Putin and Xi Discuss Power of Siberia 2 Amid Energy Market Disruptions

Russian President Vladimir Putin met with Chinese leader Xi Jinping in Beijing to discuss the Power of Siberia 2 gas pipeline, which aims to transport 50 billion cubic meters of gas annually from Russia to China via Mongolia. The talks come as the ongoing war in Iran disrupts energy supplies, creating urgency for both nations to solidify their energy partnership. Despite a legally binding memorandum signed in September 2025, key issues such as pricing and financing terms remain unresolved. China seeks pricing aligned with its domestic rates, while Russia aims for higher terms similar to existing contracts. The geopolitical landscape, influenced by the Iran conflict, is pushing both countries to enhance their energy cooperation. The construction timeline and final agreements are still pending, with no clear resolution in sight.

Key Points: • Putin and Xi discussed the Power of Siberia 2 gas pipeline amid energy market disruptions. • The pipeline aims to transport 50 billion cubic meters of gas annually from Russia to China. • Pricing and financing terms for the pipeline remain unresolved, complicating negotiations.