Rakez signs off on Chinese industrial park: China’s Shandong Timber and Wood Products Association (STWPA) is setting up the Zhong A Shandong Industrial Park in the UAE’s Ras Al Khaimah Economic Zone (Rakez), according to a statement published on Friday.

What we know: The first phase of the industrial park — which will see some USD 360 mn in investments — will cover 450k sqm across Rakez’s Al Ghail and Al Hulaila plots. The project will be expanded to over 1 mn sqm over the subsequent three years. The project is slated to attract over 60 new companies and generate some 3.5k new jobs in the wood and food and beverage industries over the next five years. The project’s launch date has not been disclosed.

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What the Chinese have in mind: STWPA is looking to leverage Rakez’s infrastructure to attract Chinese investors to the area. It already produces around 10% of the wooden furniture stock globally, supporting over 1.7k wood companies worldwide. The firm already owns similar industrial complexes in China, Indonesia, and Ethiopia.

For the record: “With nearly 30% of the emirate’s economy driven by manufacturing activities, we are excited about the additional value and economic vibrancy this park will bring about. This project also strengthens our ties with China, supporting our mission to provide a nurturing environment for Chinese investors,” Rakez CEO Ramy Jallad said.

REMEMBER- Rakez is eying stronger trade ties with China: Senior execs from Rakez discussed last year with Chinese officials enhancing trade and economic cooperation during an official visit to China’s Guangdong province. Business forums were also held in cities including Guangzhou, Shenzhen, and Dongguan where parties explored creating foreign trade platforms to strengthen bilateral long-term bilateral business ties.

Asian players are setting up shop in Rakez: India-based conglomerate Birla’s dielectric film producer Xpro India Limited will be developing a AED 100 mn global manufacturing unit in Rakez, slated for operation in 2Q 2025. Rakez has also inked an MoU recently with the All India Association of Industries (AIAI) to develop a platform to attract Indian enterprises to Ras Al Khaimah.

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