Chinese investment in Iraq provides gains for Baghdad, Beijing

Iraqi Prime Minister Adel Abdul Mahdi’s visit to China from Sept. 19-23 indicates a consolidation of an increasingly mutually beneficial relationship between the governments in Baghdad and Beijing, which the premier described as a “quantum leap.”

While Iraq seeks to benefit from China’s economic fortitude and crucial reconstruction financing for infrastructure, such investments enable Beijing to increase its influence in the Middle East and beyond while securing access to Iraq’s oil fields.

China and Iraq’s ties have solidified in recent years, particularly amid China’s increasing investments. China’s bilateral trade with Iraq had surpassed $30 billion by 2018, with an increase of around 10% each year, said Zhang Tao, the Chinese ambassador to Iraq.

"China is considered the biggest trading partner of Iraq, and Iraq is the second biggest oil supplier to China, and the fourth biggest trading partner of China in the Middle East," he added.