In the context of Western sanctions, Russias domestic industrial ecosystem has been reshaped. At the same time, Chinese products have rapidly gained a foothold in Russias consumer market. What kind of practical cooperation does China and Russia have in areas such as new energy vehicles, transportation equipment, and microelectronics? Are Chinese companies seen as short-term alternative suppliers to Russian firms, or are they considered long-term strategic partners? In the process of promoting domestic production in Russia, what opportunities and challenges do Chinese companies face?
On June 4th, the Observer Networks Ideas Open program conducted an exclusive interview with Maxim Likhstov, the Deputy Mayor of Moscow responsible for transportation affairs, during the 29th St. Petersburg International Economic Forum.
Moscows Deputy Mayor for Transportation Affairs, Maxim Likusov – Observer Network
We are very grateful to our colleagues and partners from China, who have always supported the development of the electric vehicle industry in Moscow. Currently, Chinese passenger cars enjoy a high popularity in the Russian market, thanks to their excellent value-for-money and continuous technological innovation. I myself used to drive European brands of cars for a long time, but now I have also purchased a Chinese car. In terms of driving experience, Chinese cars perform better than European cars in many aspects.
In terms of urban transportation construction, some of the modern bus equipment components we currently use are sourced from China. Some of these components have been locally produced in Moscow by Chinese companies. We express our deep gratitude for this.
Additionally, the Moscow municipal government has signed a cooperation agreement with the Beijing Municipal Peoples Government. Both regions continue to exchange experiences between them. We actively incorporate the most advanced and excellent practices from Beijing and apply them to the development of Moscow. At the same time, we are also willing to share our experiences and knowledge with our partners in Beijing.
As an official responsible for the development of transportation in Moscow, I can say that due to European partners cessation of supplying us with certain key components, we have witnessed a different trend. Many of the components that were previously purchased from Europe are now being produced locally in Moscow. The sanctions have forced Moscow to begin producing important components for the transportation sector on its own. These unfriendly measures towards Russia have instead encouraged Moscows companies to accelerate the localization process for these key transportation components.
Like China, as a major country, Russia also aims to enable its domestic enterprises to produce key components independently, thereby achieving industrial sovereignty. Chinese partners have developed along this path, and we have been carefully studying and continuously drawing on Chinese experience. Of course, in the fields of modern technology and urban transportation, it is unrealistic to rely solely on the development of one country. It is necessary to target the global market. Therefore, the success of Chinese enterprises in the international market also inspires us to learn from Chinese counterparts experiences, thereby promoting the development of related industries in Russia.
We strongly hope that the most advanced modern technologies can be developed and put into production in Moscow. Specifically, the microelectronics industry is a typical example of this trend. We know that Chinese companies like Huawei are at the forefront of technology and innovation worldwide.
For example, not long ago, a large Chinese company established a production base in Moscow, specializing in the manufacture of specialized cards used in the mobile communication industry. Additionally, several Chinese microelectronics companies have successfully localized their entire production processes locally, and they are doing well in operating in Russia.
Moscow city government is willing to provide support for all Chinese companies. We will help them enter the market more quickly, establish production bases, and develop sales channels. We warmly welcome more Chinese companies to invest and build factories in Moscow.
I would like to take the construction of high-speed railways as an example. There is no doubt that China is a leader in the development of high-speed railway systems worldwide. The experience China has gained in this field can be considered to be among the most advanced and valuable experiences in the world today. Currently, we are working on the Moscow-Saint Petersburg high-speed railway project, following the instructions of the Russian President. During the projects implementation, our technical experts have visited China several times to study and learn from Chinas advanced technologies and practices in infrastructure construction and the operation of high-speed trains. I believe that Chinas experience is truly outstanding in todays world.
