Differences In Sino Russian Gas Price Negotiations Remain

In October 11th, after the sixteenth regular meeting between the Chinese and Russian prime ministers, the two sides agreed that the price of crude oil trade reached a complete agreement.

However, after the meeting, the Russian Prime Minister Putin said after the end of the meeting that the negotiations on the natural gas issue are not far from the end. It seems that this is just a glimmer of dawn and no substantive breakthrough.

But so far, China and Russia are still unable to meet the demand for natural gas.

Putin had previously made significant progress in affirming the various fields of Sino Russian energy cooperation, but also talked about the differences in Sino Russian gas price negotiations.

He said in an interview with Xinhua and CCTV, "buyers want to be cheaper, and sellers want to be more expensive.

We do not do business at the political level, which is between the two enterprises. "

In response, Han Xiaoping, chief information officer of China energy network, said in an interview with reporters that China should not be entangled in the natural gas price negotiations itself, and should treat this problem in a market view. He said: "since Russia's high price of natural gas to China, there is no need to force it."

In fact, at present, natural gas resources are abundant in Russia, and Russian natural gas does not have the price.

Prior to this, due to differences in quotations, China and Russia have not been able to reach agreement on natural gas cooperation.

Wang Lijiu, a Russian researcher at the China Institute of international relations, judged that the difference is that there are no obstacles at the national level, and that the main negotiations are commercial details.

However, Alexander Medvedev, vice president of the Russian gas company, who accompanied Putin to visit Beijing, said in 11 days that he would not participate in the formal negotiations between the two sides on the price of natural gas.

Some analysts believe that this may be a natural gas price negotiations between the two sides in the short term is still difficult to finally achieve a breakthrough signal.

China's natural gas partner, CNPC (9.92, -0.06, -0.60%) natural gas group, has not been able to respond.

Han Xiaoping also believes that the negotiations between China and Russia on natural gas prices are purely commercial issues, and they will not be successful.

It can urge China to reform the domestic energy system and liberate domestic natural gas.

Otherwise, China's domestic consumers will bear high prices and subsidize Russia in disguise.

He said that to jump out of the negotiations themselves, from the perspective of market and price to examine the price of natural gas.

At the same time, Putin also talked about his views on the international political and economic structure in an interview with Chinese media.

When it comes to whether BRICs' economic development can lead the world to a new order and reform the international financial system, he said that at present, the primary task is to pform the existing economic order, including reforming the world bank and the International Monetary Fund (micro-blog).

The role of BRICs should be enhanced in these mechanisms.