Iraq advanced a contract with a Chinese government company on Monday to build a new airport as China seeks to bolster its presence in the country.
The Iraqi Ministry of Transportation said it signed an addendum on the contract for the construction of the Nasiriyah International Airport with China State Construction Engineering and another for the airport’s construction with Turkey’s Kiklop Design Hertz Insaat, the official Iraqi News Agency reported.
Iraq and CSCEC signed an agreement for the Nasiriyah International Airport back in 2021. The airport is being built near the eponymous city in the southern Dhi Qar province. The airport aims to accommodate 2.5 million passengers annually and will feature a 25-kilometer (15.5-mile) roadway linking it to parts of the province, according to statements from the company.
#WitnessABetterWorld Recently, CSCEC officially commenced runway construction at the Nasiriyah International Airport EPC project in Nasiriyah, Iraq. Once completed, the project has a plan for an annual passenger capacity of 2.5 million people. https://t.co/jEGJzeR5cH pic.twitter.com/E1T0IFeQQG
— China State Construction (@CSCECNEWS) September 15, 2023
There is currently a military airport serving Nasiriyah but no passenger flights available at present, according to Iraqi Airways’ website. The new airport will reportedly be ready in 2025.
The Iraqi News Agency did not specify details about the contract and CSCEC did not immediately comment. In late June, the company said it placed the final beam of the control tower at the Nasiriyah International Airport.
Why it matters: China is showing increasing interest in Iraq across multiple sectors. China is the largest buyer of Iraqi crude oil and Chinese firms presently manage two-thirds of the country’s oil production. Decreased interest by Western companies in the Iraqi energy sector has paved the way for Chinese companies to dominate the field, S&P Global reported in February.
Some Western oil companies have pulled out of Iraq in recent years due to security concerns.
Iraq and China signed an “oil for construction” deal in 2019 in which construction projects in the country are funded by the sale of 100,000 barrels of Iraqi oil per day to the People’s Republic. The deal has facilitated a flurry of Chinese energy and infrastructure deals in Iraq, Agence France-Presse reported in 2022.
The Iraqi Central Bank announced in February of last year that it would start trading with China in yuan.
Know more: Iraqi Airways resumed direct flights between Baghdad and Beijing earlier this month. The flights had been suspended since 2015, reportedly due to a lack of suitable aircraft, according to Iraqi news reports.
