Chinese President Xi Jinping urged countries to oppose external interference in the Middle East during a meeting with Egyptian President Abdel Fattah al-Sisi in Cairo, stating that Beijing is ready to work with regional states to safeguard maritime shipping amid disruptions from the US-Iran war, according to Chinese state news agency Xinhua. The talks on Wednesday mark Xi’s first visit to the Egyptian capital in a decade, as Beijing expands regional investments and manages fallout from the six-month conflict.
Xi Jinping and Abdel Fattah al-Sisi Discuss Suez Canal Industrial Zone Expansion
During discussions at the Ittihadiya Presidential Palace, Presidents Xi and Sisi signed an agreement to launch the third phase of the Egyptian-Chinese industrial zone at the Suez Canal, according to a statement from Sisi’s spokesperson. Egyptian officials report that the zone already hosts 200 companies with investments totaling approximately $4 billion. While Egypt did not announce a specific financial figure for the new phase, the agreement expands Beijing’s footprint in the vital trade artery as regional conflicts restrict alternative shipping routes.
Global shipping firms have increasingly avoided the Suez Canal due to escalating attacks from Yemen’s Houthi rebels. In response, Xi stated that China stands ready to work with regional nations to secure international shipping lanes, advance development cooperation, and eliminate conflict roots. Both leaders also used the talks to push for diplomatic solutions and a comprehensive agreement to end the ongoing US-Iran war.
Geopolitical Shift and US Sanctions Pressure on Cairo and Beijing
Beijing’s push for deeper regional ties arrives as United States foreign policy in the area experiences shifts. Mirette Mabrouk, a senior fellow at the Washington-based Middle East Institute, told AFP that the United States looks uncertain about whether to withdraw from the region or increase engagement. Mabrouk noted that China views Egypt as a key partner and entry point for expanded influence, while Cairo seeks to diversify partnerships rather than align with a single global power.
The diplomatic engagements coincide with rising financial pressures from Washington. The Emirati branch of Egypt’s second-largest bank, Banque Misr, was recently targeted by US sanctions. Washington announced plans last month to isolate Iran economically through expanded sanctions that could potentially impact Chinese banks. China remains a major buyer of Iranian oil and has vowed to protect its economic interests. Ahead of an expected meeting between Xi and US President Donald Trump, Beijing is actively strengthening ties with US-friendly nations in the Middle East.
Bilateral Trade and Military Cooperation Between China and Egypt
Economic ties between Beijing and Cairo remain robust. China is a major exporter to Egypt, logging a trade surplus of $12 billion in the first seven months of 2026, according to Chinese customs data. Egypt, historically a key regional mediator and one of the world’s top weapons buyers under Sisi’s administration, also hosted joint air combat exercises with the Chinese military in August featuring Beijing’s J-16 fighter jet.
Did you know? Cairo streets have been decorated with Chinese and Egyptian flags alongside billboards featuring Sisi and Xi to mark the diplomatic visit. President Xi is scheduled to visit the Grand Egyptian Museum near the Giza Pyramids later on Wednesday.
Frequently Asked Questions
What was the primary focus of Xi Jinping’s visit to Egypt?
According to official statements, the talks focused on opposing external interference in the Middle East, securing maritime shipping lanes affected by the US-Iran war, and signing new agreements including the third phase of the Suez Canal industrial zone.
What new economic agreements were signed between China and Egypt?
The two BRICS member nations signed an agreement to launch the third phase of the Egyptian-Chinese industrial zone at the Suez Canal, alongside a series of additional agreements detailed by officials from both countries.
How is the US-Iran conflict affecting trade routes in the region?
The ongoing conflict and rising Houthi rebel attacks have forced global shipping firms to avoid the Suez Canal, prompting calls from leaders like Xi Jinping for international cooperation to secure maritime trade lanes.
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