Interregional cooperation between Russian and China: Tatarstan is ahead again

China remains main trade partner of Russia. Statistically, China became a leader among Russian trade partners last year. To represent China’s trade turnover in general, it could be said — two out of the three containers transported in the world are going either from China or to China. Therefore it is evident that Russia is interested in the development of relations in a wide range of directions, including transit. As well as China, starting in 3 times saving in goods’ delivery and ending with new markets and renting of unused land of the Far East . In 2015 Moscow and Beijing signed more than 30 agreements in a range of cooperation spheres, starting with projects in electric power industry and concluding with far space research. And regions are working actively.

More than 30 official reciprocal visits at the highest level were made between Tatarstan and China only since 2013. Cooperation has been established in the fields of mechanic engineering, chemistry and chemical utilization of natural gas, light industry, sport and tourism, education and culture. Moreover, Tatarstan is developed and attractive region for China, which is situated at the intersection of ‘East—West’ and‘North—South’ transport corridors. The republic is situated in the heart of Russia, at the intersection of the most important traffic arteries, connecting Europe and Asia. This fact grants Tatarstan a status of strategic beachhead for large-scale logistical projects’ expansion. It’s no coincidence that Russian part of the transcontinental transport corridor «Western Europe — Western China», aimed at linking China with European and Middle Eastern markets, will run across the republic’s territory. Moreover, China is ready to invest in the construction of HSR project «Moscow — Kazan», which will serve as a potential vector for passenger traffic increasing in the region and in perspective will reach Beijing. Total cost of the HSR project «Moscow — Kazan» construction is more than 1 trillion rubles, commissioning is scheduled for 2020. The line «Moscow-Beijing» in total is estimated at 7 trillion rubles.

It is worth mentioning that Tatarstan’s people are ready for the coming changes. Thus, the project of the Sviyazhsk Interregional Multi-modal Logistics Hub construction is prepared in the republic. In practice it supposes construction of a large-scale distributing hub with all types of transport, situated on the shore of Volga river and at the connection of M-5 and M-7 routes in close vicinity to an important railway-station. At the intersection of the international transport corridors «Western Europe — Western China», which have an entrance to the federal railway, waterway and automobile transportational routes The Sviyazhsk Interregional Multi-modal Logistics Hub will become a core of transport and logistics system of cargo transportation not only in Tatarstan Republic, but in the whole Volga Federal district.

Tatarstan’s contact base is sprawling and negotiations with potential investors are resembling the outline of concrete projects. In fact, the best conditions for investment in Russia were set up in the republic.

Thus, Tatarstan delegation, headed by Ms. Taliya Minullina, the Head of Tatarstan Investment Development Agency, was in the People’s Republic of China with business visit on July 14 to 22, 2016.

Five Chinese provinces including Hebei, Shandong, Jinan, Hunan and Liaoning was visited in 6 days of the business visit. The business meetings, negotiations and visiting of factories and plants took place in the framework of the visit. At the present time, local partners for Chinese colleagues are searched. Reciprocal visits are also held permanently.

Round table «Naberezhnye Chelny as a component part of the Silk Road’s Economic belt» took place in Tatarstan with participation of representatives of the Tatarstan Investment Development Agency, on July 29.

Executives of the Shanghai Cooperation Organization Business council, republics’ ministries, executive committee of Naberezhnye Chelny, representatives of Tatarstan financial — industrial companies and consulate-general of participating countries in Kazan participated in the work of the round table.

It bears reminding that Naberezhnye Chelny is a second largest city of Tatarstan and the territory of the priority development. This is one of the Russian territories with the best tax conditions for investors. Remarkably, particularly the Haier became the first Chinese company — resident of territory of the priority development Naberezhnye Chelny which invested $55mln. in Tatarstan’s economy.

"Warm relations between Tatarstan and China are not accidental, it is result of long cooperative labour, — noted Taliya Minullina, the Head of Tatarstan Investment Development Agency. — For example, Kamaz cooperates with China more than 30 years, including equipment supply, and utilization of Chinese parts. Well-known Haier plant in Naberezhnye Chelny, the construction of Ammonium mineral fertilizers plant and of course the construction of high-speed highway Moscow-Kazan are among the last major investment projects in Tatarstan. A number of projects in electronics manufacturing, machinery, steel structures are under discussion and site selection. There are great opportunities.

Detailed discussion of the interregional Russian-Chinese cooperation is scheduled for 1 November 2016, while the session of intergovernmental commission will take place in Shanghai and Tatarstan will perform among the most active regions.

29.07.2016
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