- Russia boosts crude flows to China by extending pipeline agreements and securing long-term energy trade.
- Through higher exports and more maritime shipments, Russia strengthens its strategic energy partnership with China.
Russia plans to increase crude oil exports to China by extending existing agreements, Deputy Prime Minister Alexander Novak said today. He highlighted a deal that sends Russian crude through Kazakhstan and is expected to run until 2033. The move shows Moscow’s commitment to long-term energy ties with Beijing.
Russia currently exports about 1.4 million barrels of crude per day by sea. It sends another 900,000 barrels daily through pipelines in Kazakhstan. Earlier talks explored raising flows to China through the Atasu–Alashankou pipeline by 2.5 million barrels per year. Planners now need to see whether the system can handle the extra volume. In August, Kazakhstan’s energy minister said that teams had begun studying the need for new pumping stations. They may also use additives to help existing stations increase their oil production.
For now, Russia views maritime exports as the easiest way to increase shipments. In 2024, China continued to be a major buyer of Russian crude. Yet, flows along the Kazakh route remained flat compared to the previous year, according to KazTransOil data. These numbers highlight the importance of sea transport in Russia’s export strategy.
During a forum in Beijing, Novak said that Russia already supplies more than 20% of China’s oil imports. He also pointed to China’s rising coal demand and noted room for trade growth. Since Western sanctions followed the war in Ukraine, China has become Russia’s largest crude buyer.
This month, Russia is facing a sharp decline in oil and gas revenues. A stronger ruble and lower oil prices are expected to cut earnings by about 35% from last year, reducing them to $6.63 billion. Oil and gas revenues make up roughly a third of Russia’s budget. By strengthening its energy ties with China, Moscow aims to mitigate the impact and secure a stable position in the regional market.