Translated by Ollie Richardson for Fort Russ
25th June, 2016
Russian President Vladimir Putin and Chinese President Xi Jinping, during talks in Beijing, signed three joint documents, including a statement on strengthening global strategic stability. The leaders of the two countries discussed, in particular, issues in the field of energy. The negotiations in an extended format were attended by representatives of business. During the meetings the sides signed an impressive package of agreements and commercial projects.
Priority was paid in the negotiations in China to strengthening cooperation in the economy. Vladimir Putin noted the positive dynamics of changes in the structure of Russian-Chinese trade turnover, which increased the exports of tools and food to China.
“We are changing the trade pattern in the desired direction,” he told journalists following talks with President of China Xi Jinping. “This year we almost doubled sales in China of machinery and equipment from Russia, and we are very grateful to our Chinese friends.”
The Russian head of state noted an increase of 30% in food supplies from Russia to China. Putin also stated that last year Russian-Chinese trade turnover had decreased, but stressed that during the first months of the current year observed positive dynamics on this issue.
Earlier, presidential aide Yuri Ushakov announced the signing of over 50 agreements, but warned that the number may change as the negotiations go on until the last moment.
The development of a new long-haul aircraft
The leaders signed an agreement on cooperation in joint development of wide body long-haul aircraft and civilian advanced heavy-lift helicopters.
The operation was carried out by the Chinese company AVICOPTER with the assistance of “Helicopters of Russia”, reports RIA Novosti with reference to the press service of the company. It is planned that the design, prototyping, testing, and promotion of the model for the market will be coordinated by the Chinese side.
“The company “Helicopters of Russia” will assist Chinese state owned company AVICOPTER to develop a civilian heavy advanced helicopter. An intergovernmental agreement between the Russian and Chinese sides was signed in Beijing in presence of Russian President Vladimir Putin,” stated the message.
The press service noted that according to the document, the Russian and Chinese parties will jointly develop an advanced heavy helicopter for the organization of its serial production in China, and will meet the demand in the Chinese market. The company “Helicopters of Russia” will invest in the project in the form of technology, as well as develop a technical proposal and a separate PTV system on a contractual basis.
The memorandum on the establishment of wide-body Russian-Chinese aircraft was signed in the spring of 2014 during the visit of Vladimir Putin to China. The intent of the parties, an airliner with a capacity of 250-300 passengers, will compete with Airbus and Boeing and will take a significant market share not only in Russia and China, but also in other countries.
The framework agreement on cooperation on the advanced heavy-lift helicopter project was signed in May by the company “Helicopters of Russia” and the China Aviation Industry Corporation (AVIC). The demand for new apparatus in China may be more than 200 helicopters until 2040. AHL takeoff weight can be 38 tons. The helicopter will be equipped for day and night operations in a hot climate, in the highlands, and in all weather conditions.
Russian Railways and “Chinese Railways”
Russian Railways and “Chinese Railways” signed an agreement on comprehensive strategic cooperation. From the Russian side, the document was signed by the head of Russian Railways Oleg Belozerov, and from the Chinese — the head of the Corporation “Chinese Railways”.
In addition, during the ceremony, the framework agreement on localization of production of rolling stock and railway equipment in Russia was signed. From the Russian side the document was also signed by Oleg Belozerov.
An agreement to finance the Moscow-Kazan high-speed highway was not signed, however, Vladimir Putin said that Moscow and Beijing before the end of the year will agree on its construction.
“Russia and China carried out large-scale initiatives to develop transport infrastructure. Together we will build a new highway from Europe through Russia to Asia — in fact the Trans-European highway, even the Trans-Euroasiatic one, is designed to improve traffic-communication in this great continent,” he said.
“Until the end of the year we will coordinate the construction of Moscow-Kazan high speed railway, although today marks a step forward in this direction,” the President added.
The head of Novatek Leonid Mikhelson, during the official visit of the President of the Russian Federation in Beijing, signed the Protocol with China Development Bank and Export-Import Bank of China on the beginning of credit for “Yamal LNG”.
Documents were also signed in the energy sector through “Rosneft” and “Gazprom”.
Rosneft and Shandong Kerui Petroleum Equipment signed a memorandum of understanding and strategic cooperation in the field of oilfield services. As was told to journalists by the head of “Rosneft” Igor Sechin, the Russian company signed the framework agreement with the oil services company “Kezhuy”.
“It will be engaged in the provision of contracted services for our company in Western and Eastern Siberia,” said Sechin.
“We agreed at this stage about the organization of at least four bases for fleets of hydraulic fracturing and related warehouses and other infrastructure,” he added.
Businesses at the negotiations were represented by the CEO of the Russian Direct Investment Fund Kirill Dmitriev, the Chairman of the Board “Gazprom” Alexei Miller, and the President of “Rosneft” Igor Sechin. Gennady Timchenko was present as the Chairman of the Russian-Chinese Business Council, Boris Titov as Chairman of the Russian-Chinese friendship Committee, and Former Secretary General of the SCO Dmitry Mezentsev also participated in the negotiations as Chairman of the Society of Russian-Chinese friendship.
A memorandum of understanding between Gazprom and CNPC in the creation of underground gas storage and gas generation projects in China was also signed.
Earlier, the representative of CNPC, told “Vedomosti” that it is about a framework agreement relating to the objects on the territory of China, and their parameters have not yet been determined. The representative of “Gazprom” did not comment on the document before the signing.
Cooperation in the field of foreign and security policy
Russia and China closely cooperate in the field of foreign and security policy, and the countries have a unified approach to a wide range of global and regional issues. The two sides strengthened cooperation between law enforcement agencies, including in matters of counter-terrorism, said Russian President Vladimir Putin at a state reception on the occasion of the 15th anniversary since the signing of the Treaty of Good-Neighborliness and Friendly Cooperation.
“This document legally recorded the strategic partnership between Russia and China, relations of a new type, based on mutual respect, friendship and consideration of each other’s interests, which not only serves the fundamental interests of our peoples and the task of long-term development of the two states, but also serves as an important factor in global and regional security and stability,” quotes RIA Novosti from the Russian leader.
“Building the Russian-Chinese partnership, we relied on the traditions of centuries-old relations between our countries. The achieved unprecedented level of mutual trust and understanding has allowed us to solve complex and highly sensitive issues inherited from history, and most importantly opportunities for moving forward to establishing multilateral relations in various spheres,” said Putin.
The President reminded that in the development of the agreement, hundreds of bilateral agreements were signed that have created favorable conditions for increasing cooperation in departments, regions, public, and business circles, representatives of science, culture, and education of the two countries and inter-parliamentary exchanges have become systematic.
Invitation to G20
Also today, the President of China Xi Jinping invited the President of the Russian Federation Vladimir Putin to the “G20” summit in Chinese Hangzhou.
“Until the end of the year we still have a number of meetings on the sidelines of important international events,” he told reporters after talks with the Russian President in Beijing.
“I have invited President Putin to come to the Chinese city of Hangzhou in early September this year to participate in the “G20″ summit,” continued Xi.