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Anti-Sanctions? Putin Lifts "Limits" And China Agrees To Increase Investment In Russia

Tyler Durden's picture




 

As Putin warned earlier in the week, they do not see the effectiveness of sanctions; but it seems he had something else in mind. By rolling back informal limits on Chinese investment, Putin has opened the door for significant capital inflows from his new best friend... and China has already agree to increase investment. While Putin is careful to note that the Chinese will not be allowed to invest in gold or diamond mining, or hi-tech projects, Russia hopes to lure cash from the world’s second-biggest economy into industries from housing and infrastructure construction to natural resources. Chinese President Xi Jinping and Russian President Vladimir Putin will meet in Shanghai May 20/21 and Chinese officials have already confirmed bilateral cooperation in the areas of investment and finance has made major progress as local currency settlement in two-way trade increases. Forget sanctions, just remove the US from the world trade equation...

As Bloomberg reports, Russian President Vladimir Putin plans to open the door to Chinese money as U.S. and European sanctions over Ukraine threaten to tip the economy into recession, according to two senior government officials.

The move would roll back informal limits on Chinese investment as Russia seeks to stimulate growth, said the officials, who have direct knowledge of talks and asked not to be identified as the information isn’t public. The government wants to lure cash from the world’s second-biggest economy into industries from housing and infrastructure construction to natural resources, they said.

 

The Chinese won’t be welcome in all areas: Russia plans to set “red lines” around significant gold, platinum-group metals, diamond mining and high-technology projects, the officials said.

 

...

 

Putin’s decision, coming as competition from U.S. and European financing slows, may offer China a good opportunity to gain access to Russia’s economy. Existing resource projects will probably be more appealing than starting from scratch, Moscow-based George Buzhenitsa, Deutsche Bank AG analyst said by phone on May 7.

 

...

 

“Given that China has a shortage of raw materials from iron ore to coal to copper, it may be extremely interested in gaining access to such projects in Russia,” Buzhenitsa said.

And China seems more than willing to step up...

China is ready to join with Russia to increase two-way investment, Chinese Vice Premier Zhang Gaoli said here Thursday.

 

...

 

Their talks were focused on bilateral investment and practical cooperation in the financial area, in preparation for the forthcoming meeting between the two heads of state.

 

Chinese President Xi Jinping and Russian President Vladimir Putin will meet when Putin attends the Fourth Summit of the Conference on Interaction and Confidence Building Measures in Asia (CICA), on May 20 and 21 in Shanghai.

 

Zhang said bilateral cooperation in the areas of investment and finance has made major progress. China has increased investment in Russia and become the country's fourth largest source of foreign direct investment.

 

He said financial cooperation between China and Russia is growing as local currency settlement in two-way trade increases and consultations on a package of currency swaps are on-going.

 

Zhang expressed the hope that the two sides increase mutual investment via the China-Russia investment fund and carry out the first batch of investment projects as planned.

 

He said the two sides should increase investment in the forms of greenfield investment, equity investment, bond issuance and mergers and acquisitions.

 

Zhang asked the Russian side to help Chinese enterprises to invest in special economic zones in the Far East region of Russia.

Who needs sanctions when China is your friend? And it would seem no matter what card the US tries to play, Putin has a trump (for now).

 

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Sat, 05/10/2014 - 15:30 | 4746565 bag holder
bag holder's picture

<-- Rooskies up to their old tricks

<-- Rootin' for Putin

Sat, 05/10/2014 - 16:01 | 4746636 kashey
kashey's picture

in Ukraine US-backed neo-fascist government troops yesterday terrorized city of Mariupol, killed about 40 unarmed civilians who protested against fascism. Neo-fascist government troops also stormed and burnt local police department after police officers refused to arrest and suppress peaceful anti-fascist demonstration on Victory day (in former USSR celebrated on May, 9). http://www.1tv.ru/news/world/258377

Sat, 05/10/2014 - 18:32 | 4746876 TBT or not TBT
TBT or not TBT's picture

Another kleptocrat fellating thread. Russia and China are.both authoritarian dictatorships atop very sick societies.

Sat, 05/10/2014 - 18:45 | 4746891 kashey
kashey's picture

More or less, but the difference between us is that we don't fool ourselves about societies and state we live in, but you in the West are so much brainwashed to think you're somehow better a country, a society, a person. You are powerless zero in terms of defining your life.

Sat, 05/10/2014 - 19:12 | 4746918 TBT or not TBT
TBT or not TBT's picture

You may call me a dreamer, but I'm not the only one. A lot of us still believe in the invisible hand of the market to define the possibilities of our lives rather than control freak central planner psycho overlords.

