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Intel: US warns Middle Eastern partners against Chinese investment

The State Department’s top official overseeing US policy in the Middle East warned countries in the region against accepting Chinese investment, contracts and coronavirus aid during a virtual interview with the Middle East Institute today.

Chinese construction labourers work at the site of the future Iconic Tower skyscraper, at its foundations in the business district, being built by China State Construction Engineering Corp (CSCEC) in the New Administrative Capital (NAC) east of Cairo, Egypt May 2, 2019. Picture taken May 2, 2019. REUTERS/Amr Abdallah Dalsh - RC1DBF7311C0
Chinese construction workers stand at the site of the future Iconic Tower skyscraper in Egypt's planned new administrative capital east of Cairo, May 2, 2019. The building is being constructed by China State Construction Engineering Corp. — REUTERS/Amr Abdallah Dalsh

The State Department’s top official overseeing US policy in the Middle East warned countries in the region against accepting Chinese investment, contracts and coronavirus aid during a virtual interview with the Middle East Institute today.

Assistant Secretary of State for Near Eastern Affairs David Schenker said the United States has told its partners in the region to take “a careful look at investment, major contracts and infrastructure projects,” warning that they could “come at the expense of the region’s prosperity, stability, fiscal viability and longstanding relationship with the United States.”

“We’re not forcing countries to choose between the United States and the PRC,” said Schenker, referring to the People's Republic of China. “Countries can and should maintain healthy relationships with both, but we want to highlight the costs" that come with certain engagements with China.

Why it matters: American-Chinese relations have deteriorated considerably amid the coronavirus pandemic as both sides take swipes at each other over their COVID-19 response. Amid the escalating feud, the United States has become increasingly assertive in trying to push its Middle Eastern partners away from China’s orbit.  

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