Trade between Russia and China

The main articles are:

• Russia's Foreign Trade
• China's foreign trade

2024

China overtakes Europe as the main market for Russian pipeline gas

At the end of 9 months of 2024, China overtook Europe as the main market for Russian pipeline gas.

Restoration of equipment exports from China to Russia and difficulties in calculations due to US sanctions

Russia began to pay China for cryptocurrency electronics

On September 17, 2024, it became known that the Russian authorities began to transfer trade with China to cryptocurrency. To this end, a special focus group has been formed within the framework of the experimental legal regime (EPR).

According to the Vedomosti newspaper, the group included individual importers from among the members of the Chamber of Commerce and Industry of Russia (CCI) and the Association of Developers and Manufacturers of Electronics (ARPE), as well as some banks. We are talking primarily about those market participants who experience the greatest difficulties with payments to the banks of the PRC and other countries, since the products they need are considered dual-use goods, that is, theoretically they can be used not only for peaceful, but also for military purposes.

Russia began to pay cryptocurrency with China for electronics

The Central Bank of Russia and the Ministry of Finance are responsible for the formation of the circle of persons included in the work of the EPR. When creating a focus group, business turnover was taken into account - the more it was, the higher the company's chances of taking part in the experiment. In the future, it is planned to attract even more participants to work within the framework of the EPR. At the same time, Mikhail Uspensky, manager of the Parallax consulting agency, notes that representatives of medium-sized businesses may not be included in the list of EPR participants.

Yuri Brisov, partner of the consulting company Digital & Anologue Partners, believes that attempts to use cryptocurrency to bypass sanctions can be quickly identified, since all transactions on the blockchain are open for verification. In addition, the legalization of payments in popular stablecoins can provoke direct risks of secondary sanctions for counterparties, up to blocking or marking wallets, experts say. Nevertheless, according to the Central Bank, the use of stablecoins may have advantages over traditional means of payment in settlements on foreign economic activity.^[1]

Russian imports from China more than offset decline in direct imports from the West

The growth of Chinese exports to Russia more than compensates for the fall in exports to Russia from the West.

Russia for the first time entered the top five largest suppliers of pork to China

In July 2024, Russia entered the top 5 countries for the supply of pork to China for the first time, increasing its share in imports to more than 5%. Read more here.

Russia and China agree on the digitalization of mutual trade

Russia and China have decided to digitalize mutual trade. This became known in early July 2024.

According to RIA Novosti, representatives of the business circles of both countries discussed topical issues of introducing digital technologies into trade relations. Particular attention was paid to the problems of payments, customs clearance, document management and legal aspects of cooperation. In addition, the issues of standardizing processes, creating unified digital platforms for business interaction and the possibility of using blockchain technology to increase transaction transparency were considered.

Zhou Liqun, chairman of the Union of Chinese Entrepreneurs in Russia, noted that the record trade turnover between Russia and China of $240 billion achieved in 2023 is not the limit. According to his forecasts, in the coming years this figure may grow to $350-400 billion, subject to the introduction of affordable digital tools.

Vitaly Mankevich, Chairman of the Russian-Asian Union of Industrialists and Entrepreneurs (RASPP), stressed that digitalization will help cope with sanctions pressure, allowing the integration of various processes to improve the effectiveness of transactions. Mankevich noted that a significant part of digital solutions is concentrated in the field of logistics and customs clearance.

Vice-President of the Russian Export Center (REC) Roman Genkel spoke about measures to support Russian exporters. In 2023, REC supported 1,784 participants in foreign economic activity in transactions with China totaling about $1.6 billion.

The founder of the Russian-Chinese B2B-platform of digital trade "Kifa" Sun Tianshu said that in 2023 the trading turnover of the platform exceeded 6.7 billion rubles. The company plans to increase turnover to 150 billion rubles due to the development of digital trade infrastructure.^[2][3]

Growth in trade in the 1st half of the year to $116.87 billion

Russia China According to the results of the first half of 2024, trade turnover increased by 1.8% compared to the same period last year, amounting to 116.87 billion. dollars These are the data of the main customs department of the PRC.

Supplies from Russia to China increased by 3.9%, amounting to $65.213 billion.

US and British sanctions against Russian metals increase Russia's dependence on China

The US and British sanctions on Russian metals, adopted in April 2024, will consolidate China's role of last resort for Moscow in the purchase of key commodities and strengthen Shanghai's role as a platform for setting prices for materials that are critical to the global economy.

Growth of Russia's exports to China and reduction of imports in the first quarter

Trade growth of 9.3% in the first two months to $37 billion and an increase in equipment supplies from China to Russia

The volume of Sino-Russian trade in January - February 2024 increased by 9.3% and amounted to $37 billion, and China's exports to the country grew by 12.5%.

2023

Online trade in China and Russia for the year reached $1.54 billion

In 2023, the volume of electronic B2B trade between Russia and China reached approximately $1.54 billion. For comparison, a year earlier this figure was estimated at $840 million. Thus, growth was recorded at 83.2%. Such data are reflected in a study by the international consulting company Miracle Advisory, the results of which were released at the end of April 2024.

According to estimates, in 2019, the volume of online trade between Russia and the PRC was approximately $47 million. In 2020, an increase of more than 1000% followed with a final result of $525 million. Such a sharp jump is associated with the COVID-19 pandemic, against the background of which the rapid development of e-commerce was observed. In 2021, an increase of 40.7% was noted - to $739 million, and in 2022 the growth was 13.6%. It is said that in connection with the formed geopolitical situation and Western sanctions, Russia focused on East Asia, strengthening trade and economic relations and comprehensive cooperation. At the same time, Chinese suppliers replaced the American and European companies that left the Russian market.

It is said that China as of 2024 is the main trading partner of Russia, trade with which is growing every year. According to estimates, in 2024 the volume of electronic B2B trade between countries may reach $1.97 billion, in 2025 - $2.65 billion. Based on the calculations of Miracle Advisory, the volume of exports of goods from China to Russia in key categories such as shoes, clothes, bags and household appliances is growing faster than the volume of the B2B e-commerce market as a whole, having a CAGR of 36.5% in the forecast period until 2027.

The study says that the deeper penetration of e-commerce into China's trade, as well as the development of non-resource areas of trade between Russia and the PRC, contribute to the expansion of e-commerce between countries both in the V2S- and in the B2B direction. By 2027, the volume of electronic B2B trade between states, according to Miracle Advisory, will reach $4.6 billion.

At the same time, as noted by the ComNews resource, Freedom Finance Global analyst Vladimir Chernov believes that forecasts in the study may be underestimated. According to him, only the Russian-Chinese e-commerce platform of the B2B segment of KIFA predicts an increase in turnover to 150 billion rubles by 2028, which means a twenty-fold increase in trading volumes from 6.7 billion rubles in 2023.

