President Putin’s China Visit: Game ChangerinGlobal PoliticsandEconomy I

Dr.SyedMehboob

EconomicandPoliticalAnalyst http//: www.thenewslark.com

America as the major supporter of Israeli genocide in Palestine and despite world’s great majority of 143 countries supported separate Palestinian state, billions of people came out on roads, more than 40 universities students recordedprotestsinUSA,andOIC,UNGA,UNSC,UNHumanRightsCouncil every global platform adopted several resolutionsfor cease fire and International Court of Justice has given rulings but both Israel and USA become deaf and dumb and getting a notorious name and fame in history . In this perspective, world desperately need a balance of power and multi polar worldtochallengeUSandWesterncountrieshegemony.Thereisamajorshift

of power toward east as Russia and China joined hands to block and counter thehegemonyofUSAanditsallyandagreedtocooperateinmultidimensional sectors during the highly important, significant and strategic visit of Russian President Vladimir Putin to China.

VladimirPutinvisitedChina fromMay16to17,2024,making hissecondvisit to China inless thana year andhis firstforeignvisit sincethe beginningofhis newterminMarch,2024.Thisvisitcommemoratedthe75^thanniversaryofthe Soviet Union recognition of the people’s Republic of China in 1949. Last year in March,2023, Chinese President Xi Jin Ping visited Moscow on his first state visit after commencing his third term. This recent meeting was the 43^rd one between the two leaders. The close relationship is called, “ NO LIMIT FRIENDSHIP AND PARTNERSHIP” by president Putin In bilateral relationships,2024and2025havebeendesignatedasChinese,Russianyearsof culture.ThisyearRussiawillchairthe16^thBRICSSummit,andChinawilltake overtheChairmanshipofShanghaiCooperationOrganization(SCO).Recently Biden-HarrisadministrationimposednewtariffsoneChineseelectricvehicles, advanced batteries, solar cells, steel, aluminum and medical equipment alongside heavy sanctions on Russia.

According to Chinese custom data, bilateral trade between China and Russia reachedUS$240billionlastyear,a26%increasefromthepreviousyear.China exported various goods to Russia, including cars, industrial machinery, smartphones, while importing billions of dollars’ worth of Russian energy. China’s exportto Russia have tripled since 2015,from US$ 34.8 billionto US$

76.3 billion in 2022 and to US$ 111.1 billion in 2023. Economic ties between RussiaandChinahavebeenstrengtheningsince2014.In2023,Chinasupplied 60%ofRussia’simportofdualusehightechnologyincludingUS$3.9billionin telecommunication equipment( primarily smart phones) , US$ 2.3 billion in computers,US$2billioninmicroprocessors,andUS$1.7billioninlaboratory equipment. In return Beijing gains access to natural resources and secures inlandtraderoutes,makingitlessvulnerabletoUSpressurethanIndo-Pacific sea lanes. It is worth mentioning that more than 90% of trade settlement between the two countries are conducted in their national currencies, totaling about2,000billionrublesand1,600billionYuan.ChinahasbeenRussia’skey partnersincelast13yearsandin2023Russiaranked4^thamongChina’smajor

tradepartners.Intheirjointstatementtheydeclared“DeepeningChinaRussia comprehensive strategic partnership of coordination for a new era”. Both countries agreed on ten points covering bilateral economic relations, investments, finance, global governance, and the conflict in Ukraine.

Russia and China are challenging western dominance in global politics since the early 1990s, global governance and security systems, have mainly shaped byUnitedStatesofAmericaninfluence.However,Chinaisrising andRussia’s insurgencerejectedthiswesterncentricandunipolarworld.Theyaimtocreate theirnetworktocounterUShegemony.InthiscontextthedeepeningofRussia China relationship has significant implications for the turbulent global environment, firstly a closer military alliance between China and Russia and their strengthening ties will influence regional realignment in alliance politics. Europeisalreadysplit.WesternEuropeismoreinclinedtowardsUnitedStates of America and its so-called International Order, while Eastern Europe has more inclined towards China and Russia. Decoupling Industrial supply chain fromthewestcouldshifteconomicactivitiestoregionssuchasEasternEurope, South East Asia, and the global south, inflicting the existing global economic and financial system.

RussianEconomy

Russia is world’s 11^th largest economy by nominal GDP, 6^th largest by purchasingpowerparity(PPP)accordingtoIMFwhile5^thlargestaccordingto World Bank.

Population                    :147.19 million

GDPNominal2023                  :US$2,000billion

GDP PPP 2023                       :US$5,200billion GDP Rank

Nominal2023                          : 11^th

PPP2023                                 : 5^th

GrowthRate

GDPper Capita

Nominal2023                :US$ 13,648

PPP2023                        :US$ 35,401

GDP per Capita Rank Nominal2023      : 72^nd

PPP2023                        : 60^th

GDPbySector

Export        :US$ 500 billion

ExportGoods:Crudepetroleum,refinedpetroleum,naturalgas,wheat,iron Export Partners

Imports:US$300 billion

Importpartners

Russia’s vast geography is an important determinant of its economic activity, with the country holding a large share of the world’s natural resource. It has been widely described as an energy superpower, as it has the world’s largest natural gas reserves, 2^nd largest coal reserves, 8^th largest oil reserves, and the largest oil shale reserves in Europe. It is the world’s leading natural gas exporter.2^ndlargestnaturalgasproducer,2^ndlargestoilexporter,thirdlargest coalexporter.Russia’sforeignreservesarethe4^thlargest.Ithasalabourforce of 70 million people, which is the world’s 7^th largest.

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