Etihad inks deal to support $1bn China-UAE industrial park project

Strategic partnership agreed by Etihad Aviation Group and the Jiangsu Provincial Overseas Cooperation and Investment Company Limited during Chinese President's visit
Tony Douglas, Etihad Aviation Group CEO.
By Sam Bridge
Fri 20 Jul 2018 01:54 PM

A strategic partnership has been established by Etihad Aviation Group and the Jiangsu Provincial Overseas Cooperation and Investment Company Limited (JOCIC) during Chinese President Xi Jinping’s three-day state visit to the UAE.

The parties plan to cooperate on a wide range of areas to support the development of the China-UAE Industrial Capacity Cooperation Demonstration Park in Khalifa Port, Abu Dhabi.

Under the agreement, Etihad will provide the companies investing in the China-UAE Industrial Park with preferred air transportation and cargo rates on the routes and services between China and other cities on Etihad Airways network.

Established in July 2017, with a 50-year agreement signed between Abu Dhabi Ports and JOCIC, the China-UAE Industrial Park has attracted investment agreements with 16 Chinese companies, totalling $1 billion.

The Chinese companies investing come from various sectors, including new energy sources, aluminum processing, machinery manufacturing, trade and logistics, metallurgy, building materials, chemicals, packaging, and food and beverages.

Under the agreement, EAG and JOCIC, the management company of the China-UAE Industrial Park, will also jointly explore marketing opportunities to promote the project.

In addition, Etihad will enjoy special rates on the products produced and manufactured by Chinese companies at the China-UAE Industrial Park.

Tony Douglas, Etihad Group CEO, said: "China is a strategically important market for Etihad. We feel extremely honoured to forge such a strategic partnership with JOCIC so as to serve the development of the China-UAE Industrial Capacity Cooperation Demonstration Park, and better foster the Chinese companies within the Industrial Park."

"The partnership will demonstrate the long-standing commitment of Etihad, the national carrier of the United Arab Emirates, to acting as a bridge for economic and cultural exchanges between the UAE and China, as well as to strengthen the position of Abu Dhabi as an aviation hub to connect China with the economies along the Belt and Road Initiative by leveraging our strong global network."

"This is only the beginning. We look forward to making more contributions to the project," he added.

Luo Hua, JOCIC chairman, said: "The China-UAE Industrial Capacity Cooperation Demonstration Park is a major project under the Belt and Road Initiative. It represents an important consensus reached by the leadership of China and the UAE to strengthen international industrial capacity cooperation between the two countries.

"We look forward to working closely with Etihad Aviation Group by leveraging its diversification of business, convenient network and innovation advantages to drive the continued success of the China-UAE Demonstration Park," he added.

The China-UAE Industrial Capacity Cooperation Demonstration Park aims to become a major window and platform for China’s investment and trade cooperation with countries in the Middle East, Africa and Europe.

Etihad Airways currently operates daily flights between Abu Dhabi and China’s four main gateways Beijing, Chengdu, Shanghai and Hong Kong.

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Last Updated: Fri 20 Jul 2018 02:00 PM GST

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