The Russian Steel Association and the Chinese Chamber of Commerce for the Import and Export of Metals, Minerals and Chemicals have signed a memorandum of cooperation in the field of mining and metallurgy. The agreement aims to create a favorable business environment for enterprises in both countries and provide necessary assistance.

"Our states have long-standing partnerships, the potential for expansion of which is still great," said Alexei Sentyurin, executive director of the Russian Steel Association.

Despite a 4% year-on-year decrease in investments by Russian steelmakers in 2023, amounting to RUB 275 billion ($3.1 billion), the industry has invested approximately RUB 3.8 trillion in development from 2001 to 2023. Russian steel enterprises are focused on import substitution and transitioning to Russian equipment and components.

Trade between the two countries in the steel sector is also growing. In April 2024, 173,000 tonnes of Russian steel and pipe shipments were sent by rail to China and Taiwan, an 11% increase from the previous month, according to Russian Railways data.

However, steel production in both countries experienced declines. Russian production in April is estimated to have decreased by 5.7% year-on-year to 6.2 million tonnes, while Chinese crude steel production fell 7.2% in April to 85.94 million tonnes.

The cooperation between Russia and China in the steel and mining industries aims to strengthen their long-standing partnership and expand the potential for growth in these sectors.