Russian counterparts actively use netting systems for payments for exports and imports to trade with China, which significantly reduced Russian business costs.
Russian banks, which fell under western penalties, introduced a new calculation system along with the “China track” (China track). This mechanism allows for trading operations without the use of the SWIFT or Western bank account, reducing the risk of secondary penalties and speeding the movement of funds. Reuters reported this on Tuesday, April 22.
The system works based on netting -temporarily counting payments between exports and imports through mediators to friendly constituents. This makes it possible to reduce the commission from 12% to 2024 to 2-3% in 2025.
This makes it possible to reduce business costs and accelerate the transfer of funds.
However, each payment requires a separate approval, and suppliers cannot always restore VAT exporting.
The “Chinese track” focuses on large corporations. The bankers note that payments are now taking place without delay in any Chinese bank, if the goods are not under the penalties, and the counterpart is registered in one of the 11 Chinese provinces: Ankhoy, Haylunjiang, Shandun, Zhezzyan, Guangdun, Sinjiang, Jilin, Sheni, Sichuan, Fujian and Habei.
The scheme was created after 2024 large Chinese banks that almost completely stopped the direct calculations in Russia due to the threat of a second penalty.
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Source: korrespondent
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.