Sat, 05/10/2014 - 20:46 | 4747061 BlindMonkey
BlindMonkey's picture

That is an adorable sentiment. Let's run up the fallacies shall we? NDAA unlimited detentions at the whim of the executive, Too Big To Prosecute banks, people and companies, student loans turning the young into debt serfs, an unpayable national debt, a national spy apparatus that is unimaginable in scope, etc.

The invisible hand of the markets here doesn't exist either. It has been replaced with your aforementioned control freak psychology overlords. I am sorry to be the bearer of bad news here. I wish it wasn't so myself.

Sun, 05/11/2014 - 00:41 | 4747551 jeff montanye
jeff montanye's picture

p.s. and screw him for alluding to lennon's imagine which is diametrically opposed to the sentiments he claims.  p.s. and he didn't do it ironically.  

Mon, 05/12/2014 - 02:08 | 4749992 UselessEater
UselessEater's picture

wasn't lennon executed for wanting come clean on revealing the Tavistock-ish shite that paved the way for the beatles, drug culture and so-called drug-free sex revolution of the later part of his era funded as we know by the usual suspects funding womens lib....

 

Mon, 05/12/2014 - 04:42 | 4750085 old naughty
old naughty's picture

they say money is the lifeblood that must be kept flowing to the matrix mind, just like blood to human hearts.

so, put-in is only keep the "pump" going, no?

Sat, 05/10/2014 - 20:47 | 4747069 Anusocracy
Anusocracy's picture

Government has been growing in size and scope for thousands of years.

It will stop expanding when it reaches world governance and at that stage there will be nothing able to resist it. Currently, with hundreds of nations, it is possible to find some relief from total control. Not so under a world government.

I despise all governments but those of the West the most - they are far closer to a world government.

Sat, 05/10/2014 - 21:32 | 4747186 RumCurrency
RumCurrency's picture

We have a one world government now.  The US took the reigns after WWII.  Just as the Greeks once ruled, then Romans, and more recently the British empire.  Once one empire falls, another one simply emerges to fill the power vacuum, after a huge death toll of course.  Right now, China and Russia are at the frontiers of the US empire.  When the empire does inevitably start to falter (perhaps it already has), they will be the barbarians at the gate, so to speak.

Sat, 05/10/2014 - 23:52 | 4747500 rocker
rocker's picture

America's Big Money wants to make crap in China and sell the same here at thieving prices. Margins are so high on China made crap that it makes the Oil Price Sham look trivial. It does have consequences to China's environment though. Of which the people themselves finally have had enough. I always believed that America's Big Money wants it both ways but are now realizing their exploitation is going to be at our people's demise. Although the Big Money will not suffer at all. They did drain the most from the sheeple and left them with debt. Even the Banksters dumped their debt on the people. It takes a simple mind to believe that Russia is defenseless and helpless as only America believes. Must be too much MSM. Surely the Germans know better. China is Russia's friend and partner in many things. China trades with Iran all the time, as does Germany who also trades with China, Russia and Iran. We are being left out, and they don't care. It is our bed.    

My favorite saying is: "We are Japan now".  We do have some reserves of oil and gas, but Big Money will steal that and exploit the people with unjustified high prices for the same. So we are Japan and maybe even worse as the Big Money is now crashing the currency of the people. Yes, it's not that stuff is going up in price as much as the dollars used to buy stuff are worth less. For sure, our dollar is worthless. Thanks, Big Ben.

Sun, 05/11/2014 - 01:53 | 4747620 kashey
kashey's picture

Ironocally Russia is much more a free-market capitalist society than Europe and (for a couple of decades) USA. After collapse of USSR the government doesn't subsidize anything, no industry and even agriculture, while in the West everybody is sweeming in river of cheap and even free money, government spends trillions to support local producer and consumer. You are really a dreamer, you should wake up to new realities. Russia is a semi-authoritarian state, but amazingly to myself we are much more a free market, a healthy values conservative straight nation, we enjoy less regulation and restrictions, more personal (non-political) freedom in daily life than people in the west. Besides, even being personally anti-putinist I have to admit that we have more a popular leader :) We are better in everything... :) and have balls, the only ones on the planet, to piss on Obama and Merkel to reunite with Crimea, which has ever been ethnically Russian :)

Sat, 05/10/2014 - 16:24 | 4746698 Oracle of Kypseli
Oracle of Kypseli's picture

Russia and china are playing chess and the United States of Entertaiment is playing checkers.

I never thought that I would ever be able to say something like that 20 years ago or so. That's how bad things are getting lately.

Sat, 05/10/2014 - 16:44 | 4746736 Lost Word
Lost Word's picture

Ironic that US money goes to China,

China's money now going to Russia,

so indirectly, US money going to Russia.

Sat, 05/10/2014 - 19:14 | 4746921 TBT or not TBT
TBT or not TBT's picture

And the kleptocracy there parks it back in western banks and western assets.

