Can Xi, Putin Alter Global Order?

Russian President Vladimir Putin’s two-day (May 16-17) visit to China has drawn much  international attention as it has further bolstered the strategic partnership between the two powers that have the strength to rewrite the West-led global order. Sino-Russia growing bonhomie carries significance at a time when the geopolitical tensions have intensified with wars raging in parts of West Asia and Europe. It was Putin’s reciprocal trip to China after assuming office of President for the fifth time. In March last year, his Chinese counterpart Xi Jinping chose Russia as his first destination of foreign visit soon after his re-election to President. Putin’s visit also coincided with the 75th anniversary of the establishment of diplomatic relations between the People's Republic of China (PRC) and erstwhile Union of Soviet Socialist Republics (USSR).

However, their mutual visits were more than symbolic. Sino-Russia relations have ‘reached a new threshold in the history,’ thanks to visionary approach and pragmatic insight of Xi and Putin, who, unlike their predecessors, did not muddle their bilateral ties over narrow ideological rhetoric. In 1960s and 70s, Sino-Soviet relations had turned sour from camaraderie due to several factors such as theoretical discords, Khrushchev’s de-Stalinisation drive, Cultural Revolution and the border conflict. However, both have learnt from the past mistakes and advanced their relations based on practical realities, leaving behind the unpleasant chapters.  

Test of time

Despite ups and downs in international scenario, Russia-China friendship stands the test of time. The former Soviet Union was the first country to recognise China on Oct 2, 1949, one day after Chairman Mao Zedong proclaimed the founding of the PRC in Tiananmen Square. Similarly, China had promptly recognised the Russian Federation following the collapse of the USSR in 1991 and backed to retain latter’s seat on the UN Security Council. Today both the nations are targeted by the West, which they think is against the idea of emergence of the multipolar world. 

Russia is currently facing hundreds of sanctions by the US and its European allies over its ‘special military operations’ in Ukraine. China has extended a crucial support to Russia at this difficult period. Here one can trace an interesting historical analogy, too. Mao’s China had received critical military and logistic assistance from the USSR to emerge victorious from the civil war and foreign aggression. It offered substantial help to consolidate China’s new political system and economy at its initial stage when the entire capitalist world was hostile to the latter.

“China and Russia have served as a role model by showing others ways of building state-to-state ties of a new kind and working together as two major neighbouring powers,” Xi said while welcoming his ‘old friend.’ The two leaders have inked joint statements and vital agreements on enhancing the comprehensive partnership and strategic cooperation between the two countries for a new era. According to Chinese leader, the strategic cooperation is based on the principle of mutual respect, equality and firm commitment to supporting each other on matters of the core interest of both sides. In a joint statement, the Chinese and Russian presidents have described their relations as ‘stabilising force in a chaotic world.’ They have offered their common viewpoints on global governance and solution to conflicts occurring in different parts of the world.

Xi has called for a political settlement for hotspots in the interest of truth and justice. “Aspirations to securing a unilateral hegemony, bloc-based confrontation and power politics pose a direct threat to peace and security for all countries around the world.” The terms ‘unilateral hegemony’ and ‘bloc-based confrontation’ undoubtedly refer to the US that emerged as superpower after the World War II and became lone superpower following the downfall of the Soviet Union. But, with rise of China as second largest economy and the West undergoing multiple crises, the neoliberal unipolar world is fraying and multipolar world order is emerging. 

Russian President Putin said they were working together to create a ‘fairer and more democratic multipolar world order based on the central role of the UN and its Security Council, international law, cultural and civilizational diversity, as well as a calibrated balance of interests of all members of the international community.’ The current world order is based on the Bretton Woods institutions and organisations built in the aftermath of the second Word War and they are dominated by the US and its allies. Those challenging them face an uphill task. This is why Putin has insisted on 'reforming and depoliticising multilateral institutes, such as the World Trade Organisation, G20 and the Asia-Pacific Economic Cooperation forum and adjusting them to modern realities.'

Economic architectures

Russia is not only a military superpower but is now also becoming an economic powerhouse despite a barrage of embargoes. The IMF has forecast that Russian economy will grow (3.2 per cent) faster than all of the advanced economies, including the US, this year. So is its trade, investment and energy cooperation with China. Sino-Russia trade grew by a quarter, reaching $240 billion last year. Their bilateral trade in agricultural products surged by 40 per cent, totalling $9.7 billion. Russia exported food items worth $7.6 billion to China, an increase by 50 per cent. The two countries are implementing 80 priority projects valued at approximately $200 billion. Over 90 per cent of Russian-Chinese commercial transactions are taking place in Ruble and Yuan, keeping their trade and investment intact from the influences of third countries and global currency markets.

The two nations are working to create alternative economic architectures such as BRICS and the Shanghai Cooperation Organisation (SCO), bringing the major developing nations into the fold. BRICS is mulling to develop its own currency to replace the dollar. They are working to align Eurasian Economic Union (EAEU) with Belt and Road Initiative (BRI) to forge Greater Eurasian Partnership. The deepening Sino-Russia partnership is an astonishing phenomenon, with broader implications for regional and global geopolitics and economy. This needs to be geared towards shaping a fair, democratic and peaceful governance order that should be guided by win-win approach and beneficial to all.

(The author is Deputy Executive Editor of this daily.)