Putin powerless as China tightens grip on occupied Ukraine

Moscow has grown increasingly dependent on China for investment, trade and technological support as Western sanctions continue to strain Russia’s economy.

That reliance is now shaping developments far beyond Russia’s borders.
Quiet expansion

According to The Insider cited by Onet, China is steadily increasing its presence in occupied areas of eastern Ukraine, particularly in Donbas.

A report by the Eastern Human Rights Group found around 6,000 mobile base stations in these territories rely on Chinese technology.

At the same time, about 80 bank branches now offer transactions in yuan, signaling deeper financial integration.

Beijing has not formally recognized Russia’s control over Crimea or other occupied regions.

However, business ties continue to develop through indirect channels, with delegations and trade links quietly expanding.

Local authorities have also pursued partnerships with Chinese firms under the banner of “import substitution”, while China avoids breaching Western sanctions.

Projects on ground

Chinese companies have become involved in infrastructure and industrial activity across the occupied territories.

One example is a quarry in Donetsk region, where agreements were signed with firms supplying mining equipment.

According to Donbas-based journalists cited by The Insider, Chinese machinery is also being used in key mining operations in Luhansk.

Experts say Russia’s ability to rebuild occupied areas increasingly depends on Chinese funding and support.

“The reconstruction of the industry under occupation is already being financed with Chinese money. Without China, Russia has no way to quickly rebuild all of this,”

This cooperation often takes place through intermediaries, including private firms and individuals operating between the two countries.