China has long been Russia’s primary source of bulk imports, but the landscape has changed in 2023–2025, with rising production costs, increased environmental and currency regulations, and geopolitical volatility. Meanwhile, the Russian market’s dependence on Chinese supplies remains unchanged—with limited access to Western technology, China remains a virtually uncontested partner. Andrey Zakharchenko, head of the logistics company Tradest, discusses how Russian businesses can adapt to the new conditions.
The cost of operating in China began rising back in the 2010s, as the country gradually ceased to be the “world’s factory” with the cheapest labor. In 2023, following the COVID-19 recession, wage growth accelerated. According to China’s National Bureau of Statistics, the average wage in the manufacturing sector reached 120,698 yuan per year in 2024, up from approximately 103,000 yuan in 2022. Moreover, in export-oriented regions such as Guangdong and Jiangsu, the increase was even more significant, especially in industries with a high share of manual labor. For Russian importers, this means a gradual increase in the prices of basic goods, even without taking into account logistics and exchange rates.