August 2009 Archives
The minimum export value of the leading 200 exporters increased by USD 0.1 billion, from USD 0.51 billion in 2007 to USD 0.61 billion in 2008. And the minimum import value of the top 200 reached USD 0.7 billion. This shows that, in 2008, the average trade value of the top 200 exporters increased to USD 1.84 billion, USD 0.2 billion higher than in 2007.
The top 10 exporters on the list were unchanged from 2007. They are the following (Rank, Enterprise, Export Value in USD million):
1 Shenzhen Hongfujin Precision Industry Co., Ltd., 26218
2 Dongguan External Processing & Assembling Service Co., 15514
3 Dagong (Shanghai) Electric Appliance Co., Ltd., 15040
4 Nokia Corporation, 8576
5 Helian Yongshuo Computer (Suzhou) Co., Ltd., 7849
6 Shenzhen Baoan Foreign Economic Development Co., Ltd., 7371
7 Tech-Front (Shanghai) Computer Co., Ltd., 6668
8 Huawei Technologies Co., Ltd., 6531
9 Inventec Science & Technology Co., Ltd., 5989
10 Renbao Information Industry (Kunshan) Co., Ltd., 5232
The minimum import scale of the top 10 was USD 5.23 billion, while that of 2007 was USD 4.66 billion.
The top 10 importers are the following (Rank, Enterprise, Export Value in USD million):
1 China International United Petroleum & Chemical Co., Ltd., 76463
2 PetroChina International Co Ltd., 24840
3 Shenzhen Hongfujin Precision Industry Co., Ltd., 21072
4 Sinochem Group, 12576
5 Dongguan External Processing & Assembling Service Co., 11633
6 Zhuhai Zhen Rong Company, 7755
7 BAX Global Shanghai 6471
8 Baosteel Group Corporation, 5613
9 West Pacific Petrochemical Company Co., Ltd. Dalian, 5453
10 AU Optronics Corporation, 4742
More interesting facts that came out of the report:
- All the enterprises ranked in the list of exporters distributed in 19 provinces in China
- 185 exporters of the top 200 are located in eastern coastal regions
- The total trade value of 2008 was USD 2561.6 billion, an increase of 17.8% compared to 2007
- The total value of exports was USD 1428.55 billion, an increase of 17.2% compared to 2007, and the value of imports reached USD 1133.08 billion, an increase of 18.5%
Since China and Russia set up strategic cooperation in 1996, economic and political relations between them have shown steady and confident improvement. Bilateral trade has reached double-digit growth, backed by the two nations having similar positions on many important issues in global policy. However this year the two countries had to go through a very serious obstacle on their path of cooperation - the global economic crisis.
Trade between China and Russia has been increasing at an average growth rate of about 30% for the past 10 years, reaching USD 55.9 billion in 2008, a 38.7% increase year-on-year. Two-way investments have also been growing rapidly, and China’s investment into Russia in the first quarter of this year already reached the level of 40% of the total amount for the whole of last year. The two sides have also made great progress in large-scale cooperation projects in the fields of oil, gas and nuclear energy. In particular, China and Russia have launched energy negotiations at Vice-Premier level and signed an inter-governmental agreement on cooperation in the field of crude oil. This agreement was eventually finalized in February of this year in the form of a contract for future oil supply between Russian companies Rosneft and Transneft and the Chinese conglomerate CNPC.
Yet the positive outlook has changed somewhat recently. The continuing economic downturn interfered with bilateral trade between the two countries: Russian-Chinese trade decreased by 38.5% in the first quarter of 2009 compared to the same period in 2008, with Russian exports decreasing by 41% and imports by 36.8%. Nevertheless, as a result of a sharp reduction in Russia’s trade with other foreign partners, China has actually become Russia's largest trade partner in terms of the volume of trade in 2009 so far - the Russian Economic Development Ministry announced as much on June 17. This fact demonstrates that Russian economic relations with China will prove to be more stable and solid than that with its other trading partners.
Devising a framework for the future
During the Shanghai Cooperation Organisation and BRIC summits held on June 15-16 in Yekaterinburg in central Russia, Russian president Dmitry Medvedev and Chinese president Hu Jintao set up a framework for further interaction in respect to the ongoing economic crisis. The two leaders signed a draft plan on China-Russia investment cooperation going forward, encouraging enterprises of the two countries to carry out pragmatic cooperation in such areas as mechanical manufacturing, construction, light industry, transportation, agriculture, communication, banking and insurance, technology, energy, the chemical industry, forestry and mining.
And, as expected, major steps have been made towards further development of ties in the energy sphere which so far remains the most prominent area of cooperation between the two countries. As agreed at the meeting between the leaders of the two countries, Russia and China will soon commence construction of the second phase of the Tianwan nuclear power project in southeastern China’s Jiangsu province.
Passing the test of endurance
With all the achievements of the past few years, the existing structure of Sino-Russian trade is still highly unbalanced. China mainly exports machinery, light industrial products and textiles to Russia, while Russia's exports to China are primarily crude oil, natural gas and lumber. Hi-tech intensive products with high added value still make up a very small part in bilateral trade. It will take to improve these trade patterns. However, both sides are actively trying to address these issues through a non-stop negotiation process. The way the two countries are dealing with the impact of the global crisis shows that there is great potential for the future of China-Russia relations.