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China’s backing comes amid the EU’s announcements of a new round of sectoral sanctions against Russia.
The Australian Prime Minister said European allies are considering “short-term non-lethal military assistance" to Ukraine.
UN figures say the violence in eastern Ukraine has killed over 2,600 people and rendered 340,000 homeless.
The chaos in Iraq is the direct result of forced external intervention by the West, said Russia’s permanent UN envoy.
This marks the opening up a new market for Moscow as it risks losing European customers over the Ukraine crisis.
The China-Russia Energy Cooperation Committee is now laying the groundwork for a Xi-Putin summit in October.
Poroshenko had promised to work on an urgent ceasefire plan to defuse the separatist conflict.
Russia takes over the leadership of BRICS from Brazil next year.
The exercises will continue for 10 days and would be concluded on September 5.
"Peace Mission 2014" is scheduled to run from August 24-29.