Sat, 05/10/2014 - 20:59 | 4747100 Anusocracy
Anusocracy's picture

Only stupid people keep all their eggs in one basket.

If I were an elite, I would have assets in several reasonably safe locations.

Mon, 05/12/2014 - 04:44 | 4750086 old naughty
old naughty's picture

"Ironic that US money goes to China,

China's money now going to Russia,

so indirectly, US money going to Russia. "

 

Blood to heart...

money to matrix mind,

must keep the flow going. No plug-ups.

Sun, 05/11/2014 - 00:46 | 4747561 jeff montanye
jeff montanye's picture

but with those sanctions and all some (most?) is being pulled out and redeployed elsewhere.  as with many others, it's not clear to me which side these sanctions are going to hurt more.

Sat, 05/10/2014 - 19:50 | 4746971 Tabarnaque
Tabarnaque's picture

I'd rather say: US Debt goes to China. Then China uses US debt for wealth creation. Then the wealth created goes to Russia for investment and more wealth creation.

Sun, 05/11/2014 - 00:33 | 4747541 Treason Season
Treason Season's picture

Nothing new. Rockefeller and LBJ among others gave billions to the Reds, not to mention the fucking a-bomb and cruise missiles

Sat, 05/10/2014 - 18:14 | 4746854 sangell
sangell's picture

This is small beer, a cheap consolation prize for Putin. He needed something big like a long term commitment from China for Siberian gas and financing for the Power of Siberia pipeline. That is why he dispatched the Deputy PM to China last month. He came back empty handed. China is not going to pay the high prices Putin needs to make this project feasible preferring to develop its own shale gas instead of pouring billions in to develop Siberia for Russia. You clowns think Putin is playing chess? If he is Europe put him in check with their move to diversify their gas supplies and reduce Putin's revenues and he just traded a knight for a pawn with Xi Jinping who he has to cling to for whatever crumbs Xi will give him as the G-7 prepares to squash Russia's economy if Putin pushes into Ukraine.

Sat, 05/10/2014 - 16:14 | 4746673 TheReplacement
TheReplacement's picture

More like China making a move.

Sat, 05/10/2014 - 16:22 | 4746691 Relentless101
Relentless101's picture

I think that is more likely. China has some real shit going on. They need support as well.

Sat, 05/10/2014 - 15:30 | 4746566 Headbanger
Headbanger's picture

Yeah, I bet China just "invested" in that Russian plane stuck in Moldova for starters..

Sat, 05/10/2014 - 18:23 | 4746867 sangell
sangell's picture

Putin probably wishes Deputy PM Rogozin had been shot down after his mission to Beijing last month failed to get China to commit to a big gas and gas pipeline deal. Putin needs real support not symbolic support and China isn't giving it. Naval exercises of the sort the US does routinely with navies around the world is not a strategic alliance. A commitment to invest a bit here a bit there is what China offers any country not a valued partner. Everywhere Putin looks he is getting the cold shoulder as befits this KGB thug. His only 'allies' are creeps like Daniel Ortega, Kim Jung Un and Robert Mugabe!

Sat, 05/10/2014 - 15:31 | 4746568 TeamDepends
TeamDepends's picture

Cut to photo of these two world leaders tongue kissing.

Sat, 05/10/2014 - 15:39 | 4746585 Volkodav
Volkodav's picture

nothing intelligent to contribute?

Sat, 05/10/2014 - 15:48 | 4746594 TeamDepends
TeamDepends's picture

OK, it was perhaps merely "a hug".  Is that better?  And what have you contributed that is "intelligent"?

Sat, 05/10/2014 - 15:57 | 4746625 ebear
ebear's picture

He bitch slapped you, so there's that.

Sat, 05/10/2014 - 15:59 | 4746633 TeamDepends
TeamDepends's picture

And you have nothing intelligent to contribute, so there's that.

Sat, 05/10/2014 - 16:06 | 4746653 socalbeach
socalbeach's picture

Most of the comments at the top of a thread are void of useful content.  Including this one.

Sat, 05/10/2014 - 16:12 | 4746666 TeamDepends
TeamDepends's picture

We wait, then, for you to junk yourself for posting a quite useless post.

Sat, 05/10/2014 - 16:15 | 4746675 socalbeach
socalbeach's picture

done.

(I junked the 2nd part of my post.  I agree with the first part).

Sat, 05/10/2014 - 16:17 | 4746680 TeamDepends
TeamDepends's picture

+1

Sat, 05/10/2014 - 16:17 | 4746678 Volkodav
Volkodav's picture

You're getting more downvotes as you go...

Sat, 05/10/2014 - 16:18 | 4746684 TeamDepends
TeamDepends's picture

As are you.

Sat, 05/10/2014 - 16:26 | 4746701 BlindMonkey
BlindMonkey's picture

You are clearly C league material for fight club. Light on talent, intelligence and wit.

