Anti-Russia sanctions trigger Russian-Chinese trade growth, says deputy minister

Tass ^ | March 15, 2019

[NorseViking]

According to the Russian deputy foreign minister, due to sanctions the trade turnover between western countries and Russia has dropped by $300 bln

BRUSSELS, March 15. /TASS/. Anti-Russia sanctions imposed by western countries have spurred the growth of trade between Russia and China and the development of transport infrastructure, Russia’s Deputy Foreign Minister Alexander Pankin on Friday.

"Sanctions against Russia have freed a considerable number of niches on the Russian market to the joy of China, and now Russia as well. That has enabled us to create new trade and logistics routes, new investment opportunities," he said.

According to Pankin, due to sanctions the trade turnover between western countries and Russia has dropped by $300 bln. "We all who could have made money from international trade, have lost those funds," he noted.

[rrrod]

Riiiiight.

[Zhang Fei]

I expect the Chinese are raping the Russians the way they are the Iranians. Notice how the Iranians are on the verge of economic collapse after decades of embargo evasion by the Chinese? TANSTAAFL.

[JudgemAll]

Obama era Fatca regs and dollar usage restriction lead to Russia falling in the Yuan Chinese orbit

The three large money poles are EU, US, China, and EU is garbage make believe, while US dollar over regulation and lack of gold backing like in China risks its influence

[NorseViking]

I don’t think it is that extreme but of course China benefits more the way things are going.

[BeauBo]

It is part of China’s “small scale” invasion plan for Russia, where they gradually infiltrate lots of small teams, of only a few million each.

[BeauBo]

Unlike Russia, where leadership turns over to new people over the decades, in China, the very same clique of families remain in control of the Chinese Communist Party (and now huge personal fortunes), as ran the country during their long hostility with the Soviet Union.

Their grudges are not forgotten, and they have shown that they take a very long view to settling accounts.

[NorseViking]

In fact yes but the grudges are dating back to 19th century and for that reason I believe developing Chinese ties is a blunder on Russia’s side.
Chinese perception of Russia is that of Mexican perception of US and the situation aggravated by the fact that in their case China is much more populous and now also wealthier with a gap widening.
China wants revenge for percepted mistreatment in the past and the day Russia would loose the military edge it won’t end well.

[mac_truck]

A key number, the percent of trade between the two countries that was conducted in their own national currencies, was close to 19% in 2018...up from 15% the year before.

[NorseViking]

There are basically two threats to usd. First is a growing debt and the second is abuse of usd using arbitrary sanctions.
The first problem was for many years mitigated by the fact that everyone was tied to usd and nobody was interested in its failure. Then came euro which is backed by rather strong economy but politically a midget power and then yuan.
This situation is somehow a game changer unseen since after WWII but for many reasons dollar somehow still has an upper hand.
Sanction policies are fueling affected sides to look into alternatives. The larger the players affected the more dangerous it is for usd. I think China and Germany are the keys to it. Right now they are too much invested in usd but the more it bites the more dangerous it is to usd.
Russia is too small to make difference but there are Russian related issues important to China and Germany which are affected by US sanction policies. Namely Russian weapons exports to China and Russian pipelines to Germany.