US Secretary of State John Kerry is to meet Russian President Vladimir Putin during his first visit to Russia since the Ukraine crisis began in early 2014.
Mr Putin's spokesman called the visit a "positive step" and said the Russian leader was prepared for "extensive" discussions at the meeting in Sochi.
Mr Kerry is also meeting his Russian counterpart Sergei Lavrov.
The West accuses Russia of arming rebels in eastern Ukraine and sending troops there - charges Moscow denies.
More than 6,000 people have been killed since fighting began in April 2014 between Ukrainian government forces and Russian-backed rebels in the eastern Donetsk and Luhansk regions.
The conflict followed Russia's annexation of the Crimean peninsula in southern Ukraine.
'Broader dialogue'
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State Department spokeswoman Marie Harf said Mr Kerry's trip was "part of our ongoing effort to maintain direct lines of communication with senior Russian officials and to ensure US views are clearly conveyed"."Through dialogue, it is possible to look for paths to a certain normalisation, to a closer co-ordination in decisions."
He said Russia was prepared to discuss international "hot spots" as well as bilateral relations, and that the issue of Western sanctions against Russia would not be raised by the Russian side.
Analysis: Bridget Kendall, BBC News, Sochi
For President Obama to send his top envoy all the way to Sochi is significant. That the Kremlin has now called the visit positive and said President Putin is ready to discuss a wide range of issues with him is even more important.John Kerry has not visited Russia since relations plunged into a deep freeze over Ukraine. It now looks as though both sides are hoping that Tuesday's talks are a chance to explore where they have common ground.
Mr Putin's spokesman said the Russian leader was prepared to discuss conflict zones - in other words, the wars in Ukraine and Syria - but said it was not up to Russia to raise the issue of Western sanctions.
There's an air of expectation on both sides about this meeting, but also realism. One Russian deputy foreign minister described the agenda as complicated and not improving - which suggests a long hard slog.
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Mr Kerry last held talks with Mr Putin in Moscow in May 2013, a meeting for which the Russian leader was three hours late.
This visit comes two days after German Chancellor Angela Merkel attended a wreath-laying ceremony in Moscow to commemorate the Russians killed during World War Two.
At a joint news conference with Mr Putin, she said the annexation of Crimea had caused "a serious setback in our relations".
Mrs Merkel and other Western leaders boycotted a military parade in Red Square on Saturday.
The German leader has already said that the EU plans to extend sanctions against Russia, unless there is progress on implementing the Minsk peace deal for Ukraine in full.
The lull in the conflict in eastern Ukraine since February's ceasefire has been punctuated by frequent violations. Both Ukraine and Nato have warned of a risk of a return to widespread violence.
The Ukrainian government, Western leaders and Nato say there is clear evidence that Russia is helping the rebels with heavy weapons and soldiers - an accusation echoed by independent experts. Moscow insists that any Russians serving with the rebels are volunteers.
In Moscow on Tuesday, opposition activists published a report alleging that more than 200 Russian soldiers died in key battles in eastern Ukraine. The report was originally being compiled by opposition politician Boris Nemtsov, who was shot dead in February.
The situation in eastern Ukraine
- Reduced but daily clashes, with intense fighting around port city of Mariupol
- Ukrainian government says it has lost full or partial control of 28 towns and villages since 18 February
- Both sides accuse each other of building up weaponry for a new offensive
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