THE ASSESSMENT OF THE CURRENT STATE AND THE PROSPECTS FOR ECONOMIC COOPERATION OF RUSSIA AND CHINA

The relevance of the study is determined by the necessity to develop cooperation with China, which corresponds to the main course of our state policy aimed at the modernization of the Russian economy, the diversification of foreign economic relations of the Russian Federation, in particular, the enhancement of its Asian vector. Russia has long-term plans related to the development of bilateral economic cooperation with the People’s Republic of China. The paper gives the details of the intellectual roots of the economic model focused on the economic cooperation in the sphere of trade and investments. The authors give the review of literature studying the relationship between trade policy and economic growth, as well as the incentives and the determinants of the geographical location of foreign investments. It is noted that all existing theories of trade and international capital flows are the subjects of scientific debate. However, virtually, all aggregate variables affecting the decision on foreign investments mentioned by the theorists have been confirmed in the investment cooperation between China and Russia. The paper reveals the dynamism and, at the same time, the unevenness of Russian-Chinese economic cooperation, as well as the dependence of Russia on the Chinese economy. The authors emphasize that the PRC is more advanced technologically and economically partner interested only in the energy investment projects in the Russian economy. This orientation of Chinese business will not solve the issues of the innovation underdevelopment of Russian economy and its strong dependence on the natural resources extraction. To overcome this negative trend, as a possible scenario of the development of economic cooperation between Russia and China, the organization of transnational cluster structures is proposed as the technological superiority is the basis of any cluster. The authors named the principal arguments in support of the development of the intercluster cooperation.