic policy and all-round stability, it's attracting Chinese businessmen.
"Stability is the main point. There are no political or social problems and it is easier to do business from here. Among GCC countries, UAE is the most successful in all-round development because of its efficient economic policies," said Gao.
Looking ahead, Gao said the UAE exports to China may increase marginally in 2007.
"Last year, trade between UAE and China was valued around $14.4 billion," he said.