Russia Deepens AI Partnership with China Amid Western Sanctions

• New AI Directive:
  • Published on the 1st of January 2025, the Kremlin directive ordered Sberbank and the Russian government to intensify cooperation with China in AI research and development.
  • With this initiative, Russia deepens AI partnership with China, seeking to harness China’s advanced AI capabilities to support Russia’s technology sector, severely impacted by international sanctions.
• Impact of Sanctions:
  • Western countries, in response to Russia’s invasion of Ukraine, have restricted exports of microchips and GPUs (graphics processing units)—key components for AI development.
  • Sberbank CEO German Gref acknowledged in 2023 that sourcing GPUs is a significant challenge for Russia, which has turned to third-party sellers to obtain restricted technologies.
• Sberbank’s Leadership Role:
  • As Russia’s largest bank, Sberbank is leading AI development efforts, acting as a hub for partnerships with Chinese technology firms.
  • The bank is expected to drive collaborations to secure essential AI tools and foster innovation, filling the gap left by restricted Western technologies.
• AI Alliance with BRICS Nations:
  • Putin proposed creating an AI Alliance Network with BRICS nations (Brazil, Russia, India, China, South Africa) and other interested states.
  • Sberbank claims that AI associations from all BRICS nations have already joined the initiative, emphasizing collective efforts to counterbalance Western AI leadership.
• China-Russia Strategic Cooperation:
  • China has strengthened ties with Russia since the Ukraine invasion, though Beijing denies aiding Russia’s military.
  • On the 31st of December 2024, Chinese President Xi Jinping reaffirmed the nations’ partnership in a New Year message, highlighting “political mutual trust and strategic coordination.”
  • This cooperation is critical for Russia to maintain technological progress despite international isolation.
• Russia’s Global AI Position:
  • Currently, according to Tortoise Media’s Global AI Index, Russia ranks 31st out of 83 countries in AI investment and innovation.
  • This ranking places Russia well behind global leaders like the U.S. and China, as well as BRICS peers India and Brazil, underlining the urgency of Putin’s directive.
• Economic and Technological Context:
  • The BRICS bloc is often seen as a counterweight to Western economic dominance. By leveraging these partnerships, Russia aims to bridge its technology gap and assert its presence in the global AI race.
  • International partnerships, particularly with China, provide Russia a pathway to access cutting-edge AI tools and sustain its technological ambitions.

Why This Matters:

Amid crippling Western sanctions, Russia deepens AI partnership with China and BRICS partners in a critical step in its strategy to maintain competitiveness in artificial intelligence. As global AI leadership shapes economic and geopolitical influence, this collaboration could redefine technological power dynamics, especially as BRICS nations challenge Western dominance.