{"id":3560,"date":"2025-12-01T10:44:00","date_gmt":"2025-12-01T07:44:00","guid":{"rendered":"https:\/\/bricsmagazine.com\/en\/?p=3560"},"modified":"2025-12-05T14:33:15","modified_gmt":"2025-12-05T11:33:15","slug":"growth-alliances","status":"publish","type":"post","link":"https:\/\/bricsmagazine.com\/en\/ideas\/growth-alliances\/","title":{"rendered":"Growth Alliances"},"content":{"rendered":"\n

Experience and Challenges<\/h2>\n\n\n\n

Russia has accumulated extensive experience of high-tech cooperation with China and India. In the partnership with China, particular attention is focused on microelectronics, telecommunications, AI, and autonomous transport. There are already examples of successful collaboration when Chinese investment and technological competencies are combined with Russian engineering schools and infrastructure.<\/p>\n\n\n\n

In February 2025, for instance, Sberbank announced launch of joint work with the Chinese startup DeepSeek on AI recurrent models, this being the first public precedent of integrating Chinese expertise into the Russian technology sector. In microelectronics, Russia is implementing a large-\u00adscale project to create lithographic equipment for 180\u201390 nm technological processes (the funding exceeds RUB 1.7 billion), while China provides a significant share (estimated at over 70%) of key chip imports into the Russian technology chain.<\/p>\n\n\n\n

The Indian direction demonstrates strong positions in pharmaceuticals, IT services, and agricultural technologies. An agreement is already in effect between the Russian Pharmasyntez and the Indian Emcure Pharmaceuticals on pharmaceutical technology transfer. In addition, India is a key supplier of pharmaceutical substances for the Russian market. In 2024, exports of such Indian products to Russia were estimated at approximately USD 413 million. Russian enterprises attract Indian partners for production localization, while Indian companies gain access to Russian and Eurasian markets.<\/p>\n\n\n\n

Even so, the path to fully-\u00adfledged JVs is not always a simple one. Among the main difficulties are differences in business culture, bureaucratic barriers, intellectual property protection, and the need to build long-term trust. Chinese partners traditionally emphasize consistency and reliability, finding it important to see a Russian business\u2019s stability and genuine readiness for long-term partnership. Indian companies are more flexible, make decisions faster, and are more open to experiments, though they require extremely transparent rules of the game and legal protection.<\/p>\n\n\n\n

There is also a marked difference in negotiating styles. Chinese partners build relationships step by step, value respect for hierarchy, and often focus particularly on informal diplomacy: personal meetings, dinners, cultural exchanges. Indian partners prefer open discussions and joint problem-\u00adsolving, are more inclined toward improvisation and rely on dialogue. It is important for Russian companies to take these specifics into account to speed up the coordination process and avoid misunderstandings.<\/p>\n\n\n

\n
\"\"
India is a key supplier of pharmaceutical substances for the Russian market.
\u00a9 Novikov Aleksey \/ Shutterstock \/ FOTODOM<\/figcaption><\/figure>\n<\/div>\n\n\n

The Growing Cooperation Trend<\/h2>\n\n\n\n

Despite the complexities, the number of alliances is growing. The world is entering an era of technological turbulence when countries are seeking reliable partners in order to diversify risks. Russia is becoming a platform for India and China can expand production, adapt technologies for the Eurasian market, and combine competencies.<\/p>\n\n\n\n

Sanction restrictions and the need for import substitution are accelerating the process: domestic companies are looking for partners that can provide access to modern technologies, while Asian players are interested in expanding their presence in Eurasia. So, joint ventures are a natural response to the global challenges and are shaping a new economic landscape.<\/p>\n\n\n\n

JVs provide a number of advantages:<\/p>\n\n\n\n

    \n
  • Market access. Russia provides partners with access to the EAEU space and former Soviet republics.<\/li>\n\n\n\n
  • Technology exchange. Joint projects allow the Russian engineering school and Asian serial production experience to be combined.<\/li>\n\n\n\n
  • Cost reduction. Localization cuts logistics and import cost.<\/li>\n\n\n\n
  • Business resilience. Risk distribution among partners makes projects more resilient in the face of global economic instability.<\/li>\n\n\n\n
  • Joint development of human capital. JVs create new jobs, build competencies and contribute to development of the research base.<\/li>\n<\/ul>\n\n\n\n

