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More Chinese firms to enter Russia market as business climate improves

  • By Al Mayadeen English
  • Source: News websites
  • 8 Jul 2025 10:33
  • 2 Shares
3 Min Read

Amid strong bilateral trade and improving business conditions, Chinese companies are increasingly eyeing the Russian market.

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  • Russian President Vladimir Putin, left, and China's President Xi Jinping arrive for their talks at the Kremlin in Moscow, Russia, Thursday, May 8, 2025. (AP)
    Russian President Vladimir Putin, left, and China's President Xi Jinping arrive for their talks at the Kremlin in Moscow, Russia, on May 8, 2025. (AP)

More Chinese companies are expected to enter the Russian market as the business environment continues to improve, Chinese Ambassador to Russia, Zhang Hanhui, said during the 9th Russia-China EXPO in Yekaterinburg on Tuesday, praising the momentum of bilateral cooperation and highlighting the role of Chinese enterprises in Russia’s development.

"In recent years, Chinese companies, taking advantage of emerging opportunities and positively assessing the prospects for the development of the Russian market, have been actively satisfying Russia's growing domestic demand, creating new jobs, and contributing to the country's social and economic development," Zhang stated.

As of June 2024, over 9,000 Chinese companies have been officially registered in Russia, demonstrating deepening business integration between the two countries.

In May, Russia and China signed an updated Agreement on the Promotion and Protection of Capital Investments, which Zhang described as a positive development for both governments and business sectors. He expressed confidence that more Chinese enterprises will expand into the Russian market as conditions continue to improve.

Russia-China trade resilient amid external pressures

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Despite growing international pressures, trade between China and Russia has remained stable and resilient. According to China’s General Administration of Customs, bilateral trade volume reached $244.81 billion in 2024.

"In 2024, bilateral trade, having overcome the influence of numerous unfavorable factors, generally maintained the trend of stable growth with an increase in quality, once again reaching record levels, which fully demonstrated the sustainability and viability of Chinese-Russian trade and economic cooperation," Zhang said.

The ambassador noted that both nations are working to further enhance coordination and unleash new cooperation potential to sustain stable trade growth, emphasizing that external challenges have not deterred the long-term strategic partnership.

The 9th Russia-China EXPO, inaugurated on Monday in Yekaterinburg and running through Thursday, stands as a vital platform to advance joint initiatives and deepen bilateral economic cooperation. The event underscores the enduring resilience and promising outlook of China-Russia collaboration in trade and investment.

Despite tariff threat, China maintains trade 

This development comes as earlier trade tensions between China and the US, particularly the tariffs imposed under President Donald Trump, accelerated China's efforts to diversify its trade partners and secure more stable, long-term cooperation. These tariffs incentivized Beijing to seek alternative markets and enhance cooperation with key partners, including Russia.

Meanwhile, the White House mulls over 500% tariffs on countries maintaining energy trade with Russia, a move widely seen as targeting sovereign nations that have refused to align with Washington's demands over the Ukraine war. The problematic bill was first introduced by Senator Lindsey Graham and reportedly has 84 co-sponsors. 

Although China seems to be a primary target, Beijing continues to expand its cooperation with Russia through yuan-based energy transactions, large-scale fossil fuel purchases, and joint infrastructure initiatives. It has also criticized unilateral sanctions that bypass the United Nations, asserting that multipolarity and sovereign equality are necessary for a stable global order.

  • United States
  • Russia
  • Trade agreement
  • Tariff war
  • Sanctions on Russia
  • US sanctions on China
  • China
  • Trade

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