Still, the number of exports doesn’t met the amounts they were exporting to Europe even if the new pipeline is finished. In short: China is not going to replace Europe in the energy front, and that’s crystal clear. I’m not sure how many times this needs to be repeated.
In short, demand for Russian energy exports isn’t going anywhere. You’re also making a baseless claim that Russia will not be making more pipelines to the east in the future. Pakistan already asked Russia for a pipeline just last month for example. With manufacturing moving out of Europe, the demand for energy in Asia will grow proportionally, and that energy has the same source.
Your whole premise is nonsense, yet you keep doubling down on it. It’s absolutely amazing that you can’t understand supply and demand mechanics.
No we are not. You are comparing countries that have energy imports cut off (the effects are pretty fast) to a country that has cut off imports on other areas (effects are more slow). The situation could be only compared if both Europe and Russia would be dependent on same things.
Ah, so you’re finally admitting that Europe is more dependent on Russia than the other way around. And following this basic logic it becomes obvious that the longer the trade war goes the worse off Europe will be economically relative to Russia.
Ok, let’s see what it says… Retail sales fell 8,8% in August, wages fell over 3%, gas cutoff hits about 6,6 billion dollars, 55% of oil exports are lost, metal producers are losing 5,7 billion per year, EU restrictions have tripled the cost of road shipments, 95% of passenger planes are foreign-made planes now without spare parts, with pharmaceuticals about 80% of domestic production relies on imported raw materials. So far I haven’t seen Russia itself releasing this kind of stats. Have you?
Russia releases stats about the economy regularly, which include price increases, wages, and so on.
Meanwhile, you just make stuff up as usual. For example, sanctions on plane spare parts were lifted back in August. So, yeah I don’t see made up stats from Russia.
And what are you going to do with all the roubles when you can’t change them to other currency?
Huh, Russia exchanges roubles for all kinds currencies with yuan and rupees being two key ones. There’s a whole new financial system forming outside of SWIFT right now. The amount of ignorance on display here is just stunning.
The demand may not be going anywhere but the amount what Russia can export is now limited.
That’s what makes the price go up. Let me try using small words you might be able to understand. Less supply means higher price. If Russia can’t deliver as much gas it was previously, then the price for the available gas surges because there isn’t enough to meet demand. This is why Russia is making more profit while selling less gas right now. Since demand is high, that means Russia will keep building more pipelines east and increase volumes of sales to meet demand.
I haven’t said anything like that either. Both are dependent on each other, of course. Please stop putting words to my mouth.
You literally just admitted that the economy in Europe is collapsing because essential commodities from Russia have been cut off. Meanwhile, nothing essential in Russia is missing. This is why the effect on Europe is so much more profound.
Thanks! Seems I wasn’t aware of that site.
Seems like aren’t aware of great many things.
Of course I meant the dollar and euro here.
It’s pretty hilarious that you think these are the only currencies worth considering, given that all the industry and manufacturing is in Asia. You seems to be under the delusion that 15% of world’s population in the west is still the most important part of the planet. It’s not.
Sure, but that was the whole idea or the articles: it’s not certain how much is it going to cost in the end, and how long it will take. And how the future sanctions will affect. You repeate the same stuff like a broken record. It will take over a decade to get the volumes to the same level with Europe’s imports.
And I’m going to repeat once again that cost is driven by demand, and there is no reason for demand to drop. The sanctions have had no effect because only western countries are participating. All the sanctions do is increase price of energy in Europe because Europe is now buying Russian gas through third parties.
Russia is missing capability to do trade with Europe and Northern America. I’d call that pretty profound effect.
I would not call that profound effect because there is no evidence to support the idea that this had any profound impact on life in Russia. We see profound impact on life in Europe however. Also, you may not realize this but western companies losing business in a country of 150 million also hurts western companies. Any damage done to Russia by this process is symmetrically reflected on the west.