We believe that by 2027, the growth in the volume of electronic B2B trade between Russia and China may exceed $12 billion. By the end of 2024, volumes may already exceed $1.8-1.9 billion, says Chernov.

Sun Tianshu, Chairman of the Board of Directors of KIFA PJSC, notes that one of the main reasons for the rapid growth in the volume of electronic trade between the Russian Federation and the PRC is the active promotion of national projects of digital economies. In addition, there is a comprehensive development of trade and economic ties between the two countries. The B2B segment of the Russian-Chinese trade turnover responds to the internal requests of consumers, and therefore the volume of mutual supplies is constantly growing. A similar picture is observed in the direction of export of Russian goods to China. Tianshu emphasizes that, for example, food products from Russia are in high demand among Chinese consumers, as they are considered environmentally friendly, safe and high-quality. Moreover, such goods are distinguished by a competitive price. Various digitalization initiatives also contribute to the development of trade relations.^[4]

Trade turnover of agricultural products between the Russian Federation and China increased by a third over the year and reached $11.1 billion

The trade turnover of products of the agro-industrial complex (agro-industrial complex) between Russia and China in 2023 increased by 33.9% compared to the previous year and reached $11.1 billion. The total supply amounted to 9.4 million tons, according to data from Agroexport, released in June 2024.

Russian exports of agricultural products to China showed a significant increase of 44.1%, reaching $8.8 billion. This amounted to 79% of the total trade between the two countries in this category.

Russia and China increased trade in agricultural products to $11.1 billion

The main items of Russian exports to China were ice cream fish (18% in the export structure), rapeseed oil (17%), crustaceans (13.9%), sunflower oil (10.5%) and soybeans (7.8%). At the same time, the largest growth was shown by the supply of rapeseed (by 77.9%) and sunflower (2.7 times) oils.

The share Russia in the import of agricultural China products amounted to 3.9%. In turn, Chinese exports of agricultural products Russia in grew by 5.8%, reaching $2.3 billion (1.2 million tons). The main products in this category were tobacco and its substitutes (17.4%), vegetables (5%), non-food extracts and natural resins (4.7%), mushrooms (4%), as well as fruits, nuts and other edible parts of plants (3.9%).

In 2024, a further increase in the trade turnover of agricultural products between Russia and China is expected. In particular, it is planned to start large-scale supplies of Russian pork to China, an increase in the export of grain and flour. At the same time, China intends to increase rice supplies to Russia.

Experts reported on the growing popularity of Chinese fruits and vegetables on the Russian market, noting the trend of "banana substitution" - the replacement of Ecuadorian bananas with Chinese ones.^[5]

The trade turnover of Russia and China over the year grew by 26.3% and reached a record $240 billion. Russia's surplus by $18 billion

The turnover China Russia from the results of 2023 amounted to $240.11 billion, which was a record result. Compared to 2022, the volume of trade between countries increased by 26.3%. This is evidenced by the data released in January 2024 by the Main Customs Administration of the PRC.

According to TASS, citing materials from the department, in 2023 exports from China to the Russian Federation increased by 46.9%, reaching $110.97 billion.

Since 2008, China's exports to Russia have more than tripled.

Imports of Russian goods to China during the same period increased by 12.7%, to $129.14 billion.

Russia's surplus for 2023 decreased by about half compared to 2022, to $18.17 billion, which is due to a decrease in energy prices, which are the main part of Russian supplies to China in value terms.

For the most part, Russia exports energy to the PRC - oil, natural gas and coal, as well as copper, wood, fuel and seafood. A wide list of products comes from China to Russia - from cars and smartphones to industrial equipment and toys.

Separately, in December, the trade turnover of the two countries reached $21.9 billion: Russia imported goods worth $11.19 billion into China, and dollars received $10.7 billion from it, according to the Chinese Customs Administration.

According to Gazprom, in 2023, 22.7 billion cubic meters of natural gas were delivered to China through the Power of Siberia-1 main gas pipeline (IHL) with a plan of 22 billion cubic meters.

Russian President Vladimir Putin and Chinese President Xi Jinping previously set the task of increasing the trade turnover of the two countries to $200 billion by 2024. The country achieved such a volume of trade in 12 months from September 2022 to September 2023. In December 2023, Russian Prime Minister Mikhail Mishustin said that Russia and China "actually completely got rid of the currencies of third countries in mutual settlements."^[6]

Russia exported a record $2.9 billion worth of fish to China over the year

The export of Russian fish to China in 2023 reached a record $2.9 billion. This is evidenced by the data of the Agroexport center under the Ministry of Agriculture, published at the end of March 2024, which refers to the statistics of the ITC Trade organization.

According to Interfax, citing materials from Agroexport, deliveries of frozen fish from the Russian Federation to China in 2023 amounted to $1.6 billion, crustaceans - $1.2 billion. Thus, these types of products accounted for 55% and 42% of Russia's fish exports to the PRC, respectively. Deliveries of fish fillet from the Russian Federation to China in 2023 increased 2.4 times, to $58 million. Their share was 2%. Export of other fish products accounted for 1%.

Exports of Russian fish to China in 2023 reached a record $2.9 billion

According to Agroexport, in 2023, the export of Russian fish flour to China increased by 27% in value terms and by 25% in volume - up to 66 thousand tons. The Celestial Empire accounts for about a third of the world's consumption of fishmeal.

The fact is that fish flour is used in the production of feed for the cultivation of aquatic biological resources, and China is the world leader in aquaculture. According to our estimates, about 80% of the exported Russian flour is sent to the Celestial Empire, while part is delivered there in transit through the Republic of Korea, - explained the president of the Association of Pollock Miners Alexei Buglak.

Fish flour is produced from fish cutting wastes and unwanted bycatch. It is used as a feed for aquaculture and as a food additive in cattle and poultry farming. Russia in 2023 accounted for about 3.5% of global flour production. The top three are Peru, Chile and India with figures of 30%, 8% and 7%, respectively. The main buyers of Russian fishmeal are South Korea and China.^[7]

Exports of Russian buckwheat to China soared 7.4 times in a year

In 2023, Russia delivered about 145 thousand tons of buckwheat to China, which is 7.4 times more than a year earlier (19.7 thousand tons). In money, the volume of exports of these products reached $62 million, an increase of 5.4 times compared to the indicator of one year ago ($11.5 million). This is evidenced by the data of the federal center "Agroexport" under the Ministry of Agriculture of the Russian Federation. Read more here.

