Empirical Research On The Impacts Of China-Russia Energy Cooperation On Economic Growth

Energy is essential to support a country’s economy. It is also the driving force and blood to a country’s sustainable economic development. China’s energy production and supply capacity is imbalance, the contradiction between supply and demand has become increasingly prominent, most of the domestic energy demand mainly rely on imports to meet, energy issues have become important issues and challenges facing China’s economic development. In order to solve the contradiction between energy supply and demand, ensure energy security and achieve sustainable development of the national economy, China must take advantage of the good diplomatic relations with Russia and has the geographical advantage and other favorable conditions, actively expand energy cooperation with Russia, strive for its more intention to cooperate and export share. China-Russia energy cooperation is mainly reflected in the field of conventional like crude oil, natural gas, coal, electricity and so on, energy cooperation has become an important part of China-Russia economic cooperation, and continue to promote the level of bilateral economic development.The article is divided into five parts. The first part is the introduction, this part from the background and significance of this paper, introduces the research status, and then introduces research methods and structural arrangements of the article, the last describes innovation of this paper and shortcomings. The second part is an overview of the China-Russia energy cooperation and China Russia economic growth, profiles of China-Russia energy cooperation from two aspects of trade and non-trade cooperation to expand, and then analyze the general situation of economic growth between the two countries, and analyze their association. The third part is the theoretical analysis of China-Russia energy cooperation and the impact on the two country’s economic growth, from import and export of both effects and analyze the impact of energy trade cooperation on economic growth, by indirect analysis, conclude the different impact of non-trade cooperation to economic growth. The fourth part of the article is the empirical part, the use of vector auto regression model, to establish energy cooperation index-based theoretical models and energy trade with Russia based actual model, compare the results from the two models, analyze the differences and conclude the impacts of non-trade cooperation to economic growth. The fifth part is the conclusion and policy recommendations, conclusions show that the China-Russia energy cooperation and China-Russia’s economic growth is closely linked and promote the economic growth of the two countries. Energy trade cooperation between China and Russia explains more of China’s economic growth than the non-trade cooperation, energy trade cooperation between China and Russia explains less of Russia’s economic growth than the non-trade cooperation; energy trade cooperation promote more of China’s economic growth than Russia, and China-Russia energy non-trade cooperation promote more of Russia’s economic growth than China. Finally, put forward policy recommendations, and thus the further development of China-Russia energy cooperation and trade, in order to better establish mutually beneficial China-Russia joint development of energy strategic partnership, for better exploring ways China-Russia energy cooperation to provide a theoretical basis.