Abstract

Despite its wealth in terms of raw materials and exporting firms, Eastern Russia is having a difficult time. Ignored by El'tsin's presidency, Siberia is now drawing federal attention. Regional development relies on tax incentives and points to the Asian market. The first gas supplies to Beijing will take place in 2017. Negotiations are difficult. The Chinese position on the price of gas is unlikely to change, as the Chinese believe that the price of gas should be in line with the low cost domestic coal. There is a struggle for power in Moscow and among parliamentary lobbies for and against the Asian vector of Russian energy.