China became the largest importer of poultry and beef from Russia

China became the largest importer of poultry and beef from Russia at the end of 2023. This was announced in February 2024 by the Rosselkhoznadzor with reference to the data of the federal state system "Argus."

In 2023, China bought 132.9 thousand tons of poultry meat and 21.5 thousand tons of beef in Russia. Iran imported 10.3 thousand tons of lamb from Russia, Vietnam - 85.1 thousand tons of pork, Belarus - 78.8 thousand tons of pork, Kazakhstan imported finished meat products in the amount of 48.9 thousand tons, according to data from FGIS "Argus."

China became the largest importer of poultry and beef from Russia at the end of 2023

In 2023, 16 countries opened their markets for importing 47 types of livestock products from Russia. The growth of supplies is due to the interest of the countries EEU and the CIS (, Belarus Kazakhstan,,,) Armenia, Kyrgyzstan(Azerbaijan China Asia , Vietnam,), the Mongolia Middle East (,) and Saudi Arabia Africa UAE (, Cote d'Ivoire Benin).

According to Artem Daushev, Assistant Head of the Rosselkhoznadzor, the key factors for successful export are compliance with the requirements of foreign countries, increased quality and safety control of exported products, careful study of materials provided to the competent authority abroad, as well as improved biosafety at enterprises and ensuring the functioning of information systems in the veterinary field.

Earlier in February 2024, it was reported that the export of fresh and chilled beef from Russia to China over the year increased 1.5 times, to $6.1 million in monetary terms. Purchases of frozen meat decreased by a third, falling from $142.9 million in 2022 to $104, 9 million in 2023, Interfax reports, citing data from the State Customs Administration (GTU) of the PRC. The total export of Russian beef at the end of 2023 amounted to 41 thousand tons.^[8]

Growth in platinum exports from Russia to China several times to 25.1 tons

Deliveries of Russian platinum to China in 2023 reached 25.1 tons, which is 2.8 times more than a year earlier. In money, exports tripled to $826 million. This is evidenced by the data of the Main Customs Administration (GTU) of the PRC, published in February 2024.

According to Vedomosti, citing GRU materials, the total volume of platinum imports to China in 2023 reached 101.7 tons, which is 18% higher than a year ago. At the same time, palladium purchases fell by 6%: they amounted to 26.2 tons. The share of the Russian Federation in the total import into the PRC of the first specified metal increased to 25%, the second - to 64%. For comparison: at the end of 2022, the indicators were 10 and 64%, respectively.

Deliveries of Russian platinum to China in 2023 reached 25.1 tons

Palladium exports from Russia to China in 2023 amounted to 15.7 tons, which is 1.7 times more than in 2022. In the money, the supply of this precious metal rose by 30%, to $763 million.

The main buyer of platinum group metals from Russia was Hong Kong, which in 2023 acquired 36.2 tons of palladium and 20 tons of platinum.

As an independent expert in the field of industry Leonid Khazanov told RIA Novosti, the supply of Russian palladium to China in 2023 amounted to 18.7% of the total production of this precious metal in the Russian Federation, so there are opportunities to increase its export. The specialist also noted in February 2024 that Chinese automobile companies have recently begun to prefer palladium due to its greater catalytic activity compared to platinum.

However, in addition to China, there are grounds for expanding the export of Russian palladium to South Korea, India and other countries. It is also impossible to exclude the preservation of palladium supplies to Europe, in which it is produced in insufficient quantities that do not meet the needs of the local automotive industry, the expert added.^[9]

Growth in exports of Russian pulp and paper products to China by 25.4% to 3.6 million tons

The export of Russian pulp and paper products to China in 2023 soared by 25.4% compared to 2022 and reached 3.6 million tons. This was reported in Roslesinforg on February 7, 2024.

It is noted that the key driver of growth was the supply of pulp, the import of which China increased 1.4 times in 2023, 2 million tons. In addition, the supply of paper and cardboard from Russia to the PRC increased by 48.7% and amounted to 1.6 million tons.

Exports of Russian pulp and paper products to China in 2023 soared by 25.4%

According to Roslesinforg's materials, the export of wood-chemical products from Russia to China at the end of 2023 turned out to be equal to 18.3 thousand tons in weight terms and $13.5 million in value. In the structure of export of forest chemical products, the main income in 2023 was formed due to three commodity groups: activated charcoal (27.3%), tall oil (29.4%) and alkali (30.5%), the rest of the goods accounted for only 12.8% (turpentine - 5.6%, charcoal - 3.4%, rosin - 3.8%). At the same time, more than half by weight fell on alkali (54.9%), another 25.2% - on tall oil, 13.7% - on charcoal, the share of activated carbon - 0.4%, turpentine - 2.8%, rosin - 3%.

It is also noted that in 2023, for the first time, deliveries of activated wood-based coals from Russia to the Chinese market began - 82 tons for $3.7 million were delivered to the PRC. Tall oil is also supplied to the PRC - in 2023, its exports from the Russian Federation increased to 4.6 thousand tons by $3.98 million. The alkali was exported to the Celestial Empire 10.06 thousand tons, turpentine - 0.51 thousand tons, charcoal - 2.51 thousand tons, rosin - 0.55 thousand tons - for the listed products there is an increase in comparison with 2022, but lag behind the level of 2021.

As Roslesinforg added, China has long been the largest buyer of Russian wood, and after the introduction of Western sanctions against the Russian Federation, this direction has further strengthened its position as the main one for Russian producers.^[10]

China increased annual imports of Russian grain crops by 3.7 times

In 2023, grain crops worth $325 million were imported into China, which is 3.7 times more than a year earlier, when the figure was measured at $87.4 million. This is evidenced by the data of the State Customs Administration (GTU) of the PRC, which were published at the end of January 2024. Read more here.

China increased the annual import of live crabs from the Russian Federation by a third to $755 million

At the end of 2023, Russia supplied 23.6 thousand tons of live crabs to China, which is 31% more than a year ago. In monetary terms, imports of these products increased by 17% and reached $755 million. This was announced in January 2024 by the head of the fisheries information agency Alexander Savelyev, citing data from the Shanghai Changing Island Fishing Port.

According to him, the Shanghai fishing port has become a key import point for live Russian Kamchatka crabs. In 2023, about 2.3 thousand tons were delivered here only of these crabs. In general, the total export of Russian seafood to the PRC in 2023 increased 5.3 times compared to the previous year. The key growth driver was the supply of live crabs, Savelyev summed up.

Russia delivered 23.6 thousand tons of live crabs to China

As Savelyev emphasized, the increase in the supply of live crabs put pressure on prices, so the rate of value growth is lower than the rate of increase in physical terms.