"Look son. You have a good heart. This just might not be the game for you though."

Sat, 05/10/2014 - 16:31 | 4746715 TeamDepends
TeamDepends's picture

Bring it "Blind Monkey", who has been here all of 10 weeks.

Sat, 05/10/2014 - 16:37 | 4746722 BlindMonkey
BlindMonkey's picture

I shall try to roll at a speed at which you will, hopefully, find comforting and to your style based on your comments above:

I know you are but what am I?

Sat, 05/10/2014 - 16:46 | 4746738 TeamDepends
TeamDepends's picture

Your monkey logic is too much!/  (throws a banana)

Sat, 05/10/2014 - 17:30 | 4746806 TeamDepends
TeamDepends's picture

To ebear and the other candy-assed maggots who junked us:  Do you think China and Russia are NOT in bed together?

Sat, 05/10/2014 - 17:49 | 4746824 Luckhasit
Luckhasit's picture

Does a bear shit in the woods?

Sat, 05/10/2014 - 17:55 | 4746829 TeamDepends
TeamDepends's picture

If it serves his commie goals then you bet your ass he does.

Sat, 05/10/2014 - 16:40 | 4746706 TeamDepends
TeamDepends's picture

Sat, 05/10/2014 - 16:52 | 4746746 TeamDepends
TeamDepends's picture

Tried to post picture of Putin and Hu Jintao hugging but it ain't happening.

Sat, 05/10/2014 - 20:48 | 4747074 BlindMonkey
BlindMonkey's picture

"A" league talent could have figured out how to imbed a pic.

Sun, 05/11/2014 - 01:48 | 4747619 StychoKiller
Sat, 05/10/2014 - 15:39 | 4746586 Racer
Racer's picture

The US global bully just got his ass whipped

New global reserve currency coming in 3.....2.....1......

Sat, 05/10/2014 - 15:54 | 4746617 infiniti
infiniti's picture

Backed by the biggest money printer in history and a recently defaulted country that has the weakest currency in the world?

Oh please share more of your infinite wisdom with us.

 

 

 

Sat, 05/10/2014 - 16:31 | 4746711 BlindMonkey
BlindMonkey's picture

"Backed by the biggest money printer in history and a recently defaulted country that has the weakest currency in the world?"

The global CB race to the bottom is an amazing thing to watch in real time isn't it? Imagine what will happen when one of them puts it's flag in the ground, backs the currency with gold or other hard asset, and says we will not participate in the global debasement.

Sat, 05/10/2014 - 19:01 | 4746904 rodonmeguro
rodonmeguro's picture

We could print USDs for the next 50 years and it wouldn't be reduced to the status of the RUB and CNY. Russia and China are dysfunctional dictatorships built on dishonesty, mistrust and corruption; it'll be a cold day in hell before either of their currencies becomes a standard.

Sat, 05/10/2014 - 19:22 | 4746930 TBT or not TBT
TBT or not TBT's picture

Rule of law may seem like a joke but relative to Russia or China, it stands pretty strong still.

Sat, 05/10/2014 - 21:22 | 4747137 new game
new game's picture

why the fuck would the controllers do something so stupid as backmoney by gold when they got you and i owned and control all our asses(laws, polis and everyfucking thing you do, say, own and even think),wish/think but please wake the fuck up. you are powerless over your overlord(unless it is your turn to be the next dead fuck)...

just watch the events as they unfold in ukraine, cyprus, greece or any the fuck where and report back how that wish/think gold backed thingy is working out...

fuck gold as it is just a mirage of hope...

the true hope rests in enjoying the moment; go out for your fav pizza, a bone session, walk in  the woods, run, or anything fun that ignores these oligarch cock suckers and their control - because you and i are truely powerless over their control...

step one.

Sat, 05/10/2014 - 15:57 | 4746624 Canucklehead
Canucklehead's picture

-1.....-2......-3.....

You don't really understand how the world works, do you?

Here, read this:
http://www.princeton.edu/~ies/IES_Essays/E181.pdf

Sat, 05/10/2014 - 17:21 | 4746776 Oracle of Kypseli
Oracle of Kypseli's picture

This paper summarizes that:

"two basic sets of conditions are necessary for the international use of a country's currency. Confidence in the value of the currency and the presence of well developed financial markets that are free of controls" (and by extension free of manipulation which shutters confidence. My words) page 5

Further: "Dominance appears to be related to the issuing country's share of the worlds exports." (That points to China)

Right now however, I do not see any currency that does not have some kind or other market controls or artificial pegging. Even the mighty Swiss frank has changed modus operandi.

So then, the USD stays by default until the two conditions are met and the USD is challenged.

