Huawei May Move Its Middle East Headquarters to Saudi Arabia

China's Huawei Technologies Co. is looking to make Riyadh, Saudi Arabia its headquarters for the Middle East, Bloomberg reported, citing people familiar with the matter.

This step comes amid a push by the Saudi government to position itself as a regional business hub to limit leakage out of its economy and attract foreign investment. It also looks to grow diplomatic and business ties with China. 

The Chinese company currently has headquarters for the Middle East region in Dubai and Bahrain, but it has offices in Riyadh and other cities in the region.

The anonymous sources added that Huawei is in talks with the Saudi authorities to boost its presence in the Kingdom, but a final decision is yet to be made by Huawei.

Saudi Arabia previously announced that government entities will be restricted from doing business with foreign firms that don't have regional headquarters in the country starting next year.