Reduced Imports of Russian Energy Reportedly by China
China's Imports of Russian Energy See a Notable Decline
China, a long-standing ally of Moscow, appears to be rethinking its energy policies as reports emerge suggesting significant reductions in energy imports from Russia. This shift could potentially cost Russia up to 30 percent of its revenue in various sectors, depending on the type of energy involved.
According to the Ukrainian foreign intelligence service, China has been systematically reducing its purchases of Russian energy. From January to April 2025, the imports of seaborne oil from Russia dropped by 14 percent to 32.4 million tons, leading to a 23.9 percent decrease in revenues to $17.1 billion for Russia.
Reuters had previously reported in January that China bought less Russian coal in 2024 and increased its purchases from other major suppliers, notably Australia. In 2024, China purchased a record high of 547.2 million tons of coal, accounting for 41 percent of globally traded coal, giving China greater pricing power on international markets.
The Ukrainian intelligence service attributes the drop in Chinese purchases to several factors, including Beijing's pursuit of energy independence, the growth of the electric vehicle market, stricter Western sanctions, and China's willingness to pay a significantly lower price. Imports of liquefied natural gas even fell by 27 percent, resulting in a 28 percent decline in Moscow's revenues. On the other hand, Chinese imports of coal increased by 2 percent over four months but fell by 13 percent in April. Instead, China boosted its own production and increased the share of renewable energy. China refused to pay more for new quantities than Russian consumers.
In addition, Chinese investments in Russia dropped from $1.2 billion per year between 2011 and 2018 to $400 million in 2022 and 2023. The Ukrainian foreign intelligence service attributes this decrease to the war against Ukraine, sanctions, and the unpredictability of the Russian regime.
Sources: ntv.de, good.
Key Takeaways:- China has systematically reduced its purchases of Russian energy due to a combination of factors, including China's pursuit of energy independence and shifting market dynamics.- These reductions are projected to cause significant financial losses for Russia, potentially reaching up to 30 percent of its revenue in various sectors.- China appears to be diversifying its energy suppliers and increasing its use of renewable energy.- Chinese investments in Russia have also seen a significant decline in recent years.
The community policy in China, which seeks energy independence, and the shifting industry trends might have led to the notable decline in China's imports of Russian energy, including oil, coal, and liquefied natural gas. Concurrently, the finance sector in China could be impacted by this shift as China's energy imports from Russia have contributed significantly to Russia's revenue.
