Russia's Natural Gas Industry Co., Ltd. announced on Tuesday (6th) that the method of export payment for natural gas to China will be changed from the euro and the US dollar to rubles and RMB.
According to comprehensive reports of the Financial Association and Zhongxin Jingwei, Russia did not provide further details of the payment mechanism, nor did it explain when the payment method was converted to rubles and RMB.In addition to China, Russia will also use rubles to pay when conducting natural gas transactions with Turkey.
Alexei Miller, CEO of Russia, said that allowing Russian rubles and RMB to pay is "mutually beneficial" for Russia and PetroChina.He said: "This will simplify the calculation, set a good example for other companies, and provide extra motivation for our economic development."
Since the outbreak of the Russian crisis, with the launch of European and American countries, a series of sanctions have launched a series of sanctions.Russian President Putin immediately requested that countries that receive Russian natural gas in Europe pay rubles to avoid Western sanctions.
The increase in trade volume of Russia and China will help boost the market's demand for the RMB.Because a large number of US dollars and euro payments are no longer used under Western sanctions, Russia is now the third largest RMB trading market outside mainland China, second only to Hong Kong and Britain, the main offshore RMB payment centers.
The current oil exports of Russia have adopted RMB instead of US dollars to pay. At the same time, Russia also accepted coal transactions with RMB.
