Defence industry of Russia
   HOME

TheInfoList



OR:

The
defense industry The arms industry, also known as the arms trade, is a global industry which manufactures and sells weapons and military technology. It consists of a commercial industry involved in the research and development, engineering, production, and servi ...
of
Russia Russia (, , ), or the Russian Federation, is a List of transcontinental countries, transcontinental country spanning Eastern Europe and North Asia, Northern Asia. It is the List of countries and dependencies by area, largest country in the ...
is a strategically important sector and a large employer in Russia. It is also a significant player in the global arms market, with Russian Federation being the second largest conventional arms exporter after the United States, with $13.5 billion worth of exports in 2012. Combined, the US and Russia account for 57% of all major weapons exports.Trends in International Arms Transfers
SIPRI. Retrieved 2019-12-18.
The Russian government has announced its intention to restructure the debts of Russian
military–industrial complex The expression military–industrial complex (MIC) describes the relationship between a country's military and the defense industry that supplies it, seen together as a vested interest which influences public policy. A driving factor behind the r ...
in the amount of 750 billion rubles, half of this amount will be written off,
Deputy Prime Minister A deputy prime minister or vice prime minister is, in some countries, a government minister who can take the position of acting prime minister when the prime minister is temporarily absent. The position is often likened to that of a vice president, ...
, Yuri Borisov said, speaking at a board of the Ministry of Industry and Trade of Tatarstan. President
Vladimir Putin Vladimir Vladimirovich Putin; (born 7 October 1952) is a Russian politician and former intelligence officer who holds the office of president of Russia. Putin has served continuously as president or prime minister since 1999: as prime min ...
considers the Syrian Civil War to be a good platform for advertisement of the capabilities of Russian weapons capable of boosting Russia's military sales.


Economic significance

Russia's defense industry employs 2.5 – 3 million people and accounts for 20% of all manufacturing jobs in Russia.
Sevmash JSC PO Sevmash ( rus, ОАО «ПО „Севмаш“», Севмаш, СМПСМП, "Severodvinsk Machine Building Plant") is a Russian joint-stock company (JSC) under the vertically-integrated United Shipbuilding Corporation. The shipbuildin ...
directly employs 27,000 people. The combined revenue of the industry's 20 largest companies in 2009 was $12.25 billion. Russian shipbuilders and naval missile manufacturers survived the difficult period of transition from a
command Command may refer to: Computing * Command (computing), a statement in a computer language * COMMAND.COM, the default operating system shell and command-line interpreter for DOS * Command key, a modifier key on Apple Macintosh computer keyboards * ...
to a
market-driven economy A market economy is an economic system in which the decisions regarding investment, production and distribution to the consumers are guided by the price signals created by the forces of supply and demand, where all suppliers and consumers are ...
, and kept skills needed for the development of advanced combat systems. With recently won orders for Project 955 and Project 885 submarines, the share of domestic military orders in Sevmash's portfolio has risen to above 70%. Visiting Severodvinsk in February, deputy premier of the Russian Government in charge of defense industry, Dmitry Rogozin said the local shipbuilders are contracted to build eight fourth-generation nuclear submarines by 2020, and that more orders are coming. He further said the earlier program for scrapping third-generation submarines is being revised so that "these vessels will get newer missiles and be subjected to a series of repair efforts enabling them to serve for another seven years". In November 2011, the Russian defense ministry awarded Sevmash contracts for construction of four Project 955A Borey-A strategic underwater cruisers armed with the Bulava intercontinental ballistic missiles. This order comes after construction of three Project 955 Boreys (Yuri Dolgorukiy, Aleksander Nevsky and Vladimir Monomakh). The Russian Navy also ordered five Project 885M Yasen-M fast attack submarines, in addition to the head vessel, the K-329 Severodvinsk. The exact sum of these contracts has not been made public. It is only known that the Alexander Nevsky was built under contract worth 23 billion Rubles. The last nuclear powered surface combatant built in St. Petersburg was the
Peter the Great Peter I ( – ), most commonly known as Peter the Great,) or Pyotr Alekséyevich ( rus, Пётр Алексе́евич, p=ˈpʲɵtr ɐlʲɪˈksʲejɪvʲɪtɕ, , group=pron was a Russian monarch who ruled the Tsardom of Russia from t ...
