Pentagon's New Report on China's Role in the Middle East; Sale of Missile and Drone Parts and Joint Exercises with the Islamic Republic

The U.S. Department of Defense, in its annual report to Congress regarding military and security developments related to the People's Republic of China, announced the gradual expansion of Beijing's military and security presence in the Middle East and the limited but targeted deepening of its defense cooperation with the Islamic Republic regime in Iran. The report states that China's approach in the Middle East is based on 'energy security' and leveraging the doubts of some regional countries regarding the U.S. commitment to diversify its partners. According to the report, the Chinese military will conduct separate military exercises with Egypt and the United Arab Emirates in 2024, as well as a trilateral naval exercise with the Islamic Republic and Russia; exercises that the Pentagon claims reflect Beijing's prioritization of these regional partners. The Chinese Navy has also sought to present itself as a player contributing to 'regional security' by periodically sending escort task forces to the Gulf of Aden and undertaking so-called 'goodwill' visits to the ports of Gulf Arab countries. The report adds that China has also sought to politically support the so-called Palestinian cause and emphasize its distance from U.S. support for Israel, while avoiding direct involvement in mediating this conflict, thus presenting a different image of its role in the Gaza crisis. According to the Pentagon, Beijing has described the Houthi attacks in the Red Sea as a 'spillover' of the Gaza war and has criticized U.S. military operations against this group as 'ineffective' and 'disruptive to regional security.' In the section concerning the Islamic Republic of Iran, the U.S. Department of Defense report states that the defense relationship between China and the Islamic Republic is primarily based on an annual trilateral naval exercise with Russia, limited bilateral military training courses, and the sale of 'dual-use' parts by companies based in China for the Islamic Republic's ballistic missile and drone programs. The report notes that despite these collaborations, Beijing is 'likely' refraining from significantly deepening military relations with the Iranian regime due to concerns over diplomatic backlash and sanctions, keeping the level of these collaborations largely symbolic and technical. According to the Pentagon, defense ministers from China and the Islamic Republic meet approximately every two years, and by August 2024, some satellite companies based in China have participated in trade exchanges with the Islamic Revolutionary Guard Corps. The report adds that China does not have extensive connections with the Islamic Republic's proxy groups, including Hezbollah in Lebanon, the Houthis in Yemen, and Iran-backed militias in Iraq. However, since the onset of the Houthi attacks, it has been in non-public contact with this group to ensure the security of Chinese commercial vessels in the Red Sea and Gulf of Aden. According to this document, since November 2023, companies based in China have sold 'dual-use' parts that have been used in Houthi attacks in the Red Sea, while Beijing's officials deny any direct responsibility. The report concludes that China is likely trying to maintain its image of 'neutrality' by refraining from publicly criticizing the Islamic Republic's proxy groups and avoiding involvement in deep regional divides, while simultaneously benefiting from economic and security relations with the Iranian regime and other Middle Eastern actors to secure its energy and geopolitical interests.