Directions in the development of Russian-Chinese integration agenda

Abstract

New agreement with China – political and economic leader of the developing world – is one of the key elements of Russia’s trade cooperation agenda in the context of complicated relations with the Western countries. Political strength of Russia globally and in relations with China is higher than its economic power; therefore, the new agreement with China will be based on deepening political cooperation. Free trade with China is very stressful for Russia, but under certain conditions it can be used as a means for cheaper national production using Chinese intermediates, including in export-oriented industries. There are a number of perspective industries in Russia that can exploit this strategy, and their development could be fostered by developed countries’ policy towards restraining China’s technological growth.