Russian resource exports to China surge in 2024

Russia’s trade with China topped $65 billion in the first half of the year, with levels of natural-resource exports hitting new highs, Vedomosti reported on Monday, citing Chinese customs data.

Exports of Russian goods to China jumped by 4% year-on-year, surging to a record $65.2 billion between January and June of this year, with oil and gas supplies accounting for nearly 90% of shipments, according to the latest figures.

In the reported period China purchased mineral oil and other petroleum products worth a total of $50 billion, compared to $47 billion in the same period last year.

In just six months of 2024, Russian oil producers sold over $55 billion tons of crude to China, a 5% increase compared to last year.

The average price tag for Russian oil exports jumped by 9% in the first half from the same period last year, amounting to $80.3 per barrel, breaching the West’s $60-per-barrel price cap, which was imposed on Russian oil as part of far-reaching sanctions.

Russian aluminum shipments to China have been growing at a record pace and have surged by 64% in annual terms to $1.8 billion, according to official statistics. Exports of other commodities have also been on the rise.

Supplies of metal ores grew by 15% to $2.3 billion this year, while timber exports increased by 2% to $1.7 billion, data showed.

Bilateral cooperation between Russia and China has been growing at an unprecedented pace over the past two years and continues to accelerate. Trade turnover hit a historic high of $240 billion in annual terms last year, with exports and imports surging at a double-digit pace.

Russia has redirected the bulk of its trade flows to Asian markets, particularly to China, after Western countries imposed unprecedented sanctions on Moscow over the Ukraine conflict.

Economic ties between Moscow and Beijing have been bolstered by the mutual decision to conduct the majority of transactions in the nations’ own currencies, instead of trading in US dollars.

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