Kamchatka crab transported by sea is delivered to Shanghai within three days of production and has a high survival rate, he added in a conversation with Interfax.

According to the Rosselkhoznadzor, more than half of Russian fish products were exported to China. We are talking about pollock, herring, flounder, sardine, cod and crab. If Russia expands export supplies, some goods may not be enough for the domestic market, warns Sergei Mironov, founder of Meat & Fish restaurants.

The situation with the supply of fish to other countries is difficult. There is a fish, which is a lot, it is pollock. And it's great that it is sold to China - good foreign exchange revenue is beneficial to everyone. With the exception of dollar spikes, suppliers for some reason raised the price of pollock by 20%. On pollock, which lies in warehouses, - he said.[11]

Russian companies for the year put a record volume of plywood in China - 239 thousand cubic meters

Deliveries of Russian plywood to the Chinese market in 2023 reached 239 thousand cubic meters, which is 2.1 times more than a year earlier. Exports turned out to be a record, compared to 2021, they grew 3.3 times. This is evidenced by the data of Roslesinforg, published in early February 2024.

As Vedomosti writes with reference to the organization's materials, in monetary terms, the supply of plywood from Russia to China in 2023 increased 1.8 times compared to the previous year and amounted to $134.1 million.

Deliveries of Russian plywood to the Chinese market in 2023 reached 239 thousand cubic meters

A large share of Russian lumber in 2023 was still purchased by China - it accounted for 13 million cubic meters of lumber, which is the same as in 2022.

In 2023, Russia became the largest exporter of plywood to China - it accounted for 81.6% in physical volumes, said Lesprom Network CEO Alexei Bogatyrev. The total volume of plywood imports to China in 2023 amounted to 195,000 tons for $206 million, follows from the data of the Main Customs Administration of the PRC. Of these, 65% in monetary terms and 84% in volumes fell on Russia.

The Segezha Group told the newspaper that the group had increased the number of long-term contracts with Chinese companies for plywood supplies. About half of the volume of plywood produced by the company is sent to China, in second place is the domestic market, in third place is the Turkish market. According to Dmitry Beresnev, Vice President for Commercial Activities of Segezha, the global economy is now actively transforming and the further dynamics of supplies abroad "will depend on objective processes for the development of the global industry, regional concentration and regrouping of industries, providing for the use of plywood elements in the final product."

The publication says that in 2023 Sveza delivered "about 20 plywood trains" to China, becoming one of the largest suppliers of birch plywood to this country.^[12]

Deliveries of Russian fertilizers to China soared 1.7 times over the year

In 2023, Russia delivered 3.5 million tons of mineral fertilizers to China, which is 1.7 times more than a year earlier. This was announced at the end of January 2024 by the State Customs Administration (GTU) of the PRC. Read more here.

China increased imports of Russian chocolate 1.4 times to $55.5 million

Deliveries of chocolate and cocoa-containing products to China from Russia in 2023 in monetary terms amounted to $55.5 million, which is 1.4 times more than a year earlier ($39.4 million). This is evidenced by the data of the State Customs Administration (GTU) of the PRC, published in January 2024.

According to Interfax with reference to the Association of Confectionery Industry Enterprises (ASKOND), in physical terms, the supply of Russian chocolate to China in 2023 increased to 33 thousand tons, which is three times more than a year ago (11 thousand tons).

Supplies of chocolate and cocoa-containing products to China amounted to $55.5 million

According to ASKOND analysts, the Chinese market is returning to the position of one of the most attractive and fastest growing markets for the export of Russian chocolate and chocolate confectionery products. Partly explosive growth in the volume of supplies was the result of the effect of the low base of 2022, however, the main reasons for the success of Russian confectionery manufacturers are targeted and painstaking work on positioning products on the PRC market, strengthening trade ties with Chinese business, expanding and adapting the assortment to consumer requests, the association emphasized.

ASKOND believes that the supply of Russian chocolate will grow thanks to measures to support the state in promoting Russian confectionery products in the markets of Southeast Asia in general and the PRC in particular.

Manufacturers have high hopes, for example, for the first festival-fair of Russian goods in China, which opens on January 27 in the largest cities of Liaoning province. Russian confectioners are also counting on the start in 2024 of a project to promote Russian confectionery products under an umbrella brand, the association said in a statement quoted by the agency.[13]

Reduction in purchases of Russian plastics by China by 19% to $487.1 million

In 2023, the volume of supplies of Russian plastics and products from them to the Chinese market amounted to $487.1 million, which is 19% less than a year ago. This is evidenced by the data released in January 2024 by the Main Customs Administration of the PRC.

According to Interfax, citing statistics from the department, the export of polyethylene from the Russian Federation to China in 2023 will decrease by 30.4% compared to 2022, to $270.3 million. Polypropylene supplies amounted to $141.45 million (+ 13.1%), polystyrene - $1.97 million (11.4 times decrease), polyvinyl chloride - $18.13 million (2.7 times increase).

At the same time, the import of Chinese plastics into Russia at the end of 2023, on the contrary, showed an increase - by 20.1%, to $4.45 billion. In particular, the PRC observes an increase in cash revenues from the sale of polyethylene - up to $190.5 million (+ 29%), polypropylene - up to $114.48 million (+ 39.4%) and polystyrene - up to $62.87 million (+ 43.5%). PVC exports, on the contrary, decreased by 10.1% to $193.55 million.

According to the materials of the Main Customs Administration of the PRC, imports of rubbers, rubber and products from them from the Russian Federation to China in 2023 increased by 15.9% to $706.21 million, exports - by 46% to $2.26 billion.

In 2023, the head of Sibur, Mikhail Karisalov, in an interview with RBC TV channel, said that the company had completely redirected the supply of polymers from the European market to the Asian market, including Chinese, and began testing settlements in Russian national currency with new consumers. According to him, the share of Europe among buyers of Sibur was insignificant, only 10%. The remaining 65% -70% of products went to the domestic market.

As Karisalov explained, in 2023 the main consumer of the company is China, where 1 million tons of polyethylene and polypropylene are supplied. In addition, the PRC has a shareholder and partner of Sibur - Sinopec.^[14]

Electricity supplies from Russia to China for the year decreased by 34%

Electricity supplies from Russia to China in 2023 decreased by 34% compared to 2022 - to 3.1 billion kWh. Such data in mid-January 2024 were cited by Kommersant, citing its own calculations. Read more here.

Chernyshenko: The share of settlements in national currencies between Russia and China reached 92%

The share of settlements in national currencies between Russia and China is almost 92%. About this Deputy Prime Minister RFDmitry Chernyshenko. According to him, this indicator suggests that countries have built a highly effective system of trade and economic cooperation independent of Westerners.