    Promising Niches<\/h2>\n\n\n\n

    In our opinion, the most promising areas for JVs in Russia could be:<\/p>\n\n\n\n

      \n
    • Microelectronics and new materials.<\/li>\n\n\n\n
    • Agricultural technologies and food security.<\/li>\n\n\n\n
    • AI and digital platforms.<\/li>\n\n\n\n
    • Autonomous transport and smart logistics.<\/li>\n\n\n\n
    • Fintech and joint payment solutions (including initiatives such as BRICS Pay)<\/li>\n\n\n\n
    • Quantum technologies and telecommunications.<\/li>\n<\/ul>\n\n\n\n

      These industries meet both Russia\u2019s national priorities and the strategic interests of Asian partners. For instance, China and India have already identified AI, microelectronics, and fintech as key areas of their national development strategies. These are the spheres in which the countries are increasing investment and technology exports, while seeking partners for joint projects within BRICS.<\/p>\n\n\n

      \n
      \"\"
      \u00a9 Yevhenii Strebkov \/ Shutterstock \/ FOTODOM<\/figcaption><\/figure>\n<\/div>\n\n\n

      State Support<\/h2>\n\n\n\n

      Establishment of JVs is embedded in Russia\u2019s national programmes, from digital transformation to transport and industry development strategies. The state offers a whole range of support measures:<\/p>\n\n\n\n

        \n
      • Tax incentives and accelerated equipment depreciation.<\/li>\n\n\n\n
      • Subsidies and grants for infrastructure and R&D.<\/li>\n\n\n\n
      • Special economic zones and industrial parks with preferential rents and a ready-made engineering infrastructure.<\/li>\n\n\n\n
      • Support from development institutions (Russian Export Centre, VEB.RF, Skolkovo).<\/li>\n\n\n\n
      • Import substitution and localization programmes prioritizing projects with foreign partners willing to locate production in Russia.<\/li>\n<\/ul>\n\n\n\n

        It is important for these measures to be truly effective: today, there direct financing of pilot projects, especially in microelectronics and agricultural technology. The state already sometimes partially compensates for equipment procurement costs or co-finances scientific research, creating conditions for successful JV launch.<\/p>\n\n\n\n

        Business and Empathy<\/h2>\n\n\n\n

        In this situation, a special role belongs to expert structures, including the Russian-\u00adAsian Business Council, which acts as a link between Russian enterprises and partners from China and India. Our task is to help companies go through all the stages from finding a partner and setting up negotiations to gaining legal support and entering the market. The East is a delicate matter, and understanding how processes are organized in other countries, the principles of state regulation, and how non-standard issues are resolved saves a lot of time and even more money.<\/p>\n\n\n\n

        The Council promotes both trade-\u00adeconomic and investment relations with Asian countries. In particular, we assist in importing sensitive products in the fields of IT, microelectronics, and electronics for leading Russian corporations. The sanctions have complicated procurement of a whole range of product categories, and our personal relations and established supply chains help resolve issues related to payment processing, compliance and product legending (end-use\/end-user documentation).<\/p>\n\n\n\n

        Today, the Council is working on several real cases: two IT equipment and microelectronics projects, and one in agricultural technologies. Our Asian partners are ready to invest in the Russian Federation and even ensure technology transfer. Yet, to work successfully with Asian partners, the situation has to be seen through their eyes, we call this business empathy. We remain, in many ways, a higher investment risk country and foreigners expect Russian partners to solve problems using state regulation and ensure market access. If they believe that the situation is predictable and controllable for them, they come, bring technologies and create jobs. The Council\u2019s work is to help them in this.<\/p>\n\n\n\n

        In Lieu of a Conclusion<\/h2>\n\n\n\n

        Russia\u2019s cooperation with China and India in high-tech industries is not just a diplomatic initiative but an objective trend that will intensify in the coming years. Joint ventures are becoming a platform for combining resources, technologies and markets. Meanwhile, state support, along with the work of centres like the Russian-\u00adAsian Business Council, make these projects not only possible but truly successful.<\/p>\n\n\n\n

        Our goal is to form, by 2030, a network of Russian-\u00adAsian technology alliances in Russia to become a mainstay for the national economy and a magnet for investment from India and China.<\/p>\n","protected":false},"excerpt":{"rendered":"

        In recent years, Russia has been actively building up strategic partnerships with leading Asian countries. Two directions have come to the fore: Russian-Chinese and Russian-Indian cooperation. 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