Based on the above, only China can challenge once they have some gold backing and they float their currency. Before that happens however, I see a burst of the 1.5 quadrillion derivatives and simultaneous revolutions and people uprisings everywhere re-starting with Greece.

Brace yourself Sheila.

Sun, 05/11/2014 - 12:34 | 4748192 RaceToTheBottom
RaceToTheBottom's picture

China has printed three times more money than the US has.

 

Does that sound like a country that will peg their currency to gold?

Sat, 05/10/2014 - 16:01 | 4746641 imapopulistnow
imapopulistnow's picture

When the dollar loses its global reserve status, whose fault will it be, Bush or those Teabaggers?

Sat, 05/10/2014 - 16:23 | 4746694 TheReplacement
TheReplacement's picture

It was those racist Republicans under Jefferson Davis who tried to secede from the Union in order to keep slaves.  Duh.

I get and agree with the concept of current Republicans being on the same team as the socialists and marxists of the Democratic party.  That's the party, specifically the establishment.  The left still portays Republicans and Hitlerian storm troopers who enslaved millions of blacks and caused the deaths of millions of Native Americans and who want to do more of the same to everyone today.  Regardless of what happens, most of us stand on the right, whatever it is called.  We will be included when they bring out the long knives so it might be better than nothing to keep fighting the red vs blue fight, especially within the red camp. 

Sat, 05/10/2014 - 17:01 | 4746762 sessinpo
sessinpo's picture

TheReplacement     Republicans under Jefferson Davis

---

I am guessing you left off the sarc tag. Davis was a democrat leading the confederates.

Sat, 05/10/2014 - 16:09 | 4746657 JR
JR's picture

The US is going to pay a price for “John McCain.” He costs you.

Sat, 05/10/2014 - 16:09 | 4746658 ...out of space
...out of space's picture

what kine of exchange rate they use in this currency swap?

cny/rub or something else

Sat, 05/10/2014 - 16:15 | 4746674 MeMongo
Sat, 05/10/2014 - 16:16 | 4746677 J_jade
J_jade's picture

So.. in 10 years, 20 years when your old and grey and still living in your parents basement and the US Dollar still has not collapsed are you still going to go well any day now ?  right ?!?!  Cause ppl like Peter Shciff who btw has a lot of disgrurntled clients or that ididot max keiser or the other idiot at info wars.   Someone should put all thosee nut jobs on Jerry Springer show and let them have at it. Better bring a few Martians to fling chairs while they are there.  Too bad that show isn't on anymore.

Im waiting for either russia or china to stab the other one in the back, i mean really they are both communists.

Like now, China is devaluing there currency so they can export more of there junk for even cheaper because there wages have gone up and some manufacuteres are bailing to go to other shit hole countires where the labour is even cheaper then China.  Makes me laugh really.

Sat, 05/10/2014 - 20:36 | 4747001 Seek_Truth
Seek_Truth's picture

"Im waiting for either russia or china to stab the other one in the back, i mean really they are both communists."

Fact check- Communist countries: 

China, Cuba, Laos, North Korea, and Vietnam.

http://geography.about.com/od/lists/tp/communistcountries.htm

Russia is not Communist, it has been a Federal semi-presidential constitutional republic since 1991, that’s 23 years ago!

Better to Remain Silent and Be Thought a Fool than to Speak and Remove All Doubt.

Sat, 05/10/2014 - 22:31 | 4747359 Kirk2NCC1701
Kirk2NCC1701's picture

Agree with the Currency Reset part, but not with the part that there will be THE ONE new GRC.

Rather, we are likely to see the USD getting demoted, to be one of the RRCs (Regional Reserve Currency).  With the Rouble, CNY, EUR, Rupee, Real, etc. making up other ones.  That way, there will be no need for an IMF or BIS (in their present form or locations).

THIS is the REAL "battle royal" that's going on behind the scenes and in locked boardrooms.

Sat, 05/10/2014 - 15:41 | 4746590 SpanishGoop
SpanishGoop's picture

"Russia plans to set “red lines”

And these are Russian red lines which are quit different than Obummer red lines.

 

Sat, 05/10/2014 - 15:42 | 4746592 hognutz
hognutz's picture

Putin to Obama: Checkmate.

Sat, 05/10/2014 - 15:48 | 4746597 Chief Wonder Bread
Chief Wonder Bread's picture

Nations don't have friends, they have interests.

I'm sure the Chinese are more than happy to invest in 'eastern Russia' (otherwise known to them as 'Greater Manchuria')

If the US kept its ass out of the mix, the nations of the eurasian landmass would do more than enough all on their own to stay divided and weak against its eminence. No PNAC required.

Sat, 05/10/2014 - 16:03 | 4746645 imapopulistnow
imapopulistnow's picture

The hell you say.  We made lots of Russian friends, for instance those pussy riot girls....

