Russia-China trade hits three-year low amid economic woes
Trade between Russia and China in the first quarter of 2025 declined by 7 percent, reaching its lowest level since 2022. Imports of Chinese goods to Russia decreased by 7 percent, while China's purchases of Russian energy resources fell by 16 percent.
According to Chinese data, trade turnover between Russia and China in the first quarter of 2025 decreased by 7 percent, totaling $53.2 billion, as reported by "Reuters." This marks the lowest level since the second quarter of 2022. Imports of Chinese goods to Russia dropped by 7 percent, to $22.7 billion. The most significant decline occurred in February, when imports amounted to $5.8 billion.
China's purchases of Russian energy resources, which constitute three-quarters of Russia's total exports to China, decreased by 16 percent, to $20.2 billion.
Russian importers are reducing their purchases of Chinese electronics and household appliances due to the economic slowdown and decreased demand. The rise in consumer loan interest rates in Russia, now approaching 40 percent annually, discourages Russians from making credit-based purchases.
Russian retailers and suppliers are facing a lack of working capital, which limits their purchasing ability, according to "Reuters." As a result, imports of household appliances and electronics from China decreased by 30 percent in the first quarter of 2025.
In the summer, retailers will be selling off stockpiled inventory, and the future of the market depends on the central bank's policy regarding interest rates.
