Energy cooperation fuels growth amid uncertainties

Instability and uncertainty in the global economy and international trade continue to intensify, unilateralism and protectionism are on the rise, and the international trading system itself is facing serious challenges.

The escalation of tensions in the Middle East and the blockade of shipping in the Strait of Hormuz have demonstrated the vulnerability of global industrial supply chains and the unreliability of established transport corridors.

All these create serious global and regional risks, further increasing the urgency of ensuring economic security and enhancing economic resilience at both the national and multilateral levels.

Russia and China are the largest countries in Eurasia and share a long border.

Over the past 30 years, the two countries have deepened their comprehensive strategic partnership and cooperation.

The established multi-layered mechanisms of China-Russia cooperation — a key element of which is the guiding role of the two countries' leaders and the inherent economic complementarity between the two countries — create unique opportunities to jointly and effectively address risks in those key areas of economic security.

Energy security is a key aspect of economic security.

Within the overall framework of China-Russia economic cooperation, interaction in the energy sector and the large-scale joint projects currently underway, are of paramount importance for both countries.

A key feature of the China-Russia energy partnership is its multi-sectoral nature, with cooperation expanding in sectors such as oil, natural gas, coal and nuclear energy.

In the future, it could extend to renewable energy as well.

China has been Russia's largest trading partner for many years, while Russia has become one of China's major energy suppliers.

The importance of the Chinese energy market for Russian companies has always been high, but in recent years, amid the sharp deterioration of Russia-European Union relations, the forced disruption of years-old supply chains, and the wave of anti-Russian sanctions, this importance has increased even further.

Russia, in turn, remains an important external energy supplier for China, particularly in crude oil and natural gas and is also among the major coal suppliers to China.

Some experts say that Russia has one-sided dependence on China in the energy sector.

These opinions are, to put it mildly, biased and incorrect.

In reality, we see an interdependence that generally serves the interests of both countries, as it increases the resilience of their economies in the face of external shocks and serves as one of the pillars of the entire Sino-Russian partnership of strategic coordination.

The extensive material basis for a Russian-Chinese energy partnership has already been established, and the common goal for the next few years should be joint work on new projects and further improvement of existing cooperation mechanisms.

Given the strategic role of the energy sector in the economy, a necessary prerequisite for the further sustainable advancement of energy cooperation is its high degree of alignment with national economic development priorities and programs.

In this regard, it should be noted that China's 15th Five-Year Plan (2026-30) has generated considerable interest among Russian experts and business circles.

For the first time, the Five-Year Plan sets the strategic goal of transforming China into an energy powerhouse and outlines paths for the large-scale expansion of the new energy sector.

Both countries should continue measures to further deepen the energy partnership between the two sides.

At the same time, it would be a gross oversimplification to reduce the Russian-Chinese energy cooperation to increasing energy trade volumes.

The cooperation should be comprehensive, encompassing production and logistics chains along their entire length, as well as financing and payment systems.

Given persistent geopolitical tensions, the importance of ensuring the security and sustainability of transport routes is growing.

Both countries should jointly develop a cross-border pipeline network and alternative Arctic shipping routes.

The author is a professor at HSE University and a researcher at the Institute of China and Contemporary Asia of the Russian Academy of Sciences. He was the Russian trade representative in China from 2001 to 2013.

The views don't necessarily reflect those of China Daily.

If you have a specific expertise, or would like to share your thought about our stories, then send us your writings at opinion@chinadaily.com.cn, and comment@chinadaily.com.cn.