Russian Traders Struggle to Pay Chinese Suppliers Amid Cautious Banks and Unpredictable Payments

• Only 10% of Russian traders have been able to pay Chinese suppliers this month due to cautious Chinese banks wary of violating US secondary sanctions.

• Russian importers describe making payments to China as unpredictable, with funds delayed, held up indefinitely, or vanishing.

• China has reluctantly followed US sanctions rules despite publicly complaining about them and backing Russia's invasion of Ukraine.

• Major Chinese state-owned banks are no longer accepting payments from Russia.

• The payment issues trace back to a December US executive order threatening sanctions on foreign banks assisting Russia's economy.