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Doha, October 11 (QNA) – The official visit initiated by HH the Amir Sheikh Tamim bin Hamad Al-Thani to the friendly Federal Republic of Germany reflects the strength of relations between the two countries, and the robust and depth sustainable partnership between them, as well as the commitment of the leaderships of both countries to elevate these relations to higher levels and broader horizons in various fields.
During the visit, HH the Amir is expected to discuss with HE German President Dr. Frank-Walter Steinmeier and HE Chancellor Olaf Scholz, along with other high-ranking German officials, the relations between the two friendly countries and ways to support and develop them in various areas, particularly in the field of energy and in economic and investment sectors. They will also explore opportunities for new cooperation and partnerships that will benefit both countries and their friendly peoples. Additionally, there will be an exchange of views on regional and international situations of common interest.
Diplomatic ties between the State of Qatar and the Federal Republic of Germany were established in 1973. Qatar is considered an important partner for Germany in the Middle East and North Africa region, as the trade relations between both countries have been existent for more than 60 years with political and diplomatic relations running for nearly half a century. These relations have left a positive impact on the hearts of the two friendly peoples. The Qatari-German relations are based on strong foundations of mutual trust and respect and common interests. They are strategic relations, reinforced by close cooperation ties that have grown stronger in recent years, as Qatar’s political role has developed alongside its expanding efforts in mediating regional and international conflicts. Continuous dialogue and ongoing consultations between both sides regarding political coordination on regional issues and top international topics are ongoing between the two countries. In May 2022, the State of Qatar and the Federal Republic of Germany signed a memorandum of understanding (MoU) on launching a strategic dialogue between the two countries. This dialogue will provide an important platform for discussing energy files and cooperation between the both countries.
The two countries are bound by various economic agreements and memoranda of understanding, including an agreement to protect and encourage mutual investments, and others in the industrial, commercial, healthcare, cultural, sports, archaeology, solar energy, civil aviation, and air transport fields. In addition, there is an agreement to establish a Joint Commission on Economic, Trade and Technical cooperation, which has seen several sessions held over the past years.
The relations between the two countries are expected to witness a new start and broader prospects in the coming period, especially with the agreements and memoranda of understanding signed between the two countries and the momentum witnessed through high-level visits between Doha and Berlin. Notable among these visits is the working visit HH the Amir paid to the Federal Republic of Germany in May 2022, and HE German Chancellor Olaf Scholz’s visit to Doha in September of the same year.
During these visits, the relations between the two friendly countries and ways to develop them on all levels, including education, economy, investment, energy, and defense, were discussed. The latest international developments were also discussed during the visits. The two countries also signed a Joint Declaration of Intent to enhance cooperation in the energy field within the framework of a successful and ongoing dialogue between Qatar and Germany. This cooperation is expected to develop into an energy partnership by building trade relations in liquefied natural gas (LNG) that serve the interests of both countries and archive their climate action ambitions.
This partnership is expected to strengthen diversification in Germany’s energy supply through the import of LNG from Qatar. At the same time, it will facilitate bilateral cooperation in hydrogen energy and renewable energy sources.
In November, 2022, QatarEnergy has announced the signing of two long-term LNG sale and purchase agreements (SPAs) between QatarEnergy and ConocoPhillips affiliates for the delivery of up to 2 million tpy of LNG from Qatar to Germany. Pursuant to the two SPAs, a ConocoPhillips wholly owned subsidiary will purchase the agreed quantities to be delivered ex-ship to the ‘German LNG’ receiving terminal, which is currently under development in Brunsbuttel in northern Germany, with deliveries expected to start in 2026.
Germany is the largest gas market in Europe, with significant demand in the industrial, power, and household sectors.
Over the past six decades, the Qatari-German economic relations have witnessed steady growth with Qatar becoming an important economic partner for Germany in the region. Similarly, Germany ranks third among the European countries attracting Qatari investments after the UK and France. The State of Qatar is one of Germany’s largest investors, with an amount amounting to about 25 billion euros in the automotive industry, communications, hospitality and banking services, and other important sectors. The pace of these investments has increased, especially after HH the Amir Sheikh Tamim bin Hamad Al-Thani’s historic visit to Germany in 2018, where His Highness announced the State of Qatar’s intention to pump 10 billion euros worth of investments into the German economy over the next five years until 2023, reflecting the depth and strength of bilateral relations at all levels.
In September 2022, the Qatari Ministry of Commerce and Industry signed a strategic partnership agreement with the German Association for Small and Medium Businesses, to open a representative office for the association in the State of Qatar, the first of its kind in the Gulf region. This agreement contributes to increasing the presence of German companies in Qatar and reflects positively on the movement of trade and investment and the establishment of fruitful partnerships between the business sectors in both countries.
The establishment of the first office in the Gulf region of the German Association for Small and Medium Businesses in Doha will contribute to strengthening relations between companies in the two countries, by linking the 900,000 small and medium-sized companies that are members of the association with their counterparts in Qatar, in addition to linking German companies with potential partners in all parts of the region.
As an indication of the steady growth of trade relations between the two countries, the volume of trade exchange between Qatar and Germany increased by 80 percent in 2021, reaching more than USD 3 billion. The number of German companies that contribute to the development of the Qatari economy exceeds 330 companies working in vital fields such as energy, construction, services, railway development, trade, contracting, communications, medical devices and equipment, and other fields.
Additionally, the State of Qatar owns shares in vital German commercial and banking groups. It is considered the largest shareholder in the giant Volkswagen Group, with a share worth USD 9 billion, as well as in Siemens, and invests in Hapag-Lloyd, one of the world’s largest shipping companies, and in Hochtief, the largest construction company in Germany, which operates globally.
To attract foreign investments, the State of Qatar has worked, based on its National Vision 2030, to provide an appropriate investment climate, through a series of laws and legislation that attract investment, the political and social stability that the country enjoys, its connection to strong and balanced relations with all parties, its strategic geographical location as a major commercial gateway linking the East and the West, the advanced digital infrastructure that ensures the smooth flow of trade and capital for international investors, and its large commercial port and airlines that connect it to important cities and global trade routes.
Germany is one of the most developed and strongest-performing industrialized countries in the world. It is the largest economy in the world after the US, Japan, and China. It is also considered the largest and most important market in the European Union countries with a population of more than 82 million people.
Germany shares wide borders with nine other countries, eight of which are European Union members. Its economy is primarily focused on industrial products and services. German machinery, cars, and chemical products enjoy a distinguished international reputation. Due to its great orientation towards export, Germany is considered one of the most interconnected and intertwined with the global economy. Exports of goods and services contribute to more than Germany’s income. More than a fifth of the job opportunities there depend on exports. In 2009, with its export volume of USD 1,121 billion, Germany ranked second in the world after China. Asia is considered the second most important market for sales of German products, with China considered its most important trading partner. Germany, in turn, is the largest European investor in China since 1999. Around 2,500 German companies are investing in various Chinese sectors. (QNA)