. The 23,800-tonne cruiser, fourth and the last in the Atlant series (after Ushakov, Lazarev and Nakhimov) was commissioned in 1998, and serves with the Northern Fleet.
Saint Petersburg Saint Petersburg ( rus, links=no, Санкт-Петербург, a=Ru-Sankt Peterburg Leningrad Petrograd Piter.ogg, r=Sankt-Peterburg, p=ˈsankt pʲɪtʲɪrˈburk), formerly known as Petrograd (1914–1924) and later Leningrad (1924–1991), i ...
shipbuilders continue to work on civil projects. They have completed one floating nuclear electric power generation station known as Project 20870 with displacement of 21,500 tons. Six more such stations and five nuclear-powered ice-breakers are on order. During the last 20 years Moscow has repeatedly tried to attract the Turkish military with its advanced technology. A new attempt was made at the
IDEF IDEF, initially an abbreviation of ICAM Definition and renamed in 1999 as Integration Definition,IEEE Standard for Functional Modeling Language—Syntax and Semantics for IDEF0, Software Engineering Standards Committee of the IEEE Computer Soci ...
2013 exhibition. Russia presented its Ka-50-based
Ka-52 The Kamov Ka-50 "Black Shark" (russian: Чёрная акула, translit=Chyornaya akula, English: kitefin shark, NATO reporting name: Hokum A) is a Soviet/Russian single-seat attack helicopter with the distinctive coaxial rotor system of the ...
Alligator attack helicopter and the Mi-28NE Night Hunter. The proposal to start joint development of a surface-to-air missile system with Ankara was perhaps the most intriguing development of IDEF 2013. The SAM would be based on the Russian S-300V Antey-2500 system. Besides the Antey, Moscow has offered the Buk-M2E and the Tor-M2E surface-to-air missile system, and the
Pantsir-S1 The Pantsir (russian: Панцирь, translation="Carapace") missile system is a family of self-propelled, medium-range surface-to-air missile and anti-aircraft artillery systems. Starting with the Pantsir-S1 (russian: Панцирь-С1, NATO r ...
combined missile and artillery system. Exhibited mock-ups included the
T-90S The T-90 is a third-generation Russian main battle tank. It uses a 125mm 2A46 smoothbore main gun, the 1A45T fire-control system, an upgraded engine, and gunner's thermal sight. Standard protective measures include a blend of steel and compos ...
tank, Terminator fire support combat vehicle, the BMP-3M infantry combat vehicle, the
BTR-80 The BTR-80 (russian: бронетранспортёр, bronyetransportyor, literally "armoured transporter") is an 8×8 wheeled amphibious armoured personnel carrier (APC) designed in the USSR. It was adopted in 1985 and replaced the previous ...
and the BTR-80A Armored Personnel Carriers, the Smerch multiple rocket launcher, the
Kornet The 9M133 Kornet (russian: Корнет; "Cornet", NATO reporting name AT-14 Spriggan, export designation Kornet-E) is a Military of Russia, Russian man-portable anti-tank missile, anti-tank guided missile (ATGM) intended for use against main ...
and the
Metis-M The 9K115-2 Metis-M ( NATO reporting name AT-13 Saxhorn-2) is a Russian portable anti-tank guided missile system. "9K115-2" is the GRAU designation of the missile system. The Metis-M1 is the latest upgraded variant of Metis-M. The system is desig ...
anti-tank missile systems, the
Msta-S The 2S19 Msta (russian: Мста, after the Msta River) is a 152.4 mm self-propelled howitzer designed by the Soviet Union, which entered service in 1989 as the successor to the 2S3 Akatsiya. The vehicle has the running gear of the T-80, b ...
152-millimeter howitzer, the 2S9 120-millimeter self-propelled mortar, and the Vena self-propelled automated artillery system. Turkey was the first
NATO The North Atlantic Treaty Organization (NATO, ; french: Organisation du traité de l'Atlantique nord, ), also called the North Atlantic Alliance, is an intergovernmental military alliance between 30 member states – 28 European and two No ...
member country to build close military and technical ties with Moscow. Peru will sign a contract to upgrade Lima's fleet of Mikoyan
MiG-29 The Mikoyan MiG-29 (russian: Микоян МиГ-29; NATO reporting name: Fulcrum) is a twin-engine fighter aircraft designed in the Soviet Union. Developed by the Mikoyan design bureau as an air superiority fighter during the 1970s, the Mi ...