You think Europe and North America are going to trade with Russia using yuan or rubles? 🤣
No I don’t. I simply don’t think Europe and North America matter to Russia as trade partners in the grand scheme of things. Russia has plenty of trade partners without the west. Meanwhile, the west has not been able to secure alternatives to Russian commodities. Your chauvinism clouds your judgment. 🤣
But there’s multiple reasons why the supply cannot meet the demands.
Which makes the cost go up! In fact, you’ll be seeing this soon personally when your country is going to be running out of essentials this winter. Perhaps personal experience will help you understand how supply and demand works.
With all the companies left from the country, that will surely have an impact in the future. We just cannot see the outcome yet.
We’re not even in winter yet. Most analysts didn’t expect things to get this bad until at least February. This is also a self reinforcing effect. As people see European economy crash they pull their capital out of Europe, and this causes others to pull their capital out too. Nobody wants to be left holding the bag when the crash happens.
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In short, demand for Russian energy exports isn’t going anywhere. You’re also making a baseless claim that Russia will not be making more pipelines to the east in the future. Pakistan already asked Russia for a pipeline just last month for example. With manufacturing moving out of Europe, the demand for energy in Asia will grow proportionally, and that energy has the same source.
Your whole premise is nonsense, yet you keep doubling down on it. It’s absolutely amazing that you can’t understand supply and demand mechanics.
Ah, so you’re finally admitting that Europe is more dependent on Russia than the other way around. And following this basic logic it becomes obvious that the longer the trade war goes the worse off Europe will be economically relative to Russia.
Russia releases stats about the economy regularly, which include price increases, wages, and so on.
Meanwhile, you just make stuff up as usual. For example, sanctions on plane spare parts were lifted back in August. So, yeah I don’t see made up stats from Russia.
Huh, Russia exchanges roubles for all kinds currencies with yuan and rupees being two key ones. There’s a whole new financial system forming outside of SWIFT right now. The amount of ignorance on display here is just stunning.
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That’s what makes the price go up. Let me try using small words you might be able to understand. Less supply means higher price. If Russia can’t deliver as much gas it was previously, then the price for the available gas surges because there isn’t enough to meet demand. This is why Russia is making more profit while selling less gas right now. Since demand is high, that means Russia will keep building more pipelines east and increase volumes of sales to meet demand.
You literally just admitted that the economy in Europe is collapsing because essential commodities from Russia have been cut off. Meanwhile, nothing essential in Russia is missing. This is why the effect on Europe is so much more profound.
Seems like aren’t aware of great many things.
It’s pretty hilarious that you think these are the only currencies worth considering, given that all the industry and manufacturing is in Asia. You seems to be under the delusion that 15% of world’s population in the west is still the most important part of the planet. It’s not.
@yogthos @varjolintu
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And I’m going to repeat once again that cost is driven by demand, and there is no reason for demand to drop. The sanctions have had no effect because only western countries are participating. All the sanctions do is increase price of energy in Europe because Europe is now buying Russian gas through third parties.
I would not call that profound effect because there is no evidence to support the idea that this had any profound impact on life in Russia. We see profound impact on life in Europe however. Also, you may not realize this but western companies losing business in a country of 150 million also hurts western companies. Any damage done to Russia by this process is symmetrically reflected on the west.
No I don’t. I simply don’t think Europe and North America matter to Russia as trade partners in the grand scheme of things. Russia has plenty of trade partners without the west. Meanwhile, the west has not been able to secure alternatives to Russian commodities. Your chauvinism clouds your judgment. 🤣
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Which makes the cost go up! In fact, you’ll be seeing this soon personally when your country is going to be running out of essentials this winter. Perhaps personal experience will help you understand how supply and demand works.
Sure we can, inflation numbers for Europe just came out and it’s double digit inflation all across Eurozone https://ec.europa.eu/eurostat/documents/2995521/14698140/2-30092022-AP-EN.pdf/727d4958-dd57-de9f-9965-99562e1286bf?t=1664464564725
We’re not even in winter yet. Most analysts didn’t expect things to get this bad until at least February. This is also a self reinforcing effect. As people see European economy crash they pull their capital out of Europe, and this causes others to pull their capital out too. Nobody wants to be left holding the bag when the crash happens.
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