Sat, 05/10/2014 - 15:47 | 4746602 LawsofPhysics
LawsofPhysics's picture

Trade is all that ever matters folks.  The Chinese people, own most of the western coasts of America and Canada.  They have what was America's manufacturing base and now they are going to increase trade with Russia (as well as Brazil and africa).  Numbers matter.  Unlike the average 'merican.  Most chinese don't watch telivision and do what is good for China.  Now things get interesting. 

Sat, 05/10/2014 - 15:50 | 4746608 Canucklehead
Canucklehead's picture

There's a reason why those Chinese Entrepreneurs liquidated Chinese capital and invested it in Canada and the USA. That is the same reason that Russian Entrepreneurs liquidated Russian capital and invested it in Europe and the USA.

Sat, 05/10/2014 - 15:57 | 4746622 infiniti
infiniti's picture

Chinese own most of the US west coast? Oh really, that's a fascinating revelation, where did this data come from?

Sat, 05/10/2014 - 16:05 | 4746651 imapopulistnow
imapopulistnow's picture

It's obvious hyperbole regarding the large number of recent real estate purchases.

Sat, 05/10/2014 - 16:56 | 4746756 shovelhead
shovelhead's picture

Ok,

It was a 3 bd fixer upper in Chula Vista.

Sat, 05/10/2014 - 16:17 | 4746681 Jorgen
Jorgen's picture

The Chinese people, own most of the western coasts of America and Canada.

When the U.S. (officially) entered WW2, the Japanese-Americans owned properties and businesses in the U.S., too. Then, suddenly, they didn't...

Sat, 05/10/2014 - 16:52 | 4746748 Lost Word
Lost Word's picture

Similar to the American Indians ?

Similar to Clive Bundy and the BLM ?

History repeats ...

Sat, 05/10/2014 - 17:06 | 4746767 JR
JR's picture

But Putin, in my opinion, isn't going to sell Russia out from underneath his people; he has established limits, unlike the U.S.

For decades America’s manufacturing, patents, technological innovation and jobs have been sold out of America by America's oligarchs. In Putin’s Russia, it doesn’t work that way. Russian resources and Russian oligarchs are held in check because the Putin Administration realizes that Russia’s resources and technologies are only beneficial to Russia when they are used for Russia.

And unlike the U.S. Congress, a former State Department official says that “No one has ever been able to come up with a bribery charge against Putin.”*

Therein lies Putin’s problem, his integrity. And they hate him. Putin four months after taking office made a deal with Russia’s oligarchs (largely Jewish plutocrats): they could keep their illegally gained wealth if they personally stayed out of Russia’s politics. And the proverbial hit the U.S., oligarch-owned media fan..

They decided to bring Putin to heel and the demonization began.

Says Sharon Tennison who has observed Russia these past 30 years and been committed to opening relations between Washington and Moscow: “US media and officials then began to champion the oligarchs, particularly Mikhail Khodorkovsky. The latter became highly political, didn’t pay taxes, and prior to being apprehended and jailed was in the process of selling a major portion of Russia’s largest private oil company, Yukos Oil, to Exxon Mobil. Unfortunately, to U.S. media and governing structures, Khodorkovsky became a martyr…”

Khodorskovsky went to jail, Exxon Mobil didn’t get Russia’s oil, and Russia's oil is still in Russia.

*http://www.globalresearch.ca/who-is-vladimir-putin-why-does-the-us-government-hate-him/5381205

Sun, 05/11/2014 - 13:05 | 4748220 RaceToTheBottom
RaceToTheBottom's picture

Your mancrush is showing.  

Putin, ethics?

How do you think that Putin got his Billions?  Salary?

You tool.

Sat, 05/10/2014 - 22:39 | 4747370 Kirk2NCC1701
Kirk2NCC1701's picture

Yup.  And in the end, it is Worldviews* that compete, and win, lose or draw.

How is it that the US/West is getting its ass handed to it, when Eastern worldviews are now beating Western worldviews?  The West lost the vision and moral leadership somewhere along the way.

* Superstitions, Philosophies and Religions are Worldviews.  As is Darwinism and the Scientific Method.

Sat, 05/10/2014 - 15:59 | 4746634 Z_End
Z_End's picture

So Vlad is out of town on May 20/21? I wonder if the US/NATO/Ukraine glee club will try something when he is far away?

Sat, 05/10/2014 - 15:59 | 4746635 Sudden Debt
Sudden Debt's picture

oh dear, our old masters are failling and are losing their grip on the world.
it's getting claer we should offer our children to the old world order to fight the new one...
Mine... I'll keep close and learn not to fight a elite war that only serves bank accounts not ours.

Sat, 05/10/2014 - 16:02 | 4746644 geno-econ
geno-econ's picture

Sounds like Russia/China Detente without any Jewish emmigration policy to get in the way   

Sat, 05/10/2014 - 16:09 | 4746659 DOGGONE
DOGGONE's picture

Do you suppose this is getting to be visible?

