Russian imports from China tick up again after Putin-Xi meeting

Russian imports from China began to recover in June despite difficulties with foreign trade payments triggered by the US’s threat of secondary sanctions and restrictions on Moscow’s main exchange. 

Chinese exports to Russia increased by almost 4% in June compared to the previous year after shrinking for three months in a row from March, according to data published Friday from China’s customs administration. Exports to Russia amounted to $9.9 billion, which is still below monthly volumes seen at the end of last year, and for the first six months of 2024 declined by around 1% compared to the same period of 2023, data show. 

China’s total exports expanded in June by 8.6% annually to the highest level in almost two years. 

Russian companies had told local media that payment issues with imports from China were resolved after President Vladimir Putin traveled in May to Beijing to meet his Chinese counterpart, Xi Jinping. Small regional banks have started to accept yuan from Russia, shielding larger lenders that stopped servicing foreign trade deals with Russian businesses in order to avoid exposure to sanctions risk. 

Still, the Bank of Russia said in a June report that importers have faced delays and difficulties with external payments since the US announced its sanctions package in June. 

Russia’s total imports decreased by more than 7% in June and by 9% in the first half of the year. 

©2024 Bloomberg L.P.