“Russia and China, like good neighbors, cannot be separated”

Decline in trade between the Russian Federation and the PRC after record growth

The speech of the federal Minister of Industry and Trade Anton Alikhanov, who specially flew to Kazan to participate in the plenary session of the forum, заметно sobered up Tatarstan and Chinese businesses. It turned out that the Russian authorities have stopped looking at mutual trade with China through rose-colored glasses and even intend to set certain requirements for cooperation so as not to affect the interests of Russian companies.

The head of the Ministry of Industry and Trade emphasized that the People's Republic of China remains Russia's leading trading partner, but trade relations and investment projects will be subject to approval at the level of special commissions under the guidance of профильные vice premiers. “China is a priority partner in economic cooperation, and competencies and support measures will give a synergistic effect," he assured.

Now the dynamics of foreign trade between the two countries is not encouraging. Trade turnover began to slow down and is declining, he said. This is especially noticeable against the background of record growth in 2024.

“For many years, China has been our leading foreign trade partner. Last year, a record trade turnover was reached — almost $245 billion. Russia took seventh place in the ranking of states that are China's main trading partners. At the same time, our trade turnover is balanced — exports and imports are comparable in volume," he said.

How much the foreign trade turnover with the People's Republic of China fell this year was not specified. But the minister made it clear that the reduction turned out to be sensitive for the business of both countries. “Trade is an important factor in the strategic partnership of the two countries, less subject to market conditions, but this year we are recording a decline," Alikhanov said.

Among the reasons, negative consequences were named — sanctions, volatility in certain commodity markets. Before that, the export was based on mineral products, metals, food, machinery, wood, pulp and paper products.

The depth of the trade decline is estimated by independent experts at 10%. According to Russian media, in the first half of 2025, trade between Russia and China decreased by 9.1%, amounting to $106.5 billion. Exports from Russia to China decreased by 9.6%, and imports from China to Russia — by 8.4%.

Aviation industry and IT: where they are waiting for the Chinese

The head of the Ministry of Industry and Trade of the Russian Federation predicts that the trend of reducing the volume of trade with the People's Republic of China will have a stable trend. “In the medium term, moderate growth rates of mutual trade should be expected," he warned. According to him, mutual trade growth should be expected “with a consistent increase in the share of high-tech products," that is, deliveries of innovative products that do not compete with local products will be welcomed.

Based on these priorities, the authorities will regulate trade relations. According to Alikhanov, there are currently five permanent commissions at the level of deputy prime ministers of the Russian Federation that cover all aspects. At the same time, there is a saturation of Chinese products and goods within the Russian Federation.

Investment projects for industrial cooperation with the People's Republic of China are being considered at the level of two intergovernmental commissions, Alikhanov specified. Currently, the intergovernmental commission on investments has received 63 initiatives worth $130 billion. “Half затрагивают joint interests in metallurgy, chemical, automotive and electronic industries," he clarified.

The final decisions will be announced next week in Beijing. According to Alikhanov, a separate special commission under the government of the Russian Federation is preparing preparatory materials for the meeting of the heads of state of the Russian Federation and the People's Republic of China.

Anton Alikhanov also listed those projects where Chinese partners are especially expected. According to him, the most successful will be initiatives that предполагают investments in joint ventures, technology transfer and the introduction of new technologies. “Priority areas are the development of a wide-body aircraft and a project to create a promising heavy helicopter. There are plans to expand cooperation in the field of electronic devices for printing," he outlined. Large investors are offered the conclusion of agreements on the terms of SPIC.

How mutual trade is seen in the regions of the Volga Federal District

After such a reprimand, the moderator of the session, the director of the Eurasian Bureau of China Media Group Wang Bin, asked what prospects for cooperation in the regions are seen. The head of the host side, Rustam Minnikhanov, took the floor.

“Russian-Chinese relations, which have a history of more than 400 years, have reached an unprecedented level of trust and understanding," Minnikhanov noted. “This allows us to jointly respond to the challenges of the modern world and contribute to strengthening global stability.”

Speaking about the economy, he once again repeated that turnover with the People's Republic of China amounted to $3.3 billion, and the share of investments from the People's Republic of China is 86%. The global household appliances manufacturer Haier is building its sixth plant and a technopark in Naberezhnye Chelny. In addition, a logistics center with an area of 670 thousand square meters is being created. Eight thousand tourists visited Tatarstan thanks to direct flights from Kazan to Shanghai. Speaking about investments, he would like to see promising IT technologies in Tatarstan.

“ROSSTKI” as a rehearsal before Putin's visit to Beijing

Chinese TV presenter Wang Bin never tried to ask a provocative question during the session, which distinguished him from relaxed, in a good sense of the word, Russian journalists. Addressing a high-ranking guest, the ambassador of the People's Republic of China to the Russian Federation, he showed utmost respect. He asked him a similar question about how he assesses the relations between the two countries. “Sino-Russian relations in the new era have become more mature and durable. Interregional ties are strengthening, and cooperation between the provinces in the upper reaches of the Yangtze River and the Volga regions is exemplary," Zhang Hanhui replied to him.

It turned out that his visit was not accidental. The forum itself became a kind of rehearsal for Vladimir Putin's visit to China, which will take place at the end of August this year. This was announced by the secretary of the party group of the Communist Party of China and the chairman of the Chinese People's Political Consultative Conference of Hubei Province, Sun Wei.

“Russia and China, like good neighbors who cannot be separated, are together in joy and sorrow," he said.

According to him, the forum is developing together with Russian-Chinese relations, their scale is expanding, and its results will strengthen the influence in shaping consensus and promoting. “At the end of this month, the President of Russia will visit China to participate in events dedicated to the 80th anniversary of the victory of the Chinese people in the war with the Japanese invaders," Sun Wei said.

After that, the chairman of the union of Chinese entrepreneurs in Russia, Zhou Liqun, decided to remind again about the problem with restrictions on the import of Chinese trucks to the Russian Federation. The general director of FAW was not in the hall, his chair with the inscription was empty. “Chinese cars came to the Russian market after the departure of Western manufacturers. Their share is more than 50%. This means that there is demand for them," he emphasized.

According to him, Chinese companies are ready to enter projects for the localization of components. He also drew attention to the fact that the center opened today will help develop investment potential. “The republic will develop together with Chinese companies. The forum is taking place on the eve of Putin's visit to the People's Republic of China and gives a new impetus to development," Zhou Liqun summed up.

Standard for passing the checkpoint: 10 minutes

“Most of the business believes that logistics is the main factor hindering the growth of turnover," the Chinese moderator addressed the adviser to the President of Russia, special representative of the Russian leader for international cooperation in the field of transport, Igor Levitin. “What do you say?”

“Logistics is a vulnerable link," he agreed.

Using different modes of transport, 56 million tons of cargo were transported. But problems remain with the transshipment of goods by sea. “In the Baltic Sea, unfriendly countries are strongly hindering. We need to create independent transport logistics," he said.

There are difficulties with passing checkpoints along land routes. Drivers can stand for days, although there should be a standard — 10 minutes. Cargo transportation has increased on highways. Waiting time should not be longer than 10 minutes. Now a transport platform is being created in Russia. According to him, both sides should be interested in this.