Special Economic Zone Experience Overseas? Industrial Parks and Ports in the Gulf and China's Presence

Abstract

The Gulf countries have shifted to a new development paradigm in which more dynamics are pursued. The evolution of industrial parks and ports facilitates local development and boosts connectivity. As industrial parks and ports in the Gulf countries gather momentum, China's presence in these parks and ports has become more prominent since the Belt and Road Initiative (BRI) was proposed. With the domestic experience of setting up Special Economic Zones (SEZ), China's involvement in the industrial parks and ports in the Gulf indicates the application of China's development experience overseas. Hence, this paper explores how the industrial parks and ports in the Gulf demonstrate China's SEZ experience and how the industrial parks and ports affect the development of the Gulf countries. This paper examines three cases of industrial parks and ports in the Gulf, two of which are park-port complexes: the complex of China-Oman Industrial Park in Duqm and Duqm Special Economic Zone Authority, the complex of Khalifa Industrial Zone Abu Dhabi and Khalifa Port Free Trade Zone, and Saudi Arabia's Jazan City for Primary and Downstream Industries. The notion of "local enabling environment" that describes applying China's domestic SEZ experience overseas to pursue global development is discussed. By elucidating the three cases and making comparisons, the paper argues that the three cases do not thoroughly convey China's SEZ experience. Moreover, the three cases affect local development differently. Hence, China's involvement in the industrial parks and ports in the Gulf doesn't equal to applying the Chinese domestic experience to the world stage. Building a "local enabling environment" that could boost development is attributed to more local factors besides China's involvement