After North Korea, Russia became most dependent on economy

Prior to the start of the war in Ukraine, China provided about a quarter of Russian commodity imports, but now this share should be “much higher than one third, perhaps 40%,” said the Russian Conference 2022 in Oslo, head of the Institute of countries with transitional The economy at the Bank of Finland Iikka Korhonen. It is reported by RBC.

“This means that from the point of view of import Russia now, if not the country’s most dependent on China, then the second after North Korea,” the economist said.

Korhonen believes that this dependence will only intensify. The Adjunct Professor of the Norwegian Institute of Defense Studies Ingrid Opadal agrees with him. According to her, this was the result of the “turning of Russia to Asia.”

“China’s industrial potential has grown greatly in recent years. China is developing rapidly, and their abilities will continue to grow,” added a senior researcher at the Norwegian Institute of International Relations Arne Melchior.

However, so far the import of China is unable to replenish the deficiency of Western products, Korhonen noted. This is especially true for goods in the sanctions lists of the EU or the USA.

Korkhonen also said that in exchange for continuing trade with Russia, Chinese companies want something in return. “According to Chinese foreign trade data, we see that they purchase Russian raw oil 16-17% cheaper than in other countries,” the economist said. Until 2022 there were no such discounts. “That is, Chinese importers benefit from this situation. I think that it is similar in Chinese export,” he added.

The Russian-Chinese turnover in January-October 2022 increased by 33% compared to the same period of the previous year, to a record $ 153.9 billion, Chinese customs said on November 7. More than 50% of the PRC exports to Russia are now in the categories of equipment, mechanical devices, electrical machines, electronic equipment and ground transport (group 84-87 of the international commodity nomenclature of foreign economic activity).