Saudi Arabia and Germany maintain almost a century-old bilateral ties, dating back to 1929. What would you consider as a significant milestone of these ties, a testament to success of the recent years?
Bilateral relations between Germany and Saudi Arabia were formalized as early as in 1929, with the signing of the Treaty of Friendship between Germany and the Kingdom of Hejaz, Nejd and Dependencies – some three years before the Kingdom of Saudi Arabia was proclaimed. Germany has maintained diplomatic relations with the Kingdom of Saudi Arabia since 1954.
The governments of both countries hold consultations on a regular basis. Foreign Minister Baerbock’s most recent visit was in April 2024, Vice Chancellor Habeck came to Riyadh in January 2024, and Chancellor Scholz visited Saudi in 2022 with a big economic delegation. Important formats were set up between Saudi Arabia and Germany, like the strategic dialogue and the German-Saudi Energy and Climate Dialogue, that includes deep and intensive cooperation in the field of hydrogen. In addition, in the area of culture, the two countries work together closely. Thus, the Dresden Symphony Orchestra (Germany) provided the music for the first Arab Grand Opera, Zarqa Al Yamama. The opera premiered in Riyadh in April 2024.
Saudi Arabia is Germany’s second most important trading partner, and Germany is Saudi Arabia’s fourth largest supplier of goods. What are the main areas of bilateral trade?
Germany ranks 5th among the most important exporters to the Kingdom and has done so for many years. Overall, trade has recovered remarkably after it took a dent during the COVID pandemic, growing from around $6 billion in 2021 to over $10 billion in 2023. As far as traded products are concerned, we exchange the tried and tested: we mostly buy energy, chemical and petrochemical products and export machines, machine tools, car parts and chemical products.
Thanks to the massive dynamizing effects of the Vision 2030, ambitious projects and a very attractive investment landscape, Saudi Arabia is a highly interesting destination for German companies. The areas of business with vast potential are too numerous to count but one on which I would like to see more collaboration and investment is the field of renewable energy. Germany has suitable technologies and a net demand for green energy. Saudi Arabia, on the other hand, has a proven and long-standing expertise as a global energy provider, many excellent and experienced companies and the perfect conditions for producing renewable energies.
Please discuss the role of the German-Saudi Arabian Liaison Office for Economic Affairs (GESALO) and the Joint Economic Commission (GWK) in diplomatic relations and their impact on bilateral business and investment opportunities.
GESALO is part of the network of German Chambers of Commerce abroad. These chambers exist in all important economies worldwide and act as the official representatives of German business. GESALO provides a whole set of useful services for German companies, from market analysis to market entry facilitation. They also host local events and organize visiting programs to help business delegations discover the various opportunities present in the Kingdom. The contribution by GESALO is invaluable and oftentimes the first point of entry for German businesses to the Kingdom and a strong partner of the Embassy in working daily on expanding economic ties between Germany and Saudi Arabia. GESALO, just like many German companies, can look back on longstanding relationships with the Kingdom. In 2023, GESALO reached an important milestone and celebrated 45 years of successful presence in the Kingdom. Looking forward, I am confident that we can further advance this success story and I hope for GESALO to become a chamber of commerce with a stable and growing membership.
The Joint Economic Commission is a high-level Saudi-German forum that comprises government and business representatives to advance bilateral economic discussions and business opportunities. You may think of it as a strategic layer to accompany the day-to-day work of players on the ground like GESALO and the Embassy.
Germany is one of the top travel destinations in the world. From your point of view, what unique feature of Germany might attract Saudi travelers and vice versa?
Travelling through Germany, one can enjoy a great variety of things. First, the picturesque landscapes of the Black Forest, the Bavarian Alps, and the Rhine Valley offer opportunities for hiking, skiing, and scenic river cruises. One can also enjoy our beaches at the Baltic Sea. Germany’s natural beauty is a major draw for those seeking outdoor adventures. Secondly, Germany’s rich history is evident in its well-preserved architecture, palaces, cathedrals, and monuments. Cities like Berlin, Munich, and Cologne boast impressive landmarks such as the Brandenburg Gate, Neuschwanstein Castle, and Cologne Cathedral. Moreover, Germany hosts a variety of world-famous festivals, such as Oktoberfest in Munich, the Berlinale Film Festival in Berlin, and different music festivals – rock, pop, techno – throughout the country. Finally, Germany is known for its advancements in engineering, automotive technology, and renewable energy. Visits to automotive museums (like the Mercedes-Benz and BMW museums) and technology hubs (like the Fraunhofer Institutes) can appeal to tech-savvy Saudi tourists. Last but not least, thanks to a good infrastructure, travelling is really easy within Germany. Tourists can easily take the train to go from one city to another.
With Saudi Arabia opening up for tourism, German interest is growing. I always recommend visiting historical and archaeological treasures, including the ancient Nabatean city of Al Ula and Diriyah, the birthplace of the Saudi state. Cities like Riyadh and Jeddah offer a blend of modernity and tradition. The dynamic urban development, with world-class shopping, dining, and entertainment options, can be intriguing for German travelers. One should not forget the vast deserts of Saudi Arabia offering unique nature experiences such as camel riding, dune bashing, and camping under the stars. For German Muslim visitors, Mecca and Medina are naturally a must see when coming to Saudi.
With all its development plans, Saudi Arabia has the chance to attract far more people in the fiercely competitive sector of international tourism.
Similar to the most foreign missions in Saudi Arabia, the German Embassy is located in the Diplomatic Quarter, a hub for a multicultural communication. Please share your vision on mutual appreciation and unconditional respect towards other cultures. How can this be achieved?
As the late Kofi Annan, former UN Secretary General so correctly stated: “My long experience has taught me that, whatever our background, what unites us is far greater than what divides us”. Consequently, we must never stop bringing people together, while at the same time defending the principles of tolerance and respect. Different beliefs are never a reason not to share common experiences that bind us together as human beings.