U.S.-Russia Economic Relations
October 24, 2017
This study offers a detailed analysis of U.S.-Russia economic relations, viewed in a broader geopolitical context. It assesses the limits of bilateral cooperation through the economic and political trajectories of both countries, particularly considering the structural constraints in Russia’s economic and political system. Through a meticulous examination of the commodity composition of bilateral trade, the report evaluates the potential for expansion of exports and imports, as well as the obstacles on this path. The author explains why trade agreements and business activity have not helped to reduce current political tensions, while deteriorating political ties have continued to have an adverse effect on economic cooperation. The report also describes scenarios for U.S.-Russia interaction where economic relations could be reshaped, and it suggests that if the right balance between politics and economic pragmatism can be found, such ties could become a shock absorber and open prospects for qualitative and quantitative improvements in bilateral relations.