"The Public Be Suckered"
http://patrick.net/forum/?p=1230886

Sat, 05/10/2014 - 16:13 | 4746670 Jorgen
Jorgen's picture

... Russia hopes to lure cash from the world’s second-biggest economy into industries from housing and infrastructure construction to natural resources.

Some say China is the first-biggest economy now. On the other hand, I can only imagine how German business community may be feeling now, not to mention the U.S. and Canadian oil and mining companies...

Sat, 05/10/2014 - 16:30 | 4746707 Volkodav
Volkodav's picture

Chine are mainly copiers...Germans are inventor, builders...

Germans need to kick present leadership evict foreign military and work with Rus...

combined talents

others could not compete

 

Sat, 05/10/2014 - 16:40 | 4746729 geno-econ
geno-econ's picture

Old saying----behind every piece of machinery in Russia stands a German.   Now there is nothing behind the Euro other than Germany.

Sat, 05/10/2014 - 16:59 | 4746758 shovelhead
shovelhead's picture

Post WWII slave labor doesn't count.

Sat, 05/10/2014 - 16:54 | 4746752 blentus
blentus's picture

Every economy is based on 'copying' until it grows big enough and gets enough people to support it.

Just look at how US economy started...

Sat, 05/10/2014 - 16:56 | 4746755 Lost Word
Lost Word's picture

Total China GDP trend approaching first place, with the Billion population,

but China's per capita basis comparison far behind US, Germany, etcetera.

Sat, 05/10/2014 - 17:09 | 4746768 Jack Burton
Jack Burton's picture

The modern Russian Federation and the EU powerhouse Germany are natural economic partners. Germany has great industrial expertise and Russia has a great Resource base and lots of industrial potential. Russia can provide Germany with stable energy and mineral imports, Germany can find a nice export market in Russia. European Cars fill the roads of Russia, and every new Russian middle class or working class family is looking for a car, if they don't already have one. Not to mention the full range of German goods that Russians are willing to buy. Investment by Germany in resource extraction and industry in Russia offer good returns and mutal growth. While much of the EU is a drag on Germany, Russia is the opposite, a growth market and provider of resources. This of course is why the USA is hell bent on starting a war and a following cold war with Russia thrown out of European trade and economic cooperation.

It is funny that the EU leaders are so bought off by the USA that they can't see their economic prospects are being thrown in the crapper by the US lust for global hegemony. The short term hegemony of the USA is now served by ending Russian and EU trade, social and economic ties. The USA deems a return to a Soviet versus NATO cold war to be best for US defense industry, for dollar hegemony and for ultimate US control of the EU agenda. Of course Europe's failed Brussels experiment makes the EU need for good trade relations with Russia all the more important. But the US is hell bent of destroying all economic and social cooperation between Russia and the EU, Ukraine's civil war, manufactured in Washington, is the wedge issue to sperate Russia and the EU.

This fact, and increased US aggression in the future, maybe even out and out awr against Russia, gives China the hand it needs to negotiate from a postion of great strength with Russia. Many energy, investment and trade deals between China and Russia were failures because of the very hard bargain the Chinese drive, and the favorable prices China demanded in the stillborn deals. But now Russia is prepared to accept less than favorable prices and deals, because China is now, defacto the world's largest economy. EVen if the bargains are not what Russia would like, there is still an economic boom in the east, and Russia has what Chian needs to fuel it, plus China can provide consumer goods to Russia at favorable prices, and the mutual investments and trade can make up for the loss of much EU trade.

China is the winner, the USA is the winner, BUT, long run, the USA attack on Russia is going to make the US empire a loser, and dollar hegemony a faded memory of the glory days of money printing and king dollar ruling the world. When King Dollar fades into history, much of America's economic and miltiary power goes with it. The USG prints, borrows and spend 2 dollars for every dollar in tax revenue. That makes the USA twice as powerful as it's economic base would otherwise allow. Just picture the US military and spy budget going from 1 trillon a year to 500 billion. Go through all the services and all the world wide spy apparatus and slash every other job, every other military service member, scrap every othe plane, ship and tank. Close thousands of spy offices, fire tens of thousands of secret police and data collectors. This would be forced on the USA by the loss of dollar hegemony. Now you know why the USA attacks very quickly, any entity presenting a threat to king dollar.

The present US Washington cabal of Neo-cons has issued threats to attack Syria, Iran, Yemen, Parkistan, Russia and now they are issuing daily threats to surround and attack China. I know our government is insane, but not only threatening China, but sending large armed forces to close in on China by Sea, land and air, at a time when we have all but declared war on Russia? The evil and sickness in Washington DC is out of control. And the next president, MS. Clinton or a clone of Mr. McCain is likely to push even faster for global war. Doctor Strange Love was not a movie, or fiction, it was fact, just a fact waiting for it's time to come. It is here.

