China

Russia Says Trade with China Will Hit $200 billion by 2024

FILE PHOTO: Men move bags of goods for export in front of a trading centre that houses shops and offices with Russian goods and services, in Beijing, China April, 1 2022. REUTERS/Tingshu Wang

The Russian government has issued statements saying it expects commodity trade with China to grow and that overall trade between Russia and China will hit some $200 billion by 2024.

Russia faces increasing isolation from the West, but China has not condemned Russia’s invasion of Ukraine and has criticized Western sanctions. The two countries have bolstered ties in recent years, including announcing a “no limits” partnership in February.

“We are focused on achieving the goal set by the heads of state to bring bilateral trade turnover to $200 billion by 2024,” Georgiy Zinoviev, head of the Russian foreign ministry’s first Asia department, told Russian news agency Interfax. “Moreover, we suggest that reaching this ambitious figure earlier than planned is quite possible.”

With Russian trade buffeted by sanctions, Zinoviev said time was needed to adapt. He said China’s struggle with covid in recent weeks was also a factor that could complicate efforts.

“Chinese business remains interested in expanding its presence in Russia, for whom additional opportunities are opening up given the departure of some Western companies,” Zinoviev said.

He acknowledged the risk of secondary action that Chinese companies could face if they help Russia circumvent sanctions, but said that a significant increase in cooperation was likely nonetheless.

“It is clear that in the current situation many Chinese economic operators have to exercise caution, given the likelihood of secondary sanctions,” said Zinoviev.

“I am convinced our partners and us will be able to use the current situation to our common interests and fully unlock the potential for a significant increase in cooperation in all areas.”

Reuters. with editing by Neal McGrath

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Neal McGrath

Neal McGrath is a New York-based financial journalist. Neal started his career covering the Asia-Pacific region for the Economist Intelligence Unit, then joined Asian Business magazine. He's subsequently held a variety of editorial positions covering business, economics, finance and sustainability. Neal has lived and worked in Hong Kong, Singapore, Germany and the US.