According to the Deputy Prime Minister, trade between Russia and the PRC has been growing for the second year in a row by more than 25%. In 2022, it grew by 36%, and at the end of 2023, growth dynamics of 26.7% remained. This avoids the risks of sanctions from the West, Chernyshenko believes (RIA Novosti quotes his words on December 28, 2023).

Finance Minister Anton Siluanov in October 2023 cited data according to which the share of settlements in national currencies between Russia and China is 90%.

Against the background of sanctions, Russia began to move away from settlements in dollars and increasingly use national currencies. In March 2023, the president Russia Vladimir Putin said that Moscow Beijing is "increasingly" using national currencies in mutual relations. In to trade early July 2023, Putin announced that the share of transactions between Russia and the PRC rubles using and yuan exceeded 80%. The Russian president also stated that confidence in the dollar was finally lost, in connection with which Russia and China will use the ruble and yuan in equal proportions when calculating for gas.

In June 2023, it became known that Rosneft and the Chinese corporation CNPC also decided to switch to paying for raw materials in national currencies.

In September 2023, the director of the 1st Department Asia MFA of Russia, Georgy Zinoviev, noted that Russian and Chinese economic operators are massively moving away from the "toxic" currencies of Western countries and prefer the ruble and yuan.^[15]

Growth in oil supplies from Russia to China by 24% to $60.6 billion and LNG - by 23% to $5.18 billion

Russia exported 107 million tons of oil to China in 2023 by $60.644 billion, which is 24% more than in 2022. This allowed the Russian Federation to become the largest oil supplier to the PRC, the Main Customs Administration of China reported. Russia came out on top for the first time since 2018, ahead of Saudi Arabia. Chinese oil imports rose by nearly a quarter in 2023. The figures show the ineffectiveness of the so-called "price cap" introduced by the West against Russia.

At the end of 2023, Russia supplied China with 8 million tons of LNG (+ 23% YoY) for $5.18 billion. The growth in supplies for 2023 amounted to 23% compared to 2022, when China purchased 6.5 million tons of LNG from the Russian Federation for $6.883 billion.

Chinese exports of machinery and electrical equipment to Russia have grown sharply

Chinese exports of machinery and electrical equipment to Russia reached an all-time high on November 23, 2023 - the last available date.

Growth of trade turnover by 26.7% in 11 months to $218 billion

The trade turnover of Russia and China in January-November 2023 increased by 26.7%, amounting to a record $218.17 billion, the goal set for 2024 has already been achieved, the PRC customs said on December 7.

The largest contract for the supply of grain: 2.5 trillion rubles for 12 years

October 17, 2023 Russia China and signed the largest contract for the supply of grain - by almost 2.5 trillion. rubles The contract involves the shipment of 70 million tons of grain, leguminous and oily goods over 12 years.

Karen Hovsepyan, leader of the New Land Grain Corridor initiative, told TASS that this contract will help normalize the export structure within the Belt and Road.

The situation lies in the fact that we are definitely more than replacing the fallen volumes of Ukrainian exports at the expense of Siberia and the Far East, "he said.

Karen Hovsepyan also announced the launch of a land grain initiative, noting that in late November - early December 2023, the heads of the Russian Federation and the PRC will sign an interstate agreement on the "New Land Grain Corridor." Earlier it was reported that the Trans-Baikal Grain Terminal, which began work on September 6, 2023, should become a key element of the New Land Grain Corridor Russia - China project. Hovsepyan clarified that it is he who will increase the export of Russian grain to the PRC to 8 million tons, which in the future, due to the construction of new infrastructure, is planned to be brought to 16 million tons.

Political scientist, candidate of political sciences Dmitry Evstafiev believes that the agreement can be considered between the PRC and the Russian Federation as a real grain deal, unlike the Black Sea initiative.

This is the answer to those - both in the West and in Russia - who wanted to return Russia to the grain deal on the Black Sea. By the way, this is the answer to Recep Tayyip Erdogan (President) Turkey , which can already be agreed. In reality, this means that China does not count on Ukrainian grain. This means that China is no longer a player in the Ukrainian grain market, he said.[16]

Trade turnover growth by 29% in 9 months to $176.4 billion

The trade turnover of Russia and China for 9 months of 2023 increased by 29.5% and amounted to about $176.4 billion - the main customs department of the PRC. China imported goods to the Russian Federation for almost $81.4 billion, imported from Russia for about $94.9 billion.

China lifted restrictions on pork supplies from Russia after 15 years

The Main Customs Administration (GTU) of the PRC has lifted 15-year restrictions on pork imports from Russia. This was announced on September 28, 2023 by the press service of the Rosselkhoznadzor. As noted in the department, such a decision was made based on the results of a risk assessment and an analysis of the state control system of African swine fever (ASF) in the Russian Federation.

It is noted that the inspection and quarantine requirements for Russian pork exported to China will be formulated separately by the GTU of the PRC. Supply restrictions were introduced in 2008.

The decision of the Chinese authorities opens up new opportunities for the development of pork exports from Russia, believes Natalya Bartnovskaya, director of foreign economic development at Cherkizovo, and may affect the growth of this type of meat in the country.

The Rosselkhoznadzor stressed that for 10 years, since 2013, the department has been carrying out large-scale work to ensure the admission of pig-breeding products to the Chinese market. The multi-stage procedure included a negotiation process, including within the framework of specialized bilateral working groups, the organization of visits by Chinese representatives to Russia to familiarize themselves with the tools of state supervision of the safety of pig products, work on the prevention, diagnosis and prevention of the spread of ASF, the activities of research institutes and laboratories of the Rosselkhoznadzor, as well as the preparation of extensive materials on all requests of the GTU PRC.

As of September 25, 2023, the Rosselkhoznadzor has identified 72 outbreaks of ASF since the beginning of the year, of which 41 are among domestic pigs. ASF is not dangerous for humans, but when the virus passes to the territory of another state, the risk of a reduction in the number of pigs increases. On September 25, the Southern Interregional Directorate of Rosselkhoznadzor announced that 57 thousand pigs would be eliminated in the Krasnodar Territory in September 2023 due to the spread of African plague among animals.^[17]

The problem of accumulation of empty containers in Russia after the supply of goods from China

China sells so many goods to Russia that it leads to an oversupply of empty containers. As of September 2023, there are 150 thousand extra cargo containers in Russia, which railway depots can hardly cope with.

"There is a significant movement of goods from China to Russia, but very insignificant movement of goods from Russia back to China. This has an extremely negative impact on the container logistics business due to the large supply and demand imbalance. "

While illegal sanctions by the U.S. and its allies have cut off old trade ties, Russia's trade with China is booming.

