Abstract
With the ‘turn to the East’ in Russian foreign policy, the development of the Russian Far East has become one of the priorities of Russian government that has made various attempts to integrate it into the economy of the Asia-Pacific region (APR). This integration should be driven by mutual interest, not only based on Russia’s vision of the prospects of its Eastern territories but also on APR countries’ demand for their involvement. This chapter argues that this demand is changing now because of the transformation of the economic model in APR countries. This transformation includes four shifts: (1) from extensive export-oriented economic growth towards an intensive one based on growing internal demand; (2) from primitive labour-intensive products towards relatively high-quality and high-tech ones; (3) from dominating exports to developed countries towards orientation to intraregional markets; (4) from rapid development in coastal areas towards fast economic growth at the former periphery. These shifts generate demand for resource-intensive (energy, land, water) consumer goods as well as infrastructure connecting new APR growth areas with territories where these goods are produced. The main opportunity of Russia’s Far East to integrate into the APR is through meeting this demand. For this purpose some approaches and principles of Russian Far Eastern policy should be revised.
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Notes
- 1.
Hereinafter we will consider APR as China, Japan, Republic of Korea, and ten ASEAN countries and India.
- 2.
Presidential Address to the Federal Assembly, 12 December 2013. URL: http://en.kremlin.ru/events/president/news/19825, accessed 12 May 2016.
- 3.
Exports to GDP ratio exceeds 100% in Singapore because of the large volume of re-exports which are accounted in exports and not accounted in GDP.
- 4.
This model explains long-run growth by capital accumulation, growth in labour, and technical progress. Capital accumulation may be a source of rapid economic growth at the early stage, but in the long run returns from capital diminish, thereby leading to deceleration of growth. In the long run, growth is achievable only through technical progress.
- 5.
Full speech by Wen Jiabao at 2009 Summer Davos in Dalian, 10 September 2009. URL: http://www.china-embassy.org/eng/xw/t583639.htm, accessed 12 May 2016.
- 6.
Euromonitor International, Source: Euromonitor International: Disposable Income, Consumer Expenditure URL: http://www.portal.euromonitor.com/portal/magazine/homemain#, accessed 18 April 2016.
- 7.
Euromonitor International: GDP (US dollars), Manufacturing as a % of GDP, services as a % of GDP. URL: http://www.portal.euromonitor.com/portal/magazine/homemain#, accessed 18 April 2016.
- 8.
World Trade Organization. International Trade Statistics 2001. Table III.3 Intra- and inter-regional merchandise trade, 2000. URL: https://www.wto.org/english/res_e/Statis_e/its2001_e/section3/iii03.xls; World Trade Organization. International Trade Statistics 2015. Table 1.4 Intra- and inter-regional merchandise trade, 2014. URL: https://www.wto.org/english/res_e/statis_e/its2015_e/section1_e/i04.xls, accessed 18 April 2016.
- 9.
World Development Indicators: GDP growth (annual %). URL: http://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG, accessed 18 April 2016.
- 10.
National Bureau of Statistics of China, indicator: Gross Regional Product and indices
URL: http://www.stats.gov.cn/tjsj/ndsj/2015/indexeh.htm, accessed 18 April 2016.
- 11.
National Bureau of Statistics of China, indicator: Gross Regional Product and indices
URL: http://www.stats.gov.cn/tjsj/ndsj/2015/indexeh.htm, accessed 18 April 2016.
- 12.
See: Joint Statement by Russia and China on the development of Chinese-Russian relations and a comprehensive strategic partnership and cooperation, 5 June 2012. URL: http://kremlin.ru/supplement/1230, accessed 16 May 2016.
- 13.
Federal Customs Service of the Russian Federation. Foreign trade statistics. Foreign Trade of the Russian Federation with Key Countries and Country Groups in January-December 2015. URL: www.customs.ru/attachments/article/22580/WEB_UTSA_09.xls, accessed 18 April 2016.
- 14.
En+ Group, HUAWEI, CDS, LANIT Group and Irkutsk Region Government Set to Build One of Asia’s Largest Cloud Computing Datacenters, 3 September 2015. URL: http://eng.enplus.ru/press/enplus/1861, accessed 18 April 2016.
- 15.
Presidential Address to the Federal Assembly, 12 December 2013. URL: http://en.kremlin.ru/events/president/news/19825, accessed 12 May 2016.
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Makarov, I.A. (2017). Transformation of the Economic Model in Asia-Pacific Region: Implications for Russia’s Far East and Siberia. In: Huang, J., Korolev, A. (eds) The Political Economy of Pacific Russia . International Political Economy Series. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-40120-1_4
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