Fulcrum fighters, Peru is interested in buying 700 Kamaz trucks and a new batch of
Mi-8 The Mil Mi-8 (russian: Ми-8, NATO reporting name: Hip) is a medium twin-turbine helicopter, originally designed by the Soviet Union in the 1960s and introduced into the Soviet Air Force in 1968. It is now produced by Russia. In addition to ...
/
Mi-17 The Mil Mi-17 (NATO reporting name: Hip) is a Soviet-designed Russian military helicopter family introduced in 1975 (Mi-8M), continuing in production at two factories, in Kazan and Ulan-Ude. It is known as the Mi-8M series in Russian service. ...
helicopters from Russia. Peru is also considering buying 100 T-90S tanks.


State orders

During the crisis years of the Russian economy, the country's military industry survived mainly on exports. Today, domestic military procurement is an important source of income for the industry. State orders for military equipment have risen considerably during the last decade. While in 2002, the State Defense Order amounted to only RUB 62 billion, by 2007 the sum had risen to RUB 302.7 billion. When calculated in constant 2000 prices, this represents an increase by a factor of two. The State Defense Order for 2009 was expected to amount to a record of RUB 1.2 trillion, showing an increase of RUB 70 billion from the previous year. The order was expected to be raised by a further RUB 40 billion for 2010, and by RUB 60 billion for 2011. In total, the state plans to spend $128 billion in military procurement in the 2009–2011 period.
Military-Industrial Commission of Russia The Military-Industrial Commission of the Russian Federation () was established by a presidential decree in March 2006. According to the decree, it is a permanently functioning body with vast responsibilities for supervising the distribution and ...
is responsible for supervising the distribution and implementation of the State Defense Order. In 2005, Putin initiated an industry consolidation programme to bring the main aircraft producing companies under a single umbrella organization, the
United Aircraft Corporation The PJSC United Aircraft Corporation (UAC) () is a Russian Aerospace manufacturer, aerospace and Arms industry, defense corporation. With a majority stake belonging to the Russian government, it consolidates Russian private and state-owned Russian ...
(UAC). The aim was optimize production lines and minimise losses. The program was divided in three parts: reorganization and crisis management (2007–2010), evolution of existing projects (2010–2015) and further progress within the newly created structure (2015–2025). The State Duma Defense Committee has announced that the nation's defense spending, including research and development R&D spending, will total $16.3 billion (RUB487 billion) in 2010, $19.2 billion (RUB574 billion) in 2011, $24.3 billion (RUB726 billion) in 2012, and $38.8 billion (RUB1.16 trillion) in 2013. While total defense spending will increase, the amount allocated for R&D will drop from the current 2010 level of 22 to 16 percent by 2013. The modernization of weaponry will instead receive a significant portion of total spending, with 13 percent designated for the 2010 fiscal year, 15 percent for 2011 and 2012, and 14 percent for 2013. The top procurement priorities are the following:
RS-24 The RS-24 Yars (РС-24 Ярс– ракета стратегическая (strategic missile)) - modification 24) also known as RT-24 Yars or Topol'-MR (russian: PC-24 «Ярс», NATO reporting name: SS-29 or SS-27 Mod 2) is a Russian MIRV-e ...
intercontinental ballistic missiles An intercontinental ballistic missile (ICBM) is a ballistic missile with a range greater than , primarily designed for nuclear weapons delivery (delivering one or more thermonuclear warheads). Conventional, chemical, and biological weapons ca ...
,
Bulava The RSM-56 Bulava (russian: Булава, lit. " mace", NATO reporting name SS-NX-30 or SS-N-32, GRAU index 3M30, 3K30) is a submarine-launched ballistic missile (SLBM) developed for the Russian Navy and deployed in 2013 on the new of ball ...
submarine-launched ballistic missiles A submarine-launched ballistic missile (SLBM) is a ballistic missile capable of being launched from submarines. Modern variants usually deliver multiple independently targetable reentry vehicles (MIRVs), each of which carries a nuclear warhead ...
