ABSTRACT

In the energy sphere, Russian and Chinese interests seemed to coalesce and to constitute a perfect match of supply and demand. The abundance of Russia's natural resources and China's insatiable needs fuelled by continuing economic growth led politicians and scholars alike to expect energy trade to become the cornerstone of bilateral economic relations. Co-operation in the Russian Far East was reignited with the signing of the 2009 inter-governmental agreement, aimed at co-ordinating social and economic developments in the Russian and Chinese provinces lying along the common border. This chapter scrutinizes dynamics in these spheres that are critical for relations between Moscow and Beijing: the energy sector, security and defence co-operation and the development of the Russian Far East. The prospects for Russian gas exports to China considered the most promising foundation for durable energy collaboration have attracted the bulk of the academic and expert community's attention, overshadowing more tangible co-operation in the oil sector.