Russian metals purchases increase by China
(MENAFN) China has significantly increased its imports of Russian metals as Moscow shifts its trade focus toward Asia in response to Western sanctions, Bloomberg reported on Monday, citing customs data.
Amid efforts by the US and its allies to reduce Russia’s revenue streams over the Ukraine conflict, China has emerged as a major buyer of Russian commodities. Bilateral trade between the two nations reached record levels last year, surpassing $240 billion.
From January to May, Chinese imports of Russian aluminum rose by nearly 56% to close to one million tons. Copper imports climbed by 66%, while nickel shipments more than doubled, according to data from Trade Data Monitor.
Although major Russian producers like Rusal and Norilsk Nickel are not directly sanctioned, their access to major global trading platforms has been limited. In April 2024, the US and UK prohibited the London Metal Exchange (LME) and the Chicago Mercantile Exchange (CME) from accepting newly sourced Russian aluminum, copper, and nickel. Additionally, the US imposed a 200% tariff on Russian aluminum, while Canada instituted a full ban on Russian aluminum and steel.
Earlier this year, the EU began phasing in a ban on Russian aluminum, setting a quota of 275,000 tons until February 2026.
Moscow has denounced the sanctions as unlawful and warned they will ultimately harm those enforcing them. The restrictions have contributed to a surge in global metal prices, with aluminum seeing an unprecedented spike on the LME. In response, Russia has redirected its metal exports toward Asian and Middle Eastern markets.
According to sources cited by Bloomberg, Norilsk Nickel increased sales to China in the latter half of 2024 and is reportedly partnering with a subsidiary of Shandong Gold to expand copper cathode shipments. Other sanctioned firms, such as Russian Copper and UMCC, may also be channeling exports to China.
Norilsk Nickel CEO Vladimir Potanin has stated that the company intends to move some copper smelting operations to China to protect its exports from financial transaction-related sanctions.
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