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The damage done by low oil prices to Russia has been way overstated in the west. The lower value of their currency has actually caused them to engage in import
by crdoconnor 11y ago
The damage done by low oil prices to Russia has been way overstated in the west.
The lower value of their currency has actually caused them to engage in import substitution (something Saudi can't do because they basically don't have any local industries) and started to make Russian industry more competitive in export markets.
This is basically what China did to itself deliberately in order to turn itself into an exporting and manufacturing powerhouse.
Russia is still hurting but there's a big silver lining for them that doesn't exist for, say, Venezuela.
- prostoalex 11y ago> started to make Russian industry more competitive in export markets Outside of oil, gas, timber and weaponry what products are they known for exporting?
- crdoconnor 11y agoHeavy machinery, aerospace & automotive.
- prostoalex 11y agoOh, good point. After I posted the comment above I googled to educamize myself and this was helpful http://atlas.media.mit.edu/en/profile/country/rus/ http://atlas.media.mit.edu/en/profile/country/rus/ There's also fertilizer and ships. Everything pales in comparison to petroleum exports, though.