2022 Global Governance Forum (Spring) with the theme of US’s sanctions against Russia, hosted by the Chongyang Institute for Financial Studies, Renmin University of China (RDCY), was successfully held in Beijing on April 2, 2022. The forum released the research report “Weapons of Mass Destruction? Assessment and Implications of US Sanctions against Russia”. Many famous experts from the fields of diplomacy, economics and finance discussed the far-reaching impact and revelations that the US sanctions against Russia will have on the world. The forum was live-streamed on Baidu, Huanqiu.com, Bilibili, Weibo, Zhihu and Capital News, with around 200,000 people watching online. The forum was covered by a number of media including People's Daily, Guangming Daily, China News, China Review News and China Youth Daily.
Wang Wen, the Executive Dean of RDCY, and the Director of Global Governance Research Center at Renmin University of China (GGRC) hosted the forum and made an introduction. He noted that the Russia-Ukraine military conflict has attracted global attention over the past month. The US and the West have adopted almost all means, especially financial sanctions against Russia, apart from sending it’s troops to Ukraine. What has been the effect of these sanctions? How should Chinese think tanks view these sanctions? What is the future of these sanctions?
Liu Ying, committee member and Director of the Department of Cooperative Research of the RDCY, presented "Weapons of Mass Destruction? Assessment and Implications of US Sanctions against Russia". She elaborated on the content of the report from three aspects. Firstly, what sanctions the US and Europe have actually done to Russia and their effects; Secondly, how Russia has countered, and the impact of sanctions and counter-sanctions on the world economy and the structure world; and thirdly, what lessons can be learned from the US and Europe's sanctions against Russia and ten implications.
In the keynote section, He Yafei, former Vice Minister of the Ministry of Foreign Affairs, Zhang Yanling, former Deputy Governor of the Bank of China, Wu Jian, former Deputy Governor of Everbright Bank, He Weiwen, former Economic and Commercial Counselor of the Consulate General in San Francisco and New York and Senior Research Fellow of RDCY, Zhou Daoxu, Director of the Financial Security Research Centre of the Wudaokou School of Finance, Tsinghua University, and Jia Jinjing, Senior Fellow of RDCY, delivered their speeches successively.
He Yafei pointed out that the sanctions and counter-sanctions between the West and Russia are a double-edged sword in the geopolitical and geo-economic game of the major powers, and may have huge impact on US-Russia relations, the world structure , the world economy and finance, and the global governance. It is necessary for China to calmly analyse and assess the situation, avoid harm and plan before acting. Countries should set aside their differences, and abandon the Cold War mentality. The world should act together to maintain world peace and economic prosperity, and to build a community of shared future.
Zhang Yanling said that the Russia-Ukraine conflict was turned into a global sanctions war by the United States, which sent global commodities soaring and disrupted supply chains in Europe. The US is taking advantage of this conflict. However, US financial sanctions have damaged the US credibility and accelerated the bankruptcy of dollar hegemony.
Wu Jian made a speech on the geopolitical implications of the "financial sanctions and counter-sanctions" in the context of the Russia-Ukraine conflict. He suggest to take strategic deployment, legal application, and financial policies in to consideration, as to form an effective policy package, in order to adopting a rational and prudent approach and actively participate in and promote reform and innovation of the global financial governance system.
He Weiwen pointed out that the U.S. and Western sanctions against Russia are more political than economic because the economy can make sacrifices when politics demands it. The impact of the US and Western financial sanctions on Russia should be carefully studied. This is a warning for China, and we should prepared for sanctions the US may take against China in the future.
Zhou Daoxu pointed out that the sanctions imposed by the United States and Western countries were contrary to the ethics of financial spirit and had caused a reverse destruction of the financial system. The importance of financial security should not be overlooked and national financial security capacity should be built.
Jia Jinjing noted that the effect of sanctions works if we believe, but not if we don’t believe. Russia could basically find a way to bypass the sanctions and has the means to counter sanctions. With the global spillover effect of the US sanctions against Russia and its impact on all sides, it's better for China to be prepared in advance.
The keynote session was moderated by Yang Qingqing, Assistant Dean of RDCY.
Key Words： China; Russia; RDCY; Report