Putin’s Visit to China Signals Growing Economic Partnership Amidst Western Sanctions

 Putin’s Visit to China Signals Growing Economic Partnership Amidst Western Sanctions

Russian President Vladimir Putin is set to visit China this week at the invitation of leader Xi Jinping, as confirmed by Beijing’s foreign ministry on Tuesday. The visit, scheduled from Thursday to Friday, marks Putin’s second trip to China in just over six months.

This visit holds significance as it’s Putin’s first trip abroad since his re-election in March. Analysts note Russia’s increasing reliance on China as a crucial economic partner, particularly following unprecedented Western sanctions over its military actions.

Despite Western criticism, Beijing has maintained a strong partnership with Moscow, emphasizing their “no limits” relationship. This partnership includes substantial Russian energy imports and access to natural resources, notably through the Power of Siberia pipeline.

However, with Western sanctions looming over Russian businesses, Chinese banks have started tightening their stance, fearing potential repercussions. The situation has put pressure on China to balance its ties with both Russia and the West.

Trade between China and Russia has flourished, reaching $240 billion in 2023, particularly after the Ukraine invasion, which Beijing refrained from condemning. Yet, as Washington threatens action against institutions aiding Moscow, Chinese exports to Russia have experienced a recent decline.

Amidst calls for China to distance itself from Russia, Chinese banks are cautious, wary of reputational damage and potential sanctions. Given China’s current economic challenges, major banks are keen to avoid scenarios that could further strain their domestic economy.

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Web Desk

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