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President Vladimir Putin: Good day,

Sergei Viktorovich (talking to Sergei Lavrov), you have had several very beneficial and interesting meetings. I would ask you to tell us about the trilateral meeting in Vladivostok in more detail. Please go ahead.

Sergei Lavrov: Some time ago we established trilateral cooperation and dialogue with the foreign ministers of Russia, China and India. And over the last few years three such meetings have been held when the ministers were participating in various international forums. Last year we arranged to hold these events independently unrelated to other events.

We invited our colleagues to Vladivostok, and this meeting was held for the first time in independent format on 1–2 June. A joint document, a communique, was also passed for the first time. Before this, no documents were passed. The document contains a whole series of principles which our country shares on the international stage, and specific agreements. Among the principles I would mention above all the clear confirmation by Russia, India and China of our adherence to progress towards a multipolar world, where the central role is played by the United Nations, a world in which collective methods of regulating regional and global problems predominates, regulation on the basis of international law, mutual respect and consideration of mutual interests.

There are specific agreements that our appropriate agencies, including the foreign policy and law-enforcement bodies and special services will activate cooperation in a trilateral format in the war on terrorism and organised crime, including drug trafficking. There are also recommendations, and we will present them for discussion to our colleagues from other ministries and departments, on establishing trilateral economic cooperation – the spheres that interest us are energy, transport and high technology. The Indians proposed to hold a meeting in New Delhi next March with the participation of business circles of the three countries and government experts.

Thus, I believe that these agreements, which need to be realised on a major scale, will help to strengthen not just cooperation in this format for cooperation’s sake, but will, in case of throrough preparatory work for the upcoming events, match the interests of each of our countries. And in general the cooperation of three great nations is of course a positive factor in the development of the international situation. And this was our common assessment.

Mr Putin: Good. Thank you.

In connection with this, German Osakarovich (talking to German Gref), what do you propose to discuss at the Russian-Chinese investment forum in St. Petersburg?

German Gref: The forum is planned for this week. A large representative delegation will be coming, a large group of investors from China. A large group of representatives of Russian companies will also be participating in the forum, who will discuss primarily issues of trade and economic cooperation.

There are several aspects in trade cooperation.

First, it is improving the structure of our trade with China in order to increase the share of high-technology, machine and technical production, and to regulate so-called uncoordinated trade, where we have an enormous difference in statistics between Russia and China. “Shuttle trade” continues to be relevant.

The second part of this forum is cooperation between Russian and Chinese companies on investments on the territory of China and the territory of Russia. There are several projects. Several of them are quite major projects (of up to $1 billion) targeted at creating joint production facilities, such as building a glass factory, wood-processing factories, electronic components factories and investment in real-estate. This project is envisaged both on the territory of Russia and the territory of China.

At the end of the summit it is proposed to sign a bilateral agreement on cooperation in the investment sphere and a schedule of events to stimulate our mutual investments.

Mr Putin: Sergei Viktorovich (talking to Sergei Lavrov), in Japan you discussed issues of economic cooperation and upcoming plans, including directly in the production sphere.

Mr Lavrov: The entire package of documents was discussed which is being prepared for your expected visit to Tokyo this year. There are about 15 documents, and half of them are ready. There are good developments on economic projects, including on cooperation in the nuclear energy sphere, but in some areas, which we consider to be very promising, given the capabilities and advantages of the two countries, the Japanese have a rather reserved attitude. For example, they are not particularly enthusiastic about our proposal to reach an agreement on cooperation in the space industry. We explained to them that this really is a good opportunity for both sides and that this would be mutually beneficial, but so far there has not been a clear answer. Nevertheless, there will be agreements, and they are of course interested in cooperation in the energy sphere – and we are prepared for this on conditions which will suit both sides. We explained to them the plans that the Russian government has which may be of interest for Japan. They say that plans for building an oil pipeline on the eastern coast will significantly increase the possibility for our cooperation in this sphere, and they show interest in this. In general, the package of documents is being drawn up carefully.

Mr Putin: This interest should be given concrete form. Mikhail Yefimovich [Fradkov] and Khristenko should activate work related to this interest. We must understand what this interest is. We are more or less clear with our Chinese partners on this, not everything has been decided there either, but nevertheless. If the Japanese show an interest, it should be given concrete form.

How are preparations proceeding for the 750th anniversary of Kaliningrad?

Mr Gref: Preparations for the celebration are currently being completed. This week we have planned a trip by a Government delegation and on Wednesday [8 June] we will hold the last meeting of the government commission on preparations to the celebration of the 750th anniversary of Kaliningrad. We wanted to examine all the objects which have been planned for opening, and look at the schedule for celebration events.

It must be said that over the last year work has become more intensive, and the city is being brought into a normal state, and work is underway on almost all objects. This week we will determine the terms for putting all objects into service, and the schedule for completing all work: what we have managed to do, and what not, and why. The entire plan of events must be approved, and here representatives of the Administration and the plenipotentiary representative of the President will be involved. I think that this week we will develop a final scenario.

Mr Putin: Good.

Incidentally, soon I have a meeting planned with Mr. Mori [former Prime Minister of Japan]. It would be good if he also had the chance to discuss problems connected with the oil pipeline. Please contact him (talking to Sergei Lavrov).

Mr Lavrov: I also met with him in Tokyo.

Mr Putin: Reach an agreement about this.

Mr Lavrov: We will prepare a document.

Mr Putin: Yes.