1/21/2020 0 Comments
Russian Trade Profile - Research Paper Example With regards to imports, the nation brings in food, pharmaceuticals, foot wear, textiles and ground transports (Lalayants p 41). The principal trading partners of Russia include China that controls 7% of total exports and 10% of total imports. Germany dominates over 7% of exports and about 8% of the total imports.In 2013, the Russia Federation's merchandise exports reduced by 1.1% despite the fact that the exports increased by 11.2%. This was a poor performance in relation to the Asia-Pacific's collective growth of 2.1% in merchandise exports, but higher than the region's 4.9% rise in service exports. The service imports grew by 18.2% while the merchandise imports rose by 2.2%. This trade surplus remained stable reaching $ 180 billion in 2013 as shown in figures 1 and 2. This resulted in the growth of GDP and GDP per capita ("Asia-Pacific Trade Briefs: Russian Federation").Russia also experiences the largest expansion in FDI inflows in 2013, that increased with 56.7% to $ 79 billion. This growth has been strong since 2011 surpassing the regional total of 6.6% for 2012 whereby the outflows were larger than the inflows. The outflows in 2013 grew by 94% reaching $ 95 billion as shown in figures 1 and 3 ("Asia-Pacific Trade Briefs: Russian Federation").Cyprus was Russia's largest investment accounting for 18% of the FDI inflows. It reflected her repatriation of the earlier investments caused by the Cyprus financial problems. This resulted in the creation of more employment.