MUSCAT : Oman is seeking to expand Chinese investment in manufacturing, renewable energy and logistics as the two countries build on a trading relationship worth RO 9.6 billion in 2025, Oman News Agency reported.

His Majesty Sultan Haitham bin Tarik’s state visit to China offers an opportunity to deepen economic ties and attract projects that support Oman’s drive to diversify its economy, business leaders and investors told the agency.

China is Oman’s largest trading partner and a major buyer of its crude oil. Officials and business representatives see scope to broaden the relationship through industrial production, technology transfer and joint ventures serving regional and international markets.

Bilateral trade reached RO 9.6 billion in 2025, with Omani exports to China totalling about RO 7.7 billion and imports standing at RO 1.9 billion, according to figures from the National Centre for Statistics and Information.

Preliminary figures put trade during the first seven months of 2026 at RO 5.4 billion. Omani exports accounted for about RO 3.9 billion, while imports from China were valued at roughly RO 1.4 billion. China supplied 13.73% of Oman’s merchandise imports during that period.

Oman’s main exports to China include crude oil, liquefied natural gas, petroleum products, petrochemicals and chemicals. Imports include machinery, electrical equipment, batteries, iron and steel products, building materials, solar cells, technology products, textiles and vehicles.

Chinese direct investment in Oman rose to RO 866.2 million in 2025 from RO 798.1 million in 2024, reaching RO 903.8 million by the end of the second quarter of 2026, the agency reported.

His Excellency Sheikh Faisal bin Abdullah Al Rawas, chairman of the Oman Chamber of Commerce and Industry, said the His Majesty’s visit could help turn longstanding bilateral ties into a broader economic partnership.

He identified advanced manufacturing, renewable energy, green technology, artificial intelligence, logistics, food security and smart infrastructure as areas offering opportunities for businesses in both countries.

The chamber is working to connect Omani and Chinese companies, expand access to market information and encourage business delegations and meetings that could lead to long-term commercial partnerships, he said.

Al Rawas also highlighted the importance of continuing negotiations on a free trade agreement between China and the Gulf Cooperation Council to facilitate trade and investment.

Industrial cooperation has become a central focus of discussions between the two governments.

At the 10th session of the Oman-China Joint Committee, held in Beijing in December 2025, the two sides discussed attracting more Chinese industrial investment and forming a joint working group to draw up an implementation roadmap.

Proposals included an integrated industrial complex serving renewable energy supply chains, alongside smart warehouses and distribution centres to support digital and cross-border commerce in Duqm, Sohar and Salalah.

The discussions also covered agreements to connect industrial production chains and strengthen investment links.

The committee traces its origins to a trade agreement signed in Beijing in October 1980 and ratified by Oman the following year.

More recent engagement has included an Oman-China economic and trade forum in Muscat in August 2024, a Khazaen Economic City investment forum in Beijing the following month, and Omani participation in a Gulf-China industrial and investment cooperation forum in Xiamen.

Talks with China’s Hainan province continued in 2026, focusing on investment and logistics opportunities, joint projects and the transfer of technology and expertise.

Her Excellency Lujaina Mohsin Haider Darwish, honorary president of the Oman-China Friendship Association, said the state visit could provide fresh momentum for Chinese investment and help establish longer-term partnerships.

She identified logistics, industry, renewable energy, technology, tourism, food security and the green economy as potential foundations for future cooperation.

Such partnerships should combine investment with knowledge transfer and draw on the strengths of both economies, she said, adding that Oman’s location and investment infrastructure could support projects with lasting economic value.

The association, established in October 2010, promotes cultural, economic, scientific and other exchanges. Its activities complement those of the China-Oman Friendship Association, founded in China in 2007.

Recent initiatives have included a friendship and cooperation forum in Salalah in July 2025 under the theme “Chinese Modernisation and Oman Vision 2040”, alongside meetings with Omani students studying in China and cultural events.

Omani businessman and property developer Faisal bin Alawi Al Dheeb said businesses should use the closer relationship to pursue manufacturing and investment ventures within Oman.

He pointed to the country’s ports, economic zones, infrastructure and geographical position as advantages for Chinese companies seeking production bases and access to other markets.

China’s experience in manufacturing, technology, infrastructure, property development and renewable energy offered opportunities for Omani companies to establish complementary ventures, he said.

Al Dheeb urged local businesses to prepare commercially viable projects with clear financing, ownership and operating arrangements to turn investor interest into agreements and operating businesses.

Joint factories and production projects could help Oman develop new industries, acquire technology and create skilled jobs for nationals, he added.

A Chinese investor identified by the agency as Sean, who established a company in Sohar Freezone in 2022, said government support and flexible procedures had helped him set up his business quickly.

He cited assistance from the Public Authority for Special Economic Zones and Free Zones and the Ministry of Commerce, Industry and Investment Promotion in completing registration requirements.

Freezone officials subsequently directed him to Invest Oman to explore available incentives and support, he said.

Sean said tax incentives, logistics access and public safety strengthened Oman’s appeal to foreign investors and supported business expansion.

Transport links have also developed. Direct flights between Beijing Daxing International Airport and Muscat International Airport began on November 30, 2025, with two weekly services, according to the agency.

Tourism promotion workshops in Beijing, Shanghai and Guangzhou have sought to increase Oman’s visibility in the Chinese market, while the two countries have been working on a draft agreement for reciprocal visa exemptions for ordinary passport holders.

Business representatives said sustained engagement between companies would be needed to translate diplomatic ties into investment, expand trade and support the diversification goals of Oman Vision 2040.

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