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JAKARTA - Canada and Saudi Arabia have agreed to restore full diplomatic relations and appoint a new ambassador, the two countries announced on Wednesday, ending a 2018 dispute that undermines relations and trade.

The decision follows a discussion held between Canadian Prime Minister Justin Trudeau and Saudi Arabia's Crown Prince Mohammed bin Salman on the sidelines of the Asia-Pacific Economic Cooperation Forum (APEC) summit in Bangkok in November last year, a statement from Canada and Saudi Arabia said.

The decision came from "the desire of both sides to restore diplomatic relations between the two countries on the basis of mutual respect and mutual interest," the statement continued.

While citing Arab News, Canada's Ministry of Foreign Affairs said Jean-Philippe Linteau would become a new ambassador to the Kingdom. Linteau previously served as a consultant to Canadian generals in Dubai, United Arab Emirates.

However, a statement by the Saudi Arabian Ministry of Foreign Affairs has not stated who the Ambassador of the Kingdom of Saudi to Ottawa is.

This normalization comes as Saudi Arabia's Crown Prince, known as MbS, seeks to reaffirm Saudi Arabia as a regional force, using its position as an energy giant in the world that relies heavily on oil due to war in Ukraine.

The Ministry of Foreign Affairs announces that in light of what has been disclosed between HRH Crown Prince Mohammed bin Salman and the Prime Minister of Canada Justin Trudeau, it has been decided to restore the level of diplomatic relations with Canada to its progress state. pic.twitter.com/zrPmhjskz7

"Saudi Arabia is very important in its territory. It's an important player," said Roland Paris, former foreign policy adviser PM Trudeau and professor of international relations at Ottawa University.

"It makes sense to have the ambassador back to keep the communication channels open."

The dispute in 2018 came before the assassination of journalist Jamal Khashoggi in the same year, which Canada and all Western countries criticized.

This started when the Canadian Embassy in Riyadh published a tweet in Arabic, urging the release of women's rights activists detained by Saudi Arabia.

That prompted Riyadh to recall his ambassador and bar the ambassador from returning, expel the Ottawa ambassador to Saudi Arabia and impose a new trade ban, because he considered Canada to be interfering in Saudi Arabia's internal affairs.

Former Canadian Prime Minister Stephen Harper said he was pleased to see the two countries restoring diplomatic relations and congratulate Linteau on his appointment.

"Kerajaan (Saudi Arabia, ed) adalah mitra regional yang sudah lama ada, mitra yang memiliki banyak kepentingan yang sama dengan kami," cuit Harper di Twitter.

Meanwhile, Dennis Horak, Canadian Ambassador who was expelled from Riyadh in 2018, said the Kingdom was an important regional player.

"I think having full diplomatic relations with them allows us to make our voices heard at the senior level, which in Saudi Arabia is important," he told CBC.

Saudi Arabia is the largest export market for Canada in the region in 2021, according to official data, with an export value of 2.2 billion Canadian dollars, while the import value reaches 2.4 billion US dollars.

Almost all of Canada's imports are oil and petrochemicals. While more than 80 percent of exports to Saudi Arabia are means of transportation.


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