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FX.co ★ Russia and China become best friends

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Forex Humor:::2015-05-21T10:04:00

Russia and China become best friends

Recent negotiations of the Russian President Vladimir Putin and the Chinese leader Xi Jinping in Moscow became a subject for discussions all over the world. The meeting has already been called a landmark, as a wide range of agreements in the trade, economic and energy fields were inked during the meeting. A careful attention from the international community is due to the fact that the rapprochement between Russia and China becomes a growing threat to European markets. Experts believe that Europe should change its attitude towards Russia in order not to lose this market. European producers are experiencing difficulties due to imposed sanctions, as Russia plays an important role in the EU's GDP. In turn, China is open to dialogue and it is not dependent on decisions of American colleagues. “China needs almost everything that is produced in Russia, and Russia is a fairly cheap commodity producer,” head of Prosperity Capital Management fund in London Martin Charmoy said. According to the expert, two countries’ leaders confirm this point of view. Currently, it is possible to declare with certainty that goods turnover between Russia and China has increased. Some analysts also predict that the figure will reach $200 billion in the next couple of years. Almost unwarranted refusal of European companies to cooperate with Russia contributes to such pace of developments. “Europe has to be careful, though, because Russia is a very important market for them,” Martin Charmoy noted.

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