Russia, Laos, Discuss Energy Investment

Laos

Russia and Laos have discussed energy cooperation prospects, with Russian Deputy Energy Minister Roman Marshavin, taking part in negotiations with Laos Prime Minister Sonexay Siphandone. The meetings were held in Vladivostok on the sidelines of the Far Eastern Economic Forum.

Russia’s Energy Ministry stated that “The sides discussed a number of prospective cooperation areas, including Russian energy supply, joint hydropower projects and development of renewable energy generation.” According to the World Bank, 95% of Laos electricity is generated by hydropower. 

Marshavin commented “Russia and Laos have a long-standing energy partnership rooted in the Soviet era. Today, we are ready to offer Laos a broad range of modern engineering solutions in traditional and renewable energy and to mediate the establishment of direct contacts between respective companies of both countries.”

The negotiations highlighted the provision of cybersecurity at energy facilities. Russian companies are also ready to share their competences in this area with Laos partners.

Laos Map

Laos is a small, landlocked yet mountainous country in southeast Asia, bordering China, Vietnam, Thailand, Cambodia and Myanmar. In the past, bilateral trade and investment have been restricted due to its distance from Russia and relative remoteness. However as Russia has developed significant trade with China and Vietnam, and regional road and rail infrastructure has improved, Laos has become more accessible for Russian traders and investors.      

The Russian President, Vladimir Putin, met with the President of Laos, Thongloun Sisoulith, in Moscow in August. Several agreements were signed, including a MoU between corresponding agencies on cooperation in water resources management and protection, together with a 2025–2026 roadmap for cooperation between Russia’s Rosatom and the Laos Ministry of Industry and Trade on nuclear energy.

Bilateral trade between Russia and Laos rose by 66% in 2024, with growth continuing at 20% year-on-year from January to May in 2025. To deal with the bilateral logistics challenges and increasing trade demands, Russia plans to start railroad transportation with Laos and container transportation by sea. Putin said last month that “Due to an increase in mutual cargo flows, issues concerning expansion of container transportation by sea from Laos to Vladivostok through Vietnam’s ports are being considered. There are also plans to organize railroad cargo transportation through China.”

Concerning Rosatom, Putin mentioned that “Agreements on nuclear energy will create a foundation to provide the Laotian economy with cheap and environmentally safe energy.” Previous talks have involved Rosatom and Laos discussing the construction of a two-unit nuclear power plant.

Further Reading

Russia-Laos Bilateral Relations: 2025 Update

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