Egypt welcomes Xi as Beijing expands its influence in the Middle East

Chinese flags and images of the Sphinx and the Great Wall have appeared across Cairo for Xi Jinping’s first visit to Egypt in a decade. President Abdel Fattah al-Sisi welcomed Xi at a military ceremony at the Ittihadiya presidential palace on Wednesday.

The visit comes after months of upheaval in the Middle East, including the U.S. war against Iran. The conflict has shaken regional economies and prompted some U.S. partners to reconsider longstanding security relationships.

Egypt remains a major U.S. defense partner and receives about $1.3 billion a year in military aid from Washington. At the same time, Cairo has steadily expanded economic and military cooperation with Beijing since 2014, when Sisi visited China and signed a strategic partnership agreement.

Former Egyptian diplomat Ayman Zaineldine said the two countries’ aims were converging. Egypt wants to broaden its relationships with major world powers, including China, while Beijing seeks to extend its influence beyond Asia.

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Egypt wants to widen the circle of its relations with major world powers, including China. So the visions converge.

The military relationship was on display last month during Egypt’s “Eagles of Civilization” exercises with China. The drills included a rare air-combat exercise involving Chinese-made J-16 jets and French-made Rafale aircraft.

Egypt’s position gives Beijing access to the Suez Canal, a large domestic market and diplomatic weight in the region, including on the Palestine question. Chinese imports exceeded $10 billion in Egypt during the first half of the year, up more than 14% from the same period a year earlier, according to Egyptian government data.

Chinese companies have invested billions of dollars in Egypt, supporting container ports, green hydrogen projects, iron-pipe and tire manufacturing, and satellite production. China State Construction Engineering Corporation is also helping develop the business district of Sisi’s new administrative capital east of Cairo.

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Egypt represents something quite valuable to Beijing: a large domestic market for investment opportunities, and a lot of diplomatic weight in the region, including the Palestine question, as well as connectivity to Africa.