Politics and Trade between enemy states


Most global countries had stress the importance of keeping politics and business separate. USA and Russia, for instance, had business ties even during the world as well as cold war eras.

India and Pakistan, arch nuke rivals have mutual trade, albeit in small scale, unnoticed by the world at large because the debates and media reports show them fighting a cold war for years over Jammu Kashmir occupied by India, Pakistan and China. India imports all sorts of electronic goods from China.

Even while making all out efforts to contain China in Asia, USA is maintaining regular trade with Beijing, though it also keeps complaining about useless goods being dumped in America by China.

As Washington is pursuing its policy of containing China and isolating Russia with the utmost determination, Russian President Vladimir Putin signed a 30-year massive gas contract with China- an unusual step in their bilateral trade and economic relations. Both stress for a comprehensive partnership and strategic cooperation. They also point to the need to “resist interference in the internal affairs of other states, to reject the language of unilateral sanctions and organizations … and activities aimed at altering the constitutional order of another state or its involvement in a multilateral association or union.

Following the Ukrainian crisis, the result of which prompted Moscow to overcome years of political resistance, Moscow decided to embark on a new series of agreements with China – its largest neighbor to the south. Russian and Chinese officials usually meet every October or November to discuss military and technical cooperation, and this year’s talks could prove especially fruitful. Putin is scheduled to make an even more significant visit to China in November, and both sides will probably try to prepare an even greater range of agreements for leaders to sign. Russia-China trade would boost as Moscow’s confrontation with the West over Ukraine is likely to grow worse by then and the damage caused by the possibility of full-scale economic sanctions against Russia could badly affect its economy. Russia would thus accelerate its rapprochement with China.

Russia sees China as a major source of uplifting the Russian economy to diversify markets, develop infrastructure and increase non-energy exports. The reorientation toward China will also help minimize Russia’s losses caused by Western sanctions. Russia is searching for a new policy that would significantly enhance Russia’s options for political maneuvering over the long term.

In fact countries strive hard to create business conditions to promote trade. The signing of any trade deals with visits by senior officials does therefore fail when business conditions ons are unfavorable.

Since both Russia and China are the chief target of US capitalist containment tool, these two nations have com e up to take the US challenge serious by large scale economic and military deals.

Ukraine crisis has given the former communist allies the needed preconditions.




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