Russian Far East.

• Author: Feller, Gordon
• Position: Includes related article on Exxon Neftegas - Economic opportunities

Thinking of expanding operations into Russia? Here's a look at three major regions of the Russian Far East.

VLADIVOSTOK:

Geographical Significance. With a population of 730,000, Vladivostok is the largest city in the Russian Far East, the capital of Primorsky Territory, and home of the Russian Pacific Fleet. This port city is expanding economic relations with Japan, China, Korea and the United States, making it a principal center for trade and commerce in the Russian Far East.

Political/Economic Advantages: In September 1992, a U.S. Consulate General opened in Vladivostok. Regional and city officials are steadily improving trade relations and expanding global ties, transforming this once-closed city into Russia's "Gateway to the East." The region's largest trading partners include the Asian countries, Australia and the United States. In foreign trade, imports exceed exports with the largest share of export/import volume taken by China, Korea, and Japan. U.S. food exports to the region are increasing rapidly.

Transportation Linkages: Passenger airlines connect the Vladivostok airport with 35 Russian cities. Alaska Airlines, Korean Air and Aeroflot provide regular international service. Railroads connect Vladivostok and Primorsky Territory with China and North Korea, as well as with other major seaports to the south: Nakhodka, Vostochny and Posiet.

Natural Resources in the Region: Predominant natural resources include fish, timber and nonferrous metals.

Important Industries/Production Capabilities: Primary industries in the region include shipbuilding and repair, agriculture, food and fisheries processing, machine building, timber and construction materials production, coal and boron extraction, and military aircraft production. Vladivostok is the Russian Far East's financial center, with a stock exchange and several banking institutions.

Trade Investment Potential for U.S. Firms: Opportunities for U.S. companies exist in trade and investment in natural resource extraction, defense conversion, fisheries/food processing and packaging, ship repair and retrofitting, and value-added wood products manufacturing.

You're in Good Company: American companies active and currently operating in Vladivostok include Alaska Airlines, AT&T, IBM, Sea-Land, Coca Cola, Caterpillar, Price Waterhouse, DHL, U.S. West, American President Lines and Mobil Oil.

Yuzhno-Sakhalinsk:

Geographical Significance: Yuzhno-Sakhalinsk, with a population of 180,000, is the...