Russia may impose a series of economic sanctions in retaliation for Turkey shooting down one its warplanes.
Russian Prime Minister Dmitry Medvedev ordered his government to draw up measures that would include freezing some joint investment projects and restrictions on food imports from Turkey.
Other sanctions may include restrictions on the planned TurkSteam gas pipeline, Economy Minister Alexei Ulyukayev said.
Commercial flights, tourism and preparations for a free trade zone between the two countries may also be curtailed, Mr Ulyukayev warned.
Turkey has shown it is willing to take on Russia after downing a Russian fighter jet.
This incident will leave the American military profoundly alarmed that the Syrian conflict is now threatening to spiral out of all control.