,
Su-24 The Sukhoi Su-24 (NATO reporting name: Fencer) is a supersonic, night fighter, all-weather attack aircraft developed in the Soviet Union. The aircraft has a variable-sweep wing, Twinjet, twin-engines and a side-by-side seating arrangement for it ...
fighters,
Su-35 The Sukhoi Su-35 (russian: link=no, Сухой Су-35; NATO reporting name: Flanker-E) is the designation for two improved derivatives of the Su-27 air-defence fighter. They are single-seat, twin-engine, supermaneuverable aircraft, designed ...
long-range fighters, submarines,
corvettes A corvette is a small warship. It is traditionally the smallest class of vessel considered to be a proper (or " rated") warship. The warship class above the corvette is that of the frigate, while the class below was historically that of the sloop ...
,
frigates A frigate () is a type of warship. In different eras, the roles and capabilities of ships classified as frigates have varied somewhat. The name frigate in the 17th to early 18th centuries was given to any full-rigged ship built for speed and ...
, and battlefield command-and-control systems. The plan for 2010-2013 only represents a small portion (16%) of that amount, just over RUB2.9 trillion ($98.6 billion). The government intends to spend RUB19 trillion ($613 billion) over the next decade to modernize the armed forces. The UAC, one of the so-called national champions and comparable to EADS in Europe, enjoyed considerable financial support from the Russian government, and injected money to the companies it had acquired to improve their financial standing. The deliveries of civilian aircraft increased to 6 in 2005, and in 2009 the industry delivered 15 civilian aircraft, worth 12.5 billion roubles, mostly to domestic customers. Since then Russia has successfully tested the fifth generation jet fighter,
Sukhoi Su-57 The Sukhoi Su-57 (russian: Сухой Су-57; NATO reporting name: Felon) is a Twinjet, twin-engine stealth Multirole combat aircraft, multirole fighter aircraft developed by Sukhoi. It is the product of the PAK FA (russian: ПАК ФА, russ ...
, and started the commercial production of the regional airliner
Sukhoi Superjet 100 The Sukhoi Superjet 100 () or SSJ100 is a regional jet designed by Russian aircraft company Sukhoi Civil Aircraft, a division of the United Aircraft Corporation (now: Regional Aircraft – Branch of the Irkut Corporation). With development starti ...
, as well as started developing a number of other major projects. Putin created the
United Shipbuilding Corporation , romanized_name = , former_name = , type = State owned enterprise , traded_as = , industry = Shipbuilding, Defense industry , genre = , fate = , predecessor = , successor = , founded = , founder = , defunct ...
in 2007, which led to the recovery of shipbuilding in Russia. Since 2006, much efforts were put into consolidation and development of the Rosatom Nuclear Energy State Corporation, which led to the renewed construction of nuclear power plants in Russia as well as a vast activity of Rosatom abroad, buying huge shares in world's leading uranium production companies and building
nuclear power plants A nuclear power plant (NPP) is a thermal power station in which the heat source is a nuclear reactor. As is typical of thermal power stations, heat is used to generate steam that drives a steam turbine connected to a generator that produces elec ...
in many countries, including India, Iran, China, Vietnam and Belarus. In 2007, the Russian Nanotechnology Corporation was established, aimed to boost the science and technology and high-tech industry in Russia. The gist of the new system is to encourage industry to continually reduce manufacturing expenses and improve resource management. Manufacturer profits are made directly dependent on savings it achieves during the series production of modern weapons. This requires more effective resource management, cutting manufacturing costs and making production more economically efficient.


Exports

In 2012, Russia's military exports hit another record sum of $15 billion the structure of military exports had become more balanced. The biggest sales were in aviation equipment – 37 percent. Total exports of land-based weapons and military equipment grew to 27 percent. At the same time, the shares of naval equipment and anti-aircraft systems increased to 18 percent and 15 percent, respectively. Russia is the world's second largest conventional arms exporter after the United States. In 2012, Rosoboronexport received 1,877 enquiries from foreign clients, and, following consideration of the applications, 1,309 contracts were signed. This is 2.5 times more than in 2011. The most popular types of weaponry bought from Russia are
Sukhoi The JSC Sukhoi Company (russian: ПАО «Компания „Сухой“», ) is a Russian aircraft manufacturer (formerly Soviet), headquartered in Begovoy District, Northern Administrative Okrug, Moscow, that designs both civilian and milita ...
and
MiG Russian Aircraft Corporation "MiG" (russian: Российская самолётостроительная корпорация „МиГ“, Rossiyskaya samolyotostroitel'naya korporatsiya "MiG"), commonly known as Mikoyan and MiG, was a Russi ...
