As Putin and Xi convene in Beijing for talks, the trading relationship between China and Russia takes center stage, shedding light on the significant role played by "dual-use" Chinese goods in bolstering Russia's military capabilities. While China refrains from directly supplying weapons to Russia, it channels substantial quantities of goods crucial for sustaining Russia's war efforts in Ukraine.

 

These encompass a wide array of items, including semiconductor chips, navigation equipment, jet components, ball bearings, and more, all falling under the category of "dual-use" goods due to their potential civilian applications. This dual-use nature renders sanctions less effective in impeding their flow to Russia.

 

Data compiled by the Center for Strategic and International Studies (CSIS) underscores the magnitude of China's exports of such goods to Russia, with imports categorized as "key military goods" encompassing diverse products ranging from electrical equipment and machinery to iron, steel, plastic, and rubber materials.

 

During the early stages of 2023, as Russia braced for a potential Ukrainian counteroffensive, imports of these critical military goods surged significantly, coinciding with President Xi's state visit to Russia in March 2023. Analysis of import data reveals China as the primary exporter, with Hong Kong ranking second, further underscoring China's pivotal role in supplying Russia's military needs.

 

While shell companies based in Russia-friendly nations facilitate another substantial portion of imports, primarily in the Asia Pacific and Middle East regions, China remains the dominant force in these transactions. The prolonged duration of the conflict has compelled Russia to increasingly rely on lower-grade equipment, a significant portion of which originates from suppliers of dual-use goods.

 

The inherent difficulty in restricting the movement of these goods explains why even products from EU nations like France and Germany find their way into Russia. However, China's influence remains paramount, prompting threats of heightened action from the US to clamp down on such supply chains, potentially targeting Chinese banks facilitating these transactions with sanctions.

 

Despite portraying itself as a peacemaker, China's reluctance to leverage its influence over Russia to facilitate a resolution in Ukraine has thwarted Western efforts. The ties between Russia and China, underscored by Russia's ascendancy as China's top crude oil supplier in 2023, highlight the mutual benefits derived from their deepening partnership.

 

Credit: Sky News 2024-05-17

 

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Brothers in Arms. Both are such nice people. well in their own eyes I guess.

IMO