Vice-Premier Ding Xuexiang pushes plan for stronger China-Russia investment and financing ties

Ding, the Communist Party’s sixth-ranked official, urges support for companies in the two countries during meeting with Russian deputy prime minister
Russian official is in Beijing to take part in commission aimed at reducing trade barriers between the two sides and promoting non-energy projects

China-Russia relations

Cyril Ip

Published: 8:00pm, 21 Nov 2023

Why you can trust SCMP

China and Russia should deepen their investment cooperation by supporting enterprises to work together on projects, Chinese Vice-Premier Ding Xuexiang told Russia’s first deputy prime minister, Andrey Belousov, on Monday.

Belousov is in Beijing to take part in the Intergovernmental Russian-Chinese Commission on Investment Cooperation, an agency with the stated goal of reducing the trade barriers and administrative hurdles between the two states and promoting non-energy investment projects. Ding and Belousov co-chaired the meeting.

Ding, who is the Communist Party’s sixth-ranked member, put forward a four-point proposal to deepen Sino-Russian financing ties. The plan calls on the two sides to plan a “new future” for investment cooperation and to guide, support and encourage qualified enterprises in the two countries.

According to the proposal, China and Russia should “open up new prospects for subnational cooperation” and “promote regional complementarity”, in addition to deepening practical cooperation on agriculture and transport infrastructure.

Ding Xuexiang joins party’s top decision-making body

In October, Russian grain exporter Food Export Trade reportedly signed a 12-year contract worth US$26 billion to supply China with 70 million tonnes (77 million tons) of grain, legumes and oilseed.

Ding said that nurturing Beijing and Moscow’s comprehensive strategic partnership would benefit the two countries and their people, and the two sides should “jointly open up a new vision for long-term cooperation” and “create a sound environment” for investment cooperation.

“China is willing to work with Russia to … continue to tap the potential of investment cooperation between the two countries, promote practical cooperation to achieve new results, and continuously enrich the new era of China and Russia,” Ding said, according to state news agency Xinhua.

Belousov is travelling with a delegation that also includes representatives of Russia’s economic development ministry, industry and trade ministry, state-owned investment company VEB.RF and the Russian Direct Investment Fund, which finances companies in high-growth sectors. Heads of companies and business associations also took part.

According to Russian news agency Tass, Belousov reaffirmed that bilateral relations were “built on a solid foundation of reciprocity, respect, equality and trust, non-interference in internal affairs, facilitation of each other’s development and prosperity”.

Belousov, who previously served as an economic assistant to Russian President Vladimir Putin, said that “despite the difficult foreign economic situation”, China-Russia relations had reached an “unprecedentedly high level” and continued to develop “in all areas”.

According to the Russian report, Ding said he would like to establish a close working relationship with Belousov and hold a “deepened exchange of opinions” on the development of China-Russia investment cooperation.

Putin and Chinese President Xi Jinping last met in October in Beijing at the third Belt and Road Forum for International Cooperation, an economic-focused event that was attended by several other regional leaders, including Thai Prime Minister Srettha Thavisin, Vietnamese President Vo Van Thuong, Laotian President Thongloun Sisoulith and Indonesian President Joko Widodo.

On Monday, Belousov also held a meeting with the heads of Chinese companies who serve on a Russian-Chinese advisory committee under the intergovernmental commission. The commission is in its 10th year of operation.