China is Russia's biggest trading partner by a giant margin

At the end of August 2023, China is Russia's largest trading partner.

Trade turnover growth by 40% to $114 billion in the 1st half of the year

The turnover China Russia from in the first half of the year reached $114.5 billion, an increase of 40.6% compared to 2022.

Oil exports from Russia to China break records

In June 2023, the volume of oil supplies from Russia reached 10.5 million tons, an increase of more than 40% compared to the same period last year.

Earlier in March 2023, China purchased a record volume of oil in Russia. Chinese state-owned oil giants and large private refiners are pushing out small buyers in the fight for cheap Russian oil. Hengli, Shenghong joined the purchases of Russian oil.

Trade turnover growth by 40% to $93.8 billion in 5 months

The trade turnover of Russia and China in January-May 2023 increased on an annualized basis by 40.7%, reaching $93.8 billion. This was reported on Wednesday by the Main Customs Directorate of the PRC.

As follows from the published data, exports from China to the Russian Federation in five months increased by 75.6% and amounted to about 42.95 billion. dollars Imports of Russian goods and services increased by 20.4%, to $50.85 billion.

Russia ranks 1st in car imports from China

In the first 5 months of 2023 China , it exported Russia many more cars than anywhere else.

Difficulties with the supply of wheat from Russia to China remain

Although China said in 2022 that it would allow wheat imports from all regions of Russia, trade is hampered by a range of problems, including phytosanitary norms and transport difficulties.

Growth of trade turnover in the first quarter by 38% to $53 billion

The trade turnover of Russia and China in January - March 2023 increased on an annualized basis by 38.7%, reaching $53.84 billion. This was reported by the Main Customs Directorate of the PRC.

Chief economist at the Institute of International Finance (IIF) Robin Brooks in April 2023 confirmed the obvious fact: "All our sanctions have done is change the trade balance."

Imports of goods to Russia remained practically unchanged from 2021, because mainly China (red) made up for falling imports from the West (blue).

In March 2023, Chinese exports to Russia soared by 136% in annual terms, the PRC General Customs Administration reported.

The main export markets of Russia I quarter 2022 - > I quarter 2023 in% of the total export value.

1. China: 14% - > 33%

2. India: 2% - > 15%

3. Turkey: 8% - > 15%

4. West: 40% - > 15%

5. South Korea: 4% - > 3%

6. Brazil: 1% - > 2%.

Russia is the largest importer of passenger cars from China at the beginning of the year

Record oil supplies from Russia to China

The flow of Russian oil to China by mid-February 2023 reached the highest level since the outbreak of the conflict in Ukraine, the resumption of work of the world's largest importer of energy resources is gaining pace.

Russia came out on top in January in gas supplies to China

Russia in January 2023 came out on top in terms of natural gas supplies to China, bypassing Turkmenistan and Qatar. Total supplies of Russian fuel to China amounted to 2.7 billion cubic meters. m, while the volumes of the other largest suppliers - Turkmenistan and Qatar - amounted to 2.2 billion cubic meters. m and 1.9 bcm. m, respectively.

2022

Imports of cars from China to Russia increased by a third

Imports of passenger cars from China to Russia in 2022 increased by 33.4% compared to 2021 and reached 162 thousand cars. This was announced in early April 2023 by the PRC in the Russian Federation Zhang Hanhui. Read more here

Freight turnover of Russian Railways with China increased by 28%

In 2022, the Russian Railways (RZD) transported the maximum volume of cargo in the entire history in the eastern direction - 276 million tons. This is 3.3% more compared to 2021, said Deputy Head of Russian Railways Alexei Shilo in mid-February 2023. According to him, the record was also the transportation of goods in communication with China - 123 million tons (+ 28%). Read more here.

The share of Russia's dependence on imports from China amounted to 40%

At the end of 2022, China began to provide more than 40% of Russia's commodity imports, becoming the main trading partner due to Western sanctions. As a result, the Russian Federation came in second place after North Korea in terms of dependence on the Celestial Empire. This became known at the end of January 2023.

According to the head of the Institute of Countries with Transition Economies at the Bank of Finland, Iikka Korhonen, before the start of the special operation in Ukraine, China provided about a quarter of Russian commodity imports.

This means that from the point of view of imports, Russia is now, if not the most dependent on China, then the second after North Korea, - he assessed the situation. Strong dependence will only grow, Korhonen is sure. But so far imports from China are insufficient to fill the deficit of Western components, the economist noted.

Korhonen added that in exchange for continuing trade Russia with PRC companies, they want something in return, for example, discounts on. oil

Ingrid Opdal, a professor at the Norwegian Institute for Defense Research, believes that the dependence of the Russian economy on China will only increase over time. In her opinion, if Russia wants to organize stably functioning supply chains bypassing Western sanctions, it will be impossible to do without the help of China.

The costs of such schemes will eat up margins, she stressed and added that many Chinese companies fear secondary US sanctions.

According to the PRC customs, at the end of 2022, goods worth $114 billion dollars (+ 43.4%) were sent from the Russian Federation to the Celestial Empire, and Chinese exports of goods Russia to turned out to be significantly less - $76 billion (+ 12.8%). Thus, the PRC received much more from Russia than it "gave."

Alexander Daniltsev, director of the Institute for Trade Policy at the Higher School of Economics, says that approximately 70% of Russian exports to the PRC are raw materials, energy resources, and wood.^[18]

China became the largest importer of passenger cars to Russia

China became the largest importer of passenger cars to Russia in 2022. During this period, 117 thousand cars were delivered from the PRC, which is 40% more than a year earlier. This is evidenced by the data of the Federal Customs Service (FCS), which were disclosed at the end of January 2023. Read more here.

Growth in gold exports from Russia to China by 67%

PRC customs reported an increase in gold supplies from Russia in 2022 by 67%. According to China's main customs authority, Russian companies delivered 3.7 tons of unprocessed gold and 2.96 tons in semi-processed form over the year.

Imports of Chinese smartphones in Russia in money decreased by 24%

Imports of Chinese smartphones in Russia in money by the end of 2022 decreased by 24%, according to data from the PRC customs, which are cited in the American non-profit organization Silverado Policy Accelerator. The report does not specify the revenue from the supply of devices, but gives only an indicator in physical terms - in 2022, Chinese suppliers exported about 21.2 million smartphones to the Russian Federation. Read more here.

Imports of solar panels from China to Russia for the year decreased by 41%

Deliveries of solar panels from China Russia in 2022 amounted to 20 MW, which is 41% less than a year ago. We are talking about products purchased by individuals or businesses for their own energy supply. Such data in January 2023 was announced by the company "" Volta Energy(the official distributor of the Russian plant). "Hevel"

As Volta Energy director Nikolay Popov told Kommersant, the brands Delta, Sunways, Sila and Longi accounted for more than half of the imports of solar panels.

