People still think Europe is going to collapse or meaingfully deindustrialize as a result of this war. It won't.It is not about cheap Russian gas, it is about keeping the inflationary pressure on Western economies - in addition to the debt-driven fire they started themselves, the energy prices are also piling on top. Moreover, Europe is currently deindustrializing with power hungry manufacturing fleeing to the US and China, which will further weaken them. It is essentially a win-win - prolonged war leads to both weakened Europe and Russia, the former will diminish as a threat due to increased unrest caused by the deep recession that is looming over Europe while the latter will be more and more dependent on China because they burned bridges with the West & also sustained economic damage. Russia's value to China won't increase or diminish based on the outcomes of war - they will still hold the nuclear arsenal and they will still sell energy, so it literally does not matter.
This year, they need to further reduce their energy demand by around 15%. And its going to be tough for the next 2 years, no question. But in the long term, Europe will never allow itself to be so dependent on Russia again. Russia has no more cards to play in Europe, with its industries, technology, economy, falling further behind. It is Russia that is at major risk of De-Industrializing.
And again, a significantly weakened Russia is not in China's interest. You want to form a bloc of strong nations to match/counter the Western bloc, not a bunch of failed states.
Last edited: