He formulated the programme for the Siberian railroad and Russian Asiatic development.

The party of nobles opposed to him arranged that he should receive the humiliation of an ignoble peace with Japan, under which it was expected that Russia would have to pay a huge indemnity.
But when Witte arrived at the naval station at Portsmouth, New Hampshire, to make the famous treaty with Japan, his first declaration was, "Not one kopeck for indemnity." He won out and returned in triumph to Russia.
But during the progress of the Japanese war Germany thrust her commercial treaties upon St.Petersburg.

Goods from Russia into Germany were taxed while German goods went under favorable terms into Russia, with the result that Russia has had a struggle now for ten years to keep her gold basis and her financial exchanges.
It was Witte who was sent to Berlin to protest against these proposed treaties and secure more favorable terms.

Witte made his protest and refused to accept the German demands.

Then suddenly he received peremptory orders from the Czar to grant all the demands of Germany.
The Czar declared Russia was in no condition to have trouble with Germany.