Iran and Saudi Arabia restored diplomatic ties on Thursday after a seven-year rift.
The agreement was reached in Beijing during a meeting between Iranian and Saudi Arabian foreign ministers, and comes one month after China had brokered the initial reconciliation efforts.
Iranian Foreign Minister Hossein Amirabdollahian laid out details of Thursday’s agreement in a tweet, after his talks with Saudi counterpart Prince Faisal bin Farhan Al Saud.
Amirabdollahian said the meeting took place “in a very positive and constructive atmosphere in Beijing.”
The agreement lowers the threat of armed conflict between the two Middle Eastern rivals, either directly or by proxy. It could also potentially help end a war in Yemen, which began in 2014.
Thursday’s announcement represents a diplomatic victory for China as it competes with the U.S. for increased global influence.