fighters,
air defense Anti-aircraft warfare, counter-air or air defence forces is the battlespace response to aerial warfare, defined by NATO as "all measures designed to nullify or reduce the effectiveness of hostile air action".AAP-6 It includes surface based, ...
systems,
helicopter A helicopter is a type of rotorcraft in which lift and thrust are supplied by horizontally spinning rotors. This allows the helicopter to take off and land vertically, to hover, and to fly forward, backward and laterally. These attributes ...
s,
tank A tank is an armoured fighting vehicle intended as a primary offensive weapon in front-line ground combat. Tank designs are a balance of heavy firepower, strong armour, and good battlefield mobility provided by tracks and a powerful engin ...
s,
armored personnel carriers An armoured personnel carrier (APC) is a broad type of armoured military vehicle designed to transport personnel and equipment in combat zones. Since World War I, APCs have become a very common piece of military equipment around the world. Acc ...
and
infantry fighting vehicle An infantry fighting vehicle (IFV), also known as a mechanized infantry combat vehicle (MICV), is a type of armoured fighting vehicle used to carry infantry into battle and provide direct-fire support. The 1990 Treaty on Conventional Armed Forc ...
s. Russian arms were exported to 60 countries. The most significant supplies went to countries in Southeast Asia and the Asia-Pacific region – 43 percent. The second most significant market remains the Near and Middle East, together with North Africa – 23 percent. For the period 2014–18, the
Stockholm International Peace Research Institute Stockholm International Peace Research Institute (SIPRI) is an international institute based in Stockholm. It was founded in 1966 and provides data, analysis and recommendations for armed conflict, military expenditure and arms trade as well a ...
, SIPRI, found that Russian exports of major weapons had increased by 17 per cent between 2009-2013 and 2014–18. Russia delivered weapons to 56 states and to rebel forces in eastern Ukraine in 2010–14. Since 2007, the government-controlled consortium
Rosoboronexport JSC Rosoboronexport (russian: AO Рособоронэкспорт, ''Rosoboroneksport'') is the sole state intermediary agency for Russia's exports/imports of defense-related and dual use products, technologies and services. The Rosoboronexport F ...
has had a legal monopoly on Russian arms exports. All exports must proceed through Rosoboronexport, although 22 firms are allowed to independently export spare parts and components. In 2010, total Russian arms exports amounted to $10 billion. Rosoboronexport's share was $8.6 billion, with independent suppliers making up the difference. The Moscow-based independent military think-tank
Centre for Analysis of Strategies and Technologies The Centre for Analysis of Strategies and Technologies (CAST) (Russian: Центр анализа стратегий и технологий) is an independent, for-profit Russian think tank located in downtown Moscow. CAST conducts research and ...
has analysed the identified exports of Russian weapons in the year 2009. The share of different weapon types was the following: 61% Aerospace, 21% Ground, 9% Naval, 8% Air Defense and 1% other. In 2010–11,
Algeria ) , image_map = Algeria (centered orthographic projection).svg , map_caption = , image_map2 = , capital = Algiers , coordinates = , largest_city = capital , relig ...
was the top customer (with an export share of 29%), followed by
India India, officially the Republic of India (Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the so ...
(25%) (once India was the largest importer in terms of quantity, and it is still the largest importer in terms of value/money paid) and China (10%).
Vietnam Vietnam or Viet Nam ( vi, Việt Nam, ), officially the Socialist Republic of Vietnam,., group="n" is a country in Southeast Asia, at the eastern edge of mainland Southeast Asia, with an area of and population of 96 million, making i ...
became Russia's largest weapons customer in terms of new contracts signed in 2009, especially due to a large order for six Project 636M
Kilo-class submarine The Kilo class, Soviet designation Project 877 ''Paltus'' (russian: Па́лтус, meaning "halibut"), NATO reporting name Kilo, is a class of diesel-electric attack submarines originally designed in the 1970s and built in the Soviet Uni ...
s. Vietnam is expected to considerably increase its share of Russian arms exports in the future. Russia's military exports between 2008 and 2011 amounted to $29.8 billion. The top three customers were India ($8.2 billion), Algeria ($4.7 billion) and China ($3.5 billion). These importers accounted for 55.47 percent of its total exports during that period. As of 2012, Russia has managed to maintain its position as the number two exporter of arms to the world in spite of losing sales in some markets such as
Libya Libya (; ar, ليبيا, Lībiyā), officially the State of Libya ( ar, دولة ليبيا, Dawlat Lībiyā), is a country in the Maghreb region in North Africa. It is bordered by the Mediterranean Sea to the north, Egypt to Egypt–Libya bo ...
and
India India, officially the Republic of India (Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the so ...
