Existence Of Sino-Russian Partnership Analysis
Existence of Sino-Russian partnership
Generally, the reason causing the formation of Sino-Russian energy mercantilist partnership in Central Asia is the containment of liberal penetration of U.S. Details would be explained as below. In term of value, Central Asia traditionally sticks to Russia as countries are pre-communist regimes. It possesses abundant natural resources. For instance, the area of Caspian Sea consists 210 billion barrels of oil which is about 4 trillion U.S dollars. 4.89 million barrels of oil can be produced per day in 2010 (Zhang, 2004). In 2012, the production per day increased to about 2.6 million barrels of oil. About 2.5 trillion cubic feet of natural gas is also produced. It is believed that Central Asia would become …show more content…
Here will focus on the mercantilist strategies of China after the consensus achieved with Russia (Menon & Ziegler, 2014).
China pursued neo-mercantilist energy policy even she joined multi-lateral trading organizations such as WTO. The strategy is called “going out” strategy. In terms of politics, the National Development and Reform Commission (NDRC) and National Energy Administration are responsible for Chinese energy policies. It is under the State Council. The National Energy Administration has 3 functions: domestic energy price taking, approval of energy projects and implementation of energy policies. The 3 state-owned energy enterprises received financial support from Chinese government. In terms of corporation, China supports 3 state-owned energy enterprises including the China Petroleum and Chemical Corporation (Sinopec), China National Offshore Oil Corporation (CNOOC) and China National Petroleum Corporation (CNPC). They dominate Chinese energy sector. They received political missions that enhancing long term national economic security by widening the source of energy supply and increasing the possession of energy resources. They are encouraged to purchase energy assets abroad. Forming joint-venture with foreign firms is also encouraged in order to learn advanced drilling techniques. These actions support low oil price policy of China. They are also served as diplomatic tools (Menon & Ziegler,
Generally, the reason causing the formation of Sino-Russian energy mercantilist partnership in Central Asia is the containment of liberal penetration of U.S. Details would be explained as below. In term of value, Central Asia traditionally sticks to Russia as countries are pre-communist regimes. It possesses abundant natural resources. For instance, the area of Caspian Sea consists 210 billion barrels of oil which is about 4 trillion U.S dollars. 4.89 million barrels of oil can be produced per day in 2010 (Zhang, 2004). In 2012, the production per day increased to about 2.6 million barrels of oil. About 2.5 trillion cubic feet of natural gas is also produced. It is believed that Central Asia would become …show more content…
Here will focus on the mercantilist strategies of China after the consensus achieved with Russia (Menon & Ziegler, 2014).
China pursued neo-mercantilist energy policy even she joined multi-lateral trading organizations such as WTO. The strategy is called “going out” strategy. In terms of politics, the National Development and Reform Commission (NDRC) and National Energy Administration are responsible for Chinese energy policies. It is under the State Council. The National Energy Administration has 3 functions: domestic energy price taking, approval of energy projects and implementation of energy policies. The 3 state-owned energy enterprises received financial support from Chinese government. In terms of corporation, China supports 3 state-owned energy enterprises including the China Petroleum and Chemical Corporation (Sinopec), China National Offshore Oil Corporation (CNOOC) and China National Petroleum Corporation (CNPC). They dominate Chinese energy sector. They received political missions that enhancing long term national economic security by widening the source of energy supply and increasing the possession of energy resources. They are encouraged to purchase energy assets abroad. Forming joint-venture with foreign firms is also encouraged in order to learn advanced drilling techniques. These actions support low oil price policy of China. They are also served as diplomatic tools (Menon & Ziegler,