The volume of panel imports from China in 2022 was the lowest in the previous two years. So, in 2019, the volume of supplies of Chinese panels was about 8.6 MW, in 2020 - 26.6 MW, and in 2021 - 34.1 MW. At the same time, the volume of sales of domestic Hevel modules has not changed in relation to 2021 and amounts to 4-5 MW, Popov said.

Sales of solar panels in Russia at the end of 2022 decreased mainly due to the uncertain situation in the business, which, against the background of negative news, postponed transactions or paused, says Dmitry Konyaev, commercial director of Smart Energy. His company in 2022 reduced sales of solar power plants (SES) by almost a third, to 1.7 MW.

Moreover, individuals increased purchases, because due to fears of a military threat, people asked to install more expensive autonomous systems with energy storage for country houses, Konyaev explained.

A major customer of SES in Russia was enterprises included in international supply chains, for example, in the field of FMCG or auto components, says Sergey Rozhenko from Kept.

The second consumer was the private house-building of the business and premium segment, where the panel on the roof is rather a beautiful attribute of the owner's progressiveness, the analyst said, noting that demand has decreased in this segment.^[19]

Russia's record surplus in trade with China - $38 billion

China's trade deficit with Russia in 2022 reached a record $38 billion amid a sharp rise in world energy prices.

The world's second largest economy bought $114.1 billion in goods from Russia in 2022, which is 44% more than a year earlier, data from the Main Customs Administration of China showed. By comparison, China's total imports from around the world grew by just 1.1% over the year.

Exports to Russia from China in 2022 increased by 12.8% and amounted to $76.12 billion.

Russian-Chinese trade grew by a third over the year and reached $190 billion

Russian-Chinese trade grew by 27% over the year and is approaching $200 billion, the Chinese Foreign Minister said at the end of December 2022. In 2021, it amounted to $146.9 billion. Also over the year, the calculation in national currencies in trade between countries has significantly increased.

Later it was reported that the trade turnover of the countries grew by 29.3% and reached $190 billion. In 2017, the trade turnover of Russia and China amounted to about $80 billion, in 2019 - $110 billion.

China has become Russia's unconditional and uncontested trading partner.

According to the export structure of goods from Russia to China, it follows that approximately 78% of the export structure is made up of fuel and energy complex products, about 4-5% of wood (where almost 3.5% is unprocessed wood), 8-10% of metals (about 3.3% are ores and concentrates) and 5% of agricultural products and fertilizers, where mainly fish by 2.5%.

In the structure of Russian exports, about 98% is occupied by raw materials in value terms, mainly zero and low redistributions, i.e. crude oil, not oil products, gas, not petrochemical products, unprocessed wood, not wood products, metal in primary forms, and not metal products and so on.

The share of trade between Russia and China in national currencies reached about half of the turnover

In January 2023, Russian Foreign Minister Sergei Lavrov said that the share of trade between Russia and China in national currencies reached about half of the turnover, it will increase. The trade turnover of Russia and China will soon be considered in rubles and yuan, and not in dollars.

Agricultural trade growth to $6.64 billion in 10 months

Chinese Ambassador to the Russian Federation Zhang Hanhui said in December 2022 that Russia is China expanding the scale of trade agricultural in products, products of the chemical industry, electromechanical products. In particular, in the period from January to October 2022, the total volume of agricultural trade between China Russia and reached 6.64 billion US dollars , an increase of 37.1% compared to last year.

Transition to payment for energy supplies in rubles and yuan

Russia and China are switching to paying for energy supplies in national currencies, the payment for Russian gas is already carried out on a parity basis in rubles and yuan, Alexander Novak said in November 2022.

Russia and China should soon reach an intergovernmental agreement on the Far Eastern route of gas supplies to the Chinese market.

Chinese companies ask the PRC government to ensure the preservation of oil imports from Russia after new sanctions

China's largest oil companies asked Beijing for help in November 2022 to ensure the flow of Russian imports following new sanctions against Moscow, which will take effect in December.

State refineries are concerned about their ability to work through the payment channels, logistics and insurance needed to continue buying oil from Russia beyond Dec. 5, people with knowledge of the matter said, who asked not to be named.

Some solutions put forward include increasing the volume of Russian oil transported through pipelines, setting up a dedicated bank to process payments and communicate with Moscow, and using more shipping to address direct supply between the seller and buyer, the sources said.

Russia is in second place in terms of pipeline gas supplies to China. The cost of importing pipeline gas from the Russian Federation to the PRC for 10 months increased by 182%. The volume of Russian LNG supplies to China increased by 32% and oil - by 9.5%.

September trade decline as China cuts coal and oil purchases

in China September 2022 reduced purchases of coal and oil from. In Russia September 2022, Russia's trade turnover China decreased compared to the previous month, Chinese statistics published with an unprecedented delay showed. Supplies of Russian coal decreased by 19%, and crude - oil by 10.5%.

Exports of Russian coal to China fell due to the transport collapse of Russian Railways. The railway network was unable to quickly deploy the export of raw materials to the east.

At the same time, in September, China imported a record amount of Russian LNG and coking coal, and the total volume of purchases of power goods exceeded 50 billion. dollars UNITED STATES.

Imports to the Russian Federation grew fastest in September from Turkey (its volume was 2.3 times more than a year ago), Kazakhstan (41% more) and China (21%). China's share in imports of the Russian Federation reached 43% against 30% at the beginning of the year.

Trade turnover growth for 8 months by 31% to $117.2 billion

The trade turnover of Russia and China in January - August 2022 increased by 31% in annual terms - to $117.2 billion - FCS.

Trade turnover of Russia and China for 7 months increased by 29% to $97.7 billion

The trade turnover of Russia and China for 7 months of 2022 increased by 29% on an annualized basis, to $97.7 billion.

China's exports to Russia during the same period grew by 5.2%, to $36.3 billion. Russian imports to China - by 48.8% (up to $61.45 billion).

In July, trade amounted to $16.79 billion. At the same time, exports from China to the Russian Federation reached $6.771 billion, and imports from the Russian Federation to China - $10.019 billion.

Strong trade growth with China in the 1st half of the year

HSE experts noted trends to trade Russia in the key economies of the Asia-Pacific region for the first 6 months of 2022:

Trade with China grew by almost a third (from $63.43 billion to $80.92 billion), imports showed positive dynamics.

The growth of imports from Russia and the reduction of exports after the start of the special operation of the Russian Federation in Ukraine

After the outbreak of the conflict in Ukraine, China's exports to Russia decreased.