, by selling products to new markets in Africa and Latin America."Between 2012 and 2015, India will once again become the number one importer ($14.3 billion), followed by Venezuela ($3.2 billion) instead of
Algeria ) , image_map = Algeria (centered orthographic projection).svg , map_caption = , image_map2 = , capital = Algiers , coordinates = , largest_city = capital , relig ...
. Vietnam will rank third, with imports of $3.2 billion.that the Asia-Pacific now accounts for more than half of the company's deliveries. In recent years Russia approved about $7 billion worth of export loans under weapons contracts. This has enabled Rosoboron export to sign new deals with Myanmar,
Malaysia Malaysia ( ; ) is a country in Southeast Asia. The federation, federal constitutional monarchy consists of States and federal territories of Malaysia, thirteen states and three federal territories, separated by the South China Sea into two r ...
, Indonesia, Sri Lanka and
Vietnam Vietnam or Viet Nam ( vi, Việt Nam, ), officially the Socialist Republic of Vietnam,., group="n" is a country in Southeast Asia, at the eastern edge of mainland Southeast Asia, with an area of and population of 96 million, making i ...
. Moscow is determined to keep its share of the Indian defense market and to retain its status as the world's second-largest defence exporter. Last year
Rosoboronexport JSC Rosoboronexport (russian: AO Рособоронэкспорт, ''Rosoboroneksport'') is the sole state intermediary agency for Russia's exports/imports of defense-related and dual use products, technologies and services. The Rosoboronexport F ...
signed $17.6 billion worth of new contracts, which represents an increase of 150 percent compared to 2011. The company's portfolio of contracts has reached an impressive $37.3 billion. Russia ranks second in the world's arms export. Moscow supplies arms and military equipment to 66 countries, has concluded agreements on military and technical cooperation with 85 countries and its portfolio of orders for defence-related products currently stands at a staggering $46.3 billion. Russian global arms exports reached $15.2 billion in 2012, up 12% compared to the previous year said
Venezuela Venezuela (; ), officially the Bolivarian Republic of Venezuela ( es, link=no, República Bolivariana de Venezuela), is a country on the northern coast of South America, consisting of a continental landmass and many islands and islets in th ...
, Peru,
Brazil Brazil ( pt, Brasil; ), officially the Federative Republic of Brazil (Portuguese: ), is the largest country in both South America and Latin America. At and with over 217 million people, Brazil is the world's fifth-largest country by area ...
,
Argentina Argentina (), officially the Argentine Republic ( es, link=no, República Argentina), is a country in the southern half of South America. Argentina covers an area of , making it the second-largest country in South America after Brazil, th ...
and
Mexico Mexico (Spanish: México), officially the United Mexican States, is a country in the southern portion of North America. It is bordered to the north by the United States; to the south and west by the Pacific Ocean; to the southeast by Guatema ...
were interested in buying helicopters and air defense systems. Grigory Kozlov, head of Helicopter Export Department at Rosoboronexport, said there is good potential for cooperation virtually with all the countries in the region, and especially with Brazil, where
Mi-35M The Soviet and later Russian Mil Mi-24 helicopter has been produced in many variants, as described below. History In 1966, Soviet aircraft designer Mikhail Mil created a mock-up design of a new helicopter (derived from the Mil Mi-8) which was m ...
helicopters are successfully used. The main partner in the region is a traditional friend of Russia – Venezuela. It is now the second biggest purchaser of Russian arms, after India, that Russia needs to press ahead. The
Sukhoi Su-57 The Sukhoi Su-57 (russian: Сухой Су-57; NATO reporting name: Felon) is a Twinjet, twin-engine stealth Multirole combat aircraft, multirole fighter aircraft developed by Sukhoi. It is the product of the PAK FA (russian: ПАК ФА, russ ...
fifth generation fighter and the
BrahMos The BrahMos (also designated as PJ-10)FGFA and the Multi-role Transport Aircraft, which is already in detailed design stage. Recently, Russia has made arms deals with UAE, Saudi Arabