chinas-exports-to-russia-hit-a-record-amid-sanctions

China's exports to Russia hit a record amid sanctions

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China's exports to Russia reached a record high of $11.25 billion in September, amid declining imports from Russia and sanctions that have complicated international payments, UNN reports citing the South China Morning Post. 

Details

Although China has cut imports from Russia while it struggles with sanctions related to international payments, exports to its northern neighbor hit a record high in September as Chinese companies quickly filled the spaces left by Western firms' withdrawals.

According to customs data, China's exports to Russia amounted to USD 11.25 billion in September, the highest monthly figure on record. Exports grew by 16.6% year-on-year, the fastest growth since 2024. At the same time, China's imports from Russia fell by 9.2% year-on-year in yuan terms, a sharp drop after a 1.1% decline in August.

The US and EU sanctions against Russia over its war against Ukraine have made international payments more difficult for Moscow, even with countries such as China that have not joined the sanctions.

In particular, the United States and its allies have frozen Russian assets abroad and excluded Russian banks from the Swift system, causing delays in cross-border payments. At the upcoming BRICS summit, which will take place from Tuesday to Thursday, Russia is reportedly likely to propose that the bloc consider creating a new cross-border payment system.

Such a system could circumvent payment restrictions through several mechanisms, including a network of commercial banks to conduct transactions in local currencies, direct links between central banks, and the creation of trading centers for commodities.

Recall

NATO Secretary General Mark Rutte saidthat China cannot fuel the conflict in Ukraine without consequences for its own interests. He called for working with partners to overcome common challenges and protect values.

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