Economic Ties between Russia and China are Strengthening

• 04.28.2015, 11:40
•  Region,  World

http://www.presstv.ir/Detail/2015/04/27/408287/Russia-China-refinery-oil-energy-

The reason of economic close relations between the two neighbors Russia and China is obvious. The countries are improving their economic relations especially in the energy sector. Both of them need to be in coalition against US and Europe, PressTV reports.

China plans to build an oil treatment facility in Russia. The capacity of the planned refinery is 2 million tons. It is going to be constructed by Russia’s Tuymaada-Oil and China’s Qin Hua An Tszyu companies. The agreement about the deal was signed in Beijing; the total cost of the project is $2 billion. According to the agreement the oil refinery will be located in Aldan region of Yakutia. Each of the cooperating companies have very crucial role in their countries.

Two days ago China invited Russia to join its new Silk Road trade link program. The program is to revive the ancient commercial route between Europe and Asia. The invitationof China for Russia to join the program intends to attract Russian companies to join the project. $40 billion has been allocated for the Silk Road fund and the first $10 billion is already on the funds account. According to China, Russia should play big role in the investments of Silk Road fund.

It is obvious that the economy of China is boosting and it is becoming a leader in many areas of worldwide economy. It is noticeable that China and the US are competitors now when President Barack Obama is doing everything in order to reach trade agreement between Europe (TTIP) and  Japan (TPP). One of the aims, after boosting its economy, is to isolate China and Russia. These countries in their turn do not lose the chance to cooperate and strengthen their economic ties through investments and various cooperation projects.