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Chinese-Russian collaboration on the rise: A look at the “Power of Siberia” pipeline and beyond
World
23-03-2023 | 11:50
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Chinese-Russian collaboration on the rise: A look at the “Power of Siberia” pipeline and beyond
The Chinese and Russian presidents agreed to "changes that have not occurred in a hundred years" and "a new global system" during their most recent meeting.
Cooperation between these two poles is not new and will grow over the next few years, as the Russian president predicted that the 200 billion dollar trade volume with China will be surpassed this year rather than in 2024. 3/23/2023
The projects that the nations are engaged in are not just related to the expansion of trade, as China's pursuit of the "Power of Siberia 2" pipeline project, which Putin called the "deal of the century," was prompted by China's need for oil and gas in light of its economic expansion following the Coronavirus pandemic.
According to the map, this pipeline will link Siberia with northwest China and deliver 50 billion cubic meters of Russian gas to China.
It is important to note that in 2019, Russian supplies started to flow to China via the "Power of Siberia 1," which is anticipated to reach its total capacity by 2025.
The Power of Siberia will benefit both countries.
According to McKinsey estimates, China is expected to represent around 40% of the increase in global demand for oil this year, with its economy growing by 5.5% in 2023. It alone will consume the equivalent of one million barrels per day from the increase of 2.6 million barrels per day in global demand.
China partially made up for Moscow's losses in European markets, which helped offset the isolation imposed on it following the Ukrainian War.
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