America

China-Russia trade soars despite US President Joe Biden warning Beijing of ‘consequences’

Beijing, August 10: Trade with China and Russia has increased compared to last year. US President Joe Biden has warned Beijing that there will be consequences if China helps Russia evade sanctions.

Chinese companies remain cautious about selling to Russia due to Russia’s economic situation and concerns about secondary sanctions from Western countries. “The US fears a possible further development of relations between China, Russia and India,” reports Chinese state media.

According to official data, from February to April 2022, Beijing’s LNG imports from Russia increased by 50 percent from the same period last year, according to customs data. But China’s exports to Russia fell by 17% from the think tank’s, the Russian Council on International Affairs reported.

But China rejects the sanctions as illegal because the United States, Europe, and Japan cut Russia off from the market and the global banking system without going through the United Nations, which Beijing and Moscow have veto powers on.

Risks to Chinese companies remain unresolved, as China could be penalized for losing access to valuable Western markets if it expands its trade with Russia.

The Chinese embassy in Moscow has announced that it will increase the number of commercial flights from Russia to China from two times a week to eight times a week.

The Global Times reported that a Russian company has launched a chartered ship to China to ensure the delivery of various commodities such as raw materials amid transport disruptions caused by Western sanctions.

Russian companies Inteco and Swift Transport Group are jointly providing container shipping services between Vostochny in the Russian Far East and a Chinese port city, according to the think tank.

Since Russia’s central bank lifted restrictions on foreign currency purchases, Russians have rushed to buy the renminbi to diversify their holdings from dollars and euros. RMB demand he increased eightfold.

According to the Moscow Exchange, trading volume in ruble yuan reached a record US$703 million. However, global investors remain cautious when it comes to investing in China.

China appears to be emerging as the clear winner in the Russian-Ukrainian conflict. The crisis has put China’s economy back on an upward trajectory after declining in the pre-crisis period. It would be worth digging deeper to analyze whether the Russian-Ukrainian stalemate weakened or encouraged China.

(This is an unedited article auto-generated from a syndicated news feed. LatestLY staff may not have changed or edited the content body)



https://www.latestly.com/agency-news/world-news-chinas-trade-with-russia-spikes-even-as-us-warns-beijing-of-consequences-4065326.html China-Russia trade soars despite US President Joe Biden warning Beijing of ‘consequences’

Back to top button