Diplomacy Wen visits Russia to secure energy prices

Premier Wen Jiabao began his visit to Russia Monday, as Beijing and Moscow seek to deepen ties, from energy cooperation to cultural interaction.

Vice Premier Wang Qishan left Beijing yesterday to attend the meeting of the China-Russia Energy Negotiation representatives, as officials said disagreements remain concerning the pricing agreement for Russian gas supplies to China.

"The pricing negotiation is an important part of Vice Premier Wang Qishan's trip, and we hope to narrow the divide then," Gu Jun, deputy director-general of the National Energy Administration's international department, was quoted by Reuters as saying on Thursday.

Gu added that the difference in pricing between the two countries is $100 per 1,000 cubic meters, Reuters reported.

Russia has begun tests on the new East Siberian-Pacific Ocean pipeline by pumping about 600,000 tons of oil along it. Gu said that once it begins operating in January next year, the pipeline will bring 300,000 barrels per day to China, according to the agency.

Russia is China's 13th-largest trade partner, but bilateral trade rose by 43.4 percent to $45.1 billion in the first 10 months of this year, according to Chinese customs data.

The Kremlin expects the volume this year to return to the $55.9 billion recorded in 2008, before the economic crisis.

"The two countries are recovering from the global economic crisis, though Russia might be slower to do so than China. The structure of bilateral cooperation has improved. Cooperation is ongoing for traditional energy projects such as oil, gas and coal, but also on new projects such as nuclear energy along the border," Wu Dahui, a senior researcher specializing in Russian studies at the Chinese Academy of Social Sciences, told the Global Times.

Wang Lijiu, an expert on Russia at the China Institutes of Contemporary International Relations, told the Global Times yesterday that collaboration could also be extended in the future on high-tech imports and exports, as well as on banking services.

He said both China and Russia had already established a smooth communications mechanism, which will help to solve any possible problems. "It is natural to have differences, but what is critical is that we have this concrete communications platform in place."

State Councilor Liu Yandong arrived in Russia on Saturday and will attend the closing ceremony of the Chinese Language Year in Russia.

Russian Deputy Prime Minister Alexander Zhukov praised the cultural program between the two countries in an interview with Xinhua News Agency and noted that ties are maturing and have great potential for further development.

"We can announce in full confidence that the 'Chinese Language Year' has been a success," he spoke of the event, which officially ends on Wednesday.

After his visit to Russia, Wen will head to Tajikistan on Thursday for the Shanghai Cooperation Organization meeting.