Sat, 05/10/2014 - 17:11 | 4746777 Winston of Oceania
Winston of Oceania's picture

The question of Konigsberg will forever poison relations.

Sat, 05/10/2014 - 22:33 | 4747361 BorisTheBlade
BorisTheBlade's picture

Not for long, Russia wasn't the one against reunification of Germany.

Sat, 05/10/2014 - 18:05 | 4746842 Omen IV
Omen IV's picture

Obama arrogance - a self made standup comic, who is an accomplished provider of 1,850 speeches since elected always available for another selfie

 

Sat, 05/10/2014 - 17:08 | 4746771 b_thunder
b_thunder's picture

Within 3 years China will own half of Siberia

Within 5 years all that "chinese-built" infrastructure will crumble

Within 10 years there will be another Sino-Russian war

Within 15 years Chinese and Americans will again be biggest friends

 

 

Sun, 05/11/2014 - 08:36 | 4747802 J.A.F.O.
J.A.F.O.'s picture

Don't assume that the stuff they build for themselves is as shoddy as the crap they sell you..

That junk is built to a price.. a price demanded and set by the US importers.  The infrastructure they make for themselves is built to much higher standards.

Sat, 05/10/2014 - 17:25 | 4746802 kchrisc
kchrisc's picture

Putin is channeling Kissinger.

Bye, bye Petro$.

Sat, 05/10/2014 - 17:33 | 4746809 Hongcha
Hongcha's picture

Added SBRCY last week, will add silver this week.  Thanks Uncle Vlad!

Sat, 05/10/2014 - 17:45 | 4746821 Save_America1st
Save_America1st's picture

I forget...what's the nail count in the U.S. dollar's coffin up to now?  Talk about death by nail-gun...I don't think the dollar can withstand too many more of them. 

Sat, 05/10/2014 - 19:48 | 4746961 kchrisc
kchrisc's picture

Like loading straw on a camel's back, eventually...

Sat, 05/10/2014 - 20:26 | 4747023 ATG
ATG's picture

Maybe that new China Russia trade is non GMO

http://bit.ly/1fY03aK

 

Sat, 05/10/2014 - 20:40 | 4747035 ATG
ATG's picture

 

 

Sat, 05/10/2014 - 21:09 | 4747127 rgetty
rgetty's picture

Another home for millions of peasent Chinese. Once companies get contracts here come the Chinese workers. Looks like a good time to learn mandarin.

Sat, 05/10/2014 - 22:02 | 4747288 Aussiekiwi
Aussiekiwi's picture

Attempting to bully Russia with sanctions instead of talking, very bad idea. I suspect history will see US sanctions at this point in time as a turning point, the start of the disconnect from the US dollar.

Sat, 05/10/2014 - 23:36 | 4747484 nah
nah's picture

China and Russia are like blood red old friends freaking out over fascist bitchez

Sun, 05/11/2014 - 02:22 | 4747629 sethstorm
sethstorm's picture

Thugs of a Second World feather stick together.

Sun, 05/11/2014 - 07:13 | 4747739 AdvancingTime
AdvancingTime's picture

Back in the middle of 2012  Putin pledged to strengthen Russia’s economic and political ties with China after skipping a Group of Eight summit in the U.S. the month before. This unholy alliance between Russia and China may create major problems for America going forward. For more about this meeting and the implications see the article below.

 http://brucewilds.blogspot.com/2012/06/putin-strenghtens-ties-with-china...

Sun, 05/11/2014 - 13:31 | 4748305 matrix2012
matrix2012's picture

Advancing Time

"This unholy alliance between Russia and China may create major problems for America going forward, it certainly is a negitive for the people of Syria."

          Please read my February 12, 2012 post titled "Syria uprising is past the point of Return!" The situation has continued to deteriorate. It is now reported that Russia has shipped helicopter gunships to Syria to be used to supress the people.

http://brucewilds.blogspot.com/2012/06/putin-strenghtens-ties-with-china...

 

Too bad you have poisonous bites against the PEOPLE OF SYRIA. Your twisted words wrongly put their enormous suffering on the shoulders of Russia and to lesser extent, China while in reality, it's the USSA and its NATO cliques who destroy the very life of Syrian people.

 

Great shame on you for flipping the truth. It simply voids any credibility that you may have!!

Glad to spot on your true color!!!

Sun, 05/11/2014 - 15:39 | 4748603 PADRAEG
PADRAEG's picture

Russian "high technology" ??? WHERE? 

Sun, 05/11/2014 - 15:38 | 4748604 PADRAEG
PADRAEG's picture

Russian "high technology" ??? WHERE? 

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