On 10 March 2023, Riyadh and Tehran unexpectedly announced they would reinstate diplomatic ties.
In a brief statement, they confirmed, "In response to a generous initiative by the President of China, and with their desire to resolve differences through dialogue and diplomacy, discussions were held in Beijing from 6 to 10 March 2023 between the delegations of Saudi Arabia and Iran.”
“The three countries announced that the Kingdom of Saudi Arabia and the Islamic Republic of Iran have reached an agreement that includes agreeing to resume diplomatic relations between them and re-open their embassies and representations within a maximum period of two months.”
Furthermore, the agreement affirmed the mutual respect for each party's sovereignty and the commitment to non-interference in each other's internal affairs and activated the 2001 Agreement for Security Cooperation and the 1998 Agreement for Economic, Trade, Cultural, and Scientific Cooperation.
To understand how the two regional foes got to this point, its important to go a few years back.
Saudi grievances ignored
In 2015, the United States signed a nuclear agreement with Iran despite Saudi Arabia's opposition to the move. Between 2015 and December 2018, Houthi militants in Yemen launched numerous attacks on Saudi ships and tankers in the Red Sea. Then, in September 2019, they targeted Aramco's facilities in Abqaiq and Khurais, disrupting half of the Kingdom's oil exports.
During that period, pressure mounted on Saudi Arabia to pull back from the Yemeni port of Al Hudaydah, where it had been present to actively safeguard the flow of global shipping in the Red Sea.
These developments made it clear to Saudi Arabia that its traditional approach—which depended on America and other Western allies to ensure its security—was not working. This perception was further solidified by statements made by US President Joe Biden during his election campaign distancing America from Saudi Arabia.
The mutual interests that had bound the two countries for seven decades diverged for several reasons.
The first is that the US was no longer reliant on Saudi Arabia’s oil, having emerged as a strong global exporter itself. On its part, Riyadh diversified its economic partnerships—specifically with China—with whom it boosted trade and technological and economic ties.
Read more: China-Arab Summit signals potential of new era
Because the security-for-oil equation was no longer in play, Saudi Arabia opted for a new security approach to safeguard its own interests and realise its ambitious Vision 2030 goals.
To this end, it began talks in 2021 with its traditional foe, Iran, facilitated by Iraq and Oman. However, the negotiations, which stretched into 2022, failed to make headway during this period because negotiators lacked the necessary leverage and ability to provide guarantees to sustain any agreements reached.
Enter China
Leveraging its robust economic and political relationships with both Saudi Arabia and Iran, Beijing emerged as a strong mediator. It used the Five-Point Initiative, drafted by Gulf states in March 2021, as a springboard to build upon.
Its principles include: mutual respect, commitment to justice and fairness, prevention of nuclear weapons proliferation, collective security, development, and cooperation—tenets the Kingdom fully endorsed.
In February 2023, a month before facilitating reconciliation between the two nations, China introduced its Global Security Initiative, delineating a conceptual framework founded on ten principles.
Five of these principles were applied to Beijing’s proposal for achieving peace and stability in the Middle East:
1. Comprehensive, cooperative, and sustainable security
2. Respect for the sovereignty and territorial integrity of all nations
3. Adherence to the goals and tenets of the United Nations Charter
4. Earnestly addressing the legitimate security concerns of all nations
5. A commitment to resolving disputes and conflicts between countries peacefully through dialogue and consultation.
These were slightly customised for the Middle East to include “the significance of supporting regional countries in establishing a collective security framework to safeguard their security” and taking “tangible steps to progress the resolution of the Palestinian issue, such as organising an international peace conference aimed at achieving a fair solution.”
The reconciliation facilitated by China between Saudi Arabia and Iran culminated in a ceasefire in Yemen and the launching of negotiations to achieve a lasting and viable resolution to the civil conflict there.
Additionally, it has promoted bilateral collaboration between the two nations in addressing regional challenges and bolstering their relations.
