Chinese Industrial Manufacturers Investing Into Russia To Access CIS Markets    

CIS Coin

Torklink Controls, a partner of the Chinese company Flowinn, is investing over ₽100 million (US$1 million) into an assembly plant for electric actuators for pipeline valves at the Yesipovo Industrial Park in the Solnechnogorsk region of Moscow.

The investment is typical of the type of Foreign Direct Investment Russia is now attracting, as Chinese manufacturers begin to replace Western investors who exited the Russia market and left gaps to fill, not just in Russia but in the CIS and EAEU markets. The CIS as of 2025 includes Armenia, Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan, Russia, Tajikistan, and Uzbekistan, with intra-regional trade up 2/3 since 2020. Russia has a population of 143 million, with the other CIS nations adding a further 104 million. The CIS operates as a loose trade bloc with member states having preferential tariff trade agreements between them. The CIS countries had a combined GDP growth rate of 4.7% in 2024. 

In addition to the CIS benefits, Russia Industrial Parks such as Yesipovo provide investment incentives, such as profits tax breaks, lower VAT rates, reduced operational overheads, and reductions in mandatory employee welfare benefits.

In the case of Torlink Controls, the company has chosen a light industrial space to house its production facilities and plans to begin operations this year. Torklink Controls CEO Alexander Serov said that “We plan to launch the workshop and produce the first test batches by the end of 2025. In a production and warehouse space of 750 square meters, our company will set up processes to produce electric actuators designed for use in the oil and gas and energy sectors, as well as in water supply and wastewater systems for industrial enterprises and municipal utilities.”

The company is the sole strategic partner of the Chinese electric actuator manufacturer Flowinn in Russia and the CIS countries. Torklink Controls was registered about a year ago in Moscow. The owner of the company is Zhou Xiuguan, a Chinese national.

Further Reading

Russia, CIS and Uzbekistan Expanding Trade Corridors

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