Russia occupies only 2.4% in Chinese exports of $3 trillions and is not included in the top 10 largest trading partners. Even to Mexico, Chinese companies sell 1.5 times as much, let alone the United States.

Therefore, China is reducing exports to Russia: Chinese companies are obviously afraid of losing access to the American and European markets and are ready to sacrifice Russian, whose role is "extremely small," Yale economists write.

According to Chinese statistics for May 2022, its exports to Russia fell by 38% compared to the same period last year.

In March 2022, Chinese companies sold goods worth $3.8 billion to Russia, which is 7.7% less than a year earlier. This is the lowest figure since May 2020, when global trade was hit hard by the COVID-19 coronavirus outbreak. China's imports from Russia rose by 26.4%.

At the same time, exports from China to Russia of chips and other electronic components and raw materials, some of which have military applications, have increased since the outbreak of the conflict in Ukraine, complicating efforts by the United States and its allies to isolate the country's economy and weaken its military.

Shipments of chips from China to Russia in the first five months of 2022 more than doubled to about $50 million, according to Chinese customs data. The export volumes of alumina, which is used to produce metallic aluminum, an important material in the arms and aerospace industries, are 400 times higher than in 2021.

Trade turnover growth with China by 38% in the first two months

In the first two months of 2022, trade between Russia and China grew by 38.5% and amounted to $26.431 billion.

Chinese exports to Russia in January-February grew by 41.5% in annual terms and amounted to 12.617 billion, supplies from Russia to China increased by 35.8%, amounting to 13.813 billion.

2021

PRC customs: Trade between Russia and China soared by 36%, to $146.88 billion

The trade turnover of Russia and China in 2021 increased by 35.8%, to $146.88 billion, which became a record, follows from the data of the Main Customs Administration of the PRC, published on January 14, 2022.

According to TASS, citing published statistics, in 2021, the export of goods and services from China to Russia increased by 33.8%, to $67.56 billion. Imports from Russia to the Celestial Empire increased by 37.5%, to $79.32 billion.

First Vice President of Opora Rossii Pavel Sigal believes that imports of Russian goods to China have grown, primarily due to an increase in world prices - this, he is sure, was the main reason for the growth of trade between our states.

The growth of trade between Russia and China in 2021 is still associated with several groups of factors, said, in turn, chief analyst TeleTrade Mark Goikhman. In his opinion, a certain "deferred demand" affected, transferred from the acute "pandemic" (coronavirus pandemic COVID-19) of 2020 with its lockdowns in our countries, restrictions on supplies, transportation, consumption. Economic recovery has increased both demand and supply in foreign trade areas.

The official representative of the Ministry of Commerce of the People's Republic of China, Shu Jueting, said that in order to increase economic interaction with Russia, China plans to actively promote the development of e-commerce. She also confirmed that the authorities of the two countries in the future intend to increase the annual bilateral trade turnover to $200 billion, since "there are favorable trends for this."

China is increasing trade not only with Russia, but also with its longtime partner. At USA the same time, Sino-American trade increased by 28.7% in 2021, exceeding $755.6 billion. Chinese imports from the United States grew by 2.7% to $179.53 billion, Chinese exports reached $576.1 billion, an increase of 27.5%.^[20]

According to the Russian customs, from January to December 2021, the volume of trade between the PRC and Russia amounted to $130.4 billion, which is 33.6% more if compared with the same period in 2020. At the end of 2020 ($107.77 billion), there is a 14-fold increase from $8 billion in 2000.

Customs of the Russian Federation: The volume of trade between China and Russia increased by 33% to $130.4 billion

According to customs statistics, from January to December 2021, the volume of trade between the PRC and Russia amounted to $130.4 billion, which is 33.6% more if compared with the same period in 2020. At the end of 2020 ($107.77 billion), there is a 14-fold increase from $8 billion in 2000.

Russia is China's ninth largest trading partner

The rise of Chinese imports in the 1st quarter by 48%

Chinese imports to Russia in the first two months of 2021 increased by 48% in annual terms and amounted to $8.92 billion.

2020

Growth in imports from China by 1.4% to $54.908 billion

In 2020, imports from Asia accounted for 44.3% of Russia's purchases . Imports to the Russian Federation from China increased by 1.4%, to $54.908 billion.

Maintaining trade with China in full for the first 3 quarters

In January-September 2020, the Sino-Russian trade turnover reached $78.84 billion, having decreased by only 2% compared to the same period in 2019 due to imports.

2019

China, Germany and Belarus lead in terms of imports to Russia

In early September 2019, Russia and China agreed to increase trade from $120 billion to $200 billion by 2024. This is a completely feasible figure. If now Russia supplies to China mainly metal, oil, gas, and China to Russia - light industry products, then soon the range of products will become more complex. Russia may begin to supply China with agricultural goods, and China to Russia with mechanical engineering products and service solutions, such as financial services.

Assessing the prospects for relations between the two countries, it is worth noting that over time we will see good infrastructure projects in Russia China within the framework of the New Silk Road. Most likely, China will be interested in absorbing large Russian companies in order to integrate them with its enterprises to strengthen their positions.

The driver of the growth of the Chinese economy is also the concept of the "New Silk Road," covering a vast territory. Colossal funds are allocated for implementation: the volume is twice the annual GDP of Russia. Throughout the route from Central and Central Asia to Europe and Third World countries, it is planned to invest in construction, infrastructure, and new industries. In particular, electrical engineering and production companies of China will definitely take part in the implementation of telecom projects that will affect the entire "path," including the countries of Africa, Bangladesh, Pakistan. Therefore, undoubtedly, the projects of the "New Silk Road" will feed the electrical industry.

The share of payments from China to Russia in euros increased 4 times

The share of foreign trade payments from China to Russia in euros at the end of 2019 turned out to be 45.6% against 12% a year earlier and 3.3% in 2017, according to data from the Central Bank of the Russian Federation.

According to the regulator, the European currency in 2019 became the main currency received by the Russian side from Chinese buyers. The share of the dollar in payments from China in Russia, on the contrary, is decreasing. In 2018, it was 75.1%, and a year later - already 38.7% from 75.1%. For comparison, in 2014 the figure was 97.1%.

As for the ruble, its share in the structure of settlements for the supply of goods and the provision of services under foreign trade contracts from China increased to 8.7% in 2019 from 7.5% in 2018, in yuan - to 7% from 5.4%.

The report also says that when transferring from the Russian Federation  to China , US dollars also gradually lose their priority, although so far they are still used more often than other foreign currency means of payment - in 2019 their share decreased to 63.8% from 72.1% in 2018.

Russia's trade turnover has decreased over 5 years with all key partners except China

Notes