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Subject

Shifts in Russian foreign trade.

Significance

The dollar value of foreign trade rose last year as a result of strengthening global oil prices. Trade is shifting gradually to non-European, non-US locations, mainly in Asia and above all China. For imports, this trend is particularly marked for sanctioned items such as hi-tech electronics and for foodstuffs where Moscow has banned Western imports.

Impacts

The trade shift towards Asia should offer opportunities to pursue the government policy of 'de-dollarisation'.

The dollar cannot be easily abandoned because of its importance to the oil trade.

Economic relationships, new and old, will form a basis for Russian political engagement.

Russia will promote free trade agreements between the Eurasian Economic Union and rapidly growing countries such as China and Vietnam.

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