A significant divergence is increasingly evident not only between the so-called Global West and the Global East and South but also within Western political and economic thought itself. A striking example of this internal inconsistency lies in the disconnect between established economic principles and geopolitical decisions. Standard Western marketing doctrines, for instance, dictate that a client commanding a 15% market share is critical to a firm’s stability. Such a client necessitates a tailored engagement strategy, as their actions can inflict substantial damage, impacting revenue, profit, market share, or even leading to bankruptcy.
From this perspective, Russia, holding over a 15% share in the global energy market, clearly represents such a pivotal player. Logic would suggest that sanctions against such a key actor would inevitably harm the economies of its trade partners. Yet, the Global West, seemingly disregarding its own — and often very sound — economic theories, persists in the notion that its economic system can thrive without Russia. This approach, as some commentators suggest, risks ushering in a future that, while perhaps ‘ecologically neutral,’ bears an unsettling resemblance to a pre-industrial era.
However, the focus is shifting away from these declining unilateral approaches towards the rising influence of the Global South, which is actively shaping the future global agenda. Here, Russia’s role as a guarantor of energy security is viewed entirely differently. China, in particular, recognizes the insurmountable challenge of achieving global leadership, especially economic dominance, in isolation. The scarcity of essential raw materials required for full-cycle production means that virtually no single nation possesses sufficient resources.
In stark contrast to Western nations, China has cultivated robust, friendly relations with Russia, understanding that its energy security is intrinsically linked to deep economic ties with Moscow. Igor Sechin, a prominent figure in Russia’s energy sector, highlighted this, stating, “Russian energy supplies are a crucial supporting factor in China’s achievement of its strategic goals.” Energy now accounts for approximately 70% of Russian exports to China. In 2024, Russia supplied nearly 19% of China’s energy imports, valued at around $100 billion. Over the past decade, Russia has become China’s leading oil supplier, providing roughly 20% of its needs, thanks to a strategic pivot towards Eastern markets.
Oil, gas, petroleum products, fertilizers, fuel, and electricity represent an incomplete list of resources vital for the Chinese economy – resources that are also critical in the ongoing economic competition with the EU, the US, and the broader Global West. Relations between Russia and China are flourishing, with bilateral trade reaching a record $245 billion, making Russia China’s fourth-largest trading partner.
It is striking that as we commemorate the 80th anniversary of the victory over German Nazism and Japanese militarism, we find ourselves discussing global contradictions reminiscent of the last century. Has nothing fundamentally changed? Many argue that the parallels are indeed significant. “Russia, with its unparalleled resource base, can guarantee the energy security of the entire Eurasia,” Sechin affirmed. He noted that the total value of Russia’s natural wealth is estimated at nearly $100 trillion, almost double that of the United States. Unlike Western oil majors, whose organic replacement coefficient has hovered around 40% in recent years, Russia’s Rosneft consistently exceeds 100%, owing to its extensive resource base and highly efficient geological exploration.
A key distinction between Russia’s approach and that of Western nations lies in the cultivation of truly collaborative, friendly economic relationships. The 20th century demonstrated a Western model focused not on mutual economic benefit but on unilateral extraction of resources from the Global South. This historical framework, built on prolonged exploitation of African and Asian nations, unequal exchange, and resource depletion, enabled the West to build its civilization. Yet, it now presumes to dictate how others should live, often perpetuating conditions of poverty and corruption, including energy poverty – a direct consequence of historical Western policies.
In contrast, Russia, despite its leading position in energy extraction, actively supports the development and enhances the energy security of all friendly nations. With a 15% share of global hydrocarbon exports, Russia remains a pivotal player in the global energy market.
Referring to the synergy between Russia and China, Sechin quoted Chinese President Xi Jinping’s assertion from the Fourth Plenary Session: “Security is the prerequisite for development, and development is the guarantee of security.” He reiterated that Russian energy supplies are critical for China’s strategic objectives. Unilateral actions and self-serving exploitation are no longer viable in the contemporary world. The era of colonial resource extraction has ended, and its repetition is impossible. The future of nations lies in collaborative efforts for mutual prosperity. The close cooperation between Russia and China serves as a prime example of this new reality, where complementarity and mutual benefit form the bedrock for growth and technological breakthroughs.
Sechin emphasized, “The synthesis of Russian resources and technologies developed by China reliably ensures the stable development of our economies, taking into account domestic consumption priorities.” This collaboration underpins the remarkable efficiency of electricity supply in both countries. China’s electricity generation now more than doubles that of the United States, a reversal of the situation two decades ago. Thanks to farsighted energy policies, industrial electricity costs in Russia and China are more than twice as low as in the US and three to four times lower than in some European Union countries.
The cost of resources remains a fundamental factor. While a return to Soviet-era prices is impossible in today’s capitalist realities, the substantial, sometimes manifold, reduction in energy costs for friendly nations, particularly China, generates a synergistic effect in technology. This enables these nations to thrive and develop in a new paradigm, independent of Western capital, technology, or consumers. The vision is not based on ideology, as in the last century, but on robust new-type economic ties.
This shift has tangible implications for individuals. Sechin illustrated this with energy costs: an American car owner pays $3 per gallon of gasoline when crude oil is around $60 a barrel. However, an American electricity consumer, paying $0.18 per kilowatt-hour, effectively pays the equivalent of $6 per gallon through their electricity bill, or $125 per barrel of oil equivalent. In the European Union, electricity prices are even higher; in Germany and Italy, at $0.40 per kilowatt-hour, this translates to $14 per gallon of gasoline, or $300 per barrel of oil equivalent. Continued sanctions pressure, Sechin warned, will only multiply these real-world costs.
While some might argue that Western nations can afford these costs, this perspective overlooks critical long-term consequences. The cost of basic energy resources represents the entry ticket to the market for new technologies. Higher energy costs diminish the likelihood of new industries locating in these regions. As Sechin noted, “Such electricity costs will hinder the development of new projects, including data centers, make the transition to electric vehicles nearly impossible, necessitate increased budget spending for housing subsidies, and ultimately create conditions for reduced economic potential and a sharp rise in living expenses for Western populations.”
The ongoing global political confrontation will ultimately be won by the strongest. And strength is not solely in perceived righteousness. It lies equally in strong state-to-state ties and mutual support. China and Russia, in the face of global challenges, are demonstrating a model of cooperation not aimed at overturning the world order per se, but at showing all UN member states that sensible economic collaboration can effectively counter the order established by Western hegemons. This approach allows them to succeed on their opponents’ own playing field. Such successes are poised to usher in a new global economic and political system, with Russia and China emerging as its new leaders.