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Russian economy turns a corner from pandemic

By REN QI in St. Petersburg | China Daily | Updated: 2021-06-05 08:05
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A woman receives a dose of Sputnik V (Gam-COVID-Vac) vaccine against the coronavirus disease (COVID-19) at a mobile vaccination centre in a dacha community near the village of Poyarkovo in Moscow, Russia, on May 31, 2021. [Photo/Agencies]

Russian officials and business sectors have seen their domestic economy emerging from the COVID-19 pandemic, and look forward to deeper Sino-Russian cooperation.

"Ongoing work continues, despite any difficulties, including those associated with the coronavirus epidemic. The best confirmation of this is the results of the Russian economy as a whole," Russian President Vladimir Putin said at the St. Petersburg International Economic Forum on Thursday.

Putin talked more about the economic recovery in his speech at the forum, often dubbed the Russian Davos, on Friday. He said entrepreneurs know about the state of affairs in the economy "better than anyone else, they feel it in the course of practical work on a daily basis".

The annual forum was held on June 2-5 in the northern city of St. Petersburg. It is considered as one of the most important economic forums in Russia. This year's theme is Together again-Economy of New Reality.

Sergey Komyshan, executive director for marketing and sales, procurement, innovation and business development at Russian petrochemical company Sibur, agreed with Putin. He said Russia has handled its economy during the pandemic relatively well.

The Ministry of Finance recently announced the country's economic growth has returned to pre-COVID levels which are much higher than the government's initial forecasts.

"In my opinion, industries involved in raw materials processing and the creation of high-value added products will be important drivers of growth, along with national projects that seek to develop the country's transport infrastructure," he said.

Important partner

Komyshan, who is also a member of Sibur's management board, told China Daily Russia's interaction with its international partners, of which China is likely the most important, also continues to be a key driver of economic growth.

Despite the pandemic, Chinese economy continues to grow. There are demands in the Chinese market for goods like petrochemical products and raw materials which Russia can provide, he said.

Sibur has strategically partnered with Sinopec for many years. In addition to conducting a joint venture in Krasnoyarsk, Sinopec has also been a shareholder in the company with the Silk Road Fund since 2015.

"We continue to partner with Sinopec in distributing in China polyethylene from our state-of-the-art chemical complex ZapSibNeftekhim, but today our most important joint venture is the construction of the Amur Gas Chemical Complex, or AGCC, in Amur region, close to the Chinese border," he said.

The AGCC joint venture was established by Sibur and Sinopec in December 2020. Its budget is tentatively estimated at $10 billion and is scheduled to begin operations in 2024. The cooperation between the two companies contribute to Sino-Russian relations in the field of petrochemicals, investments, the economy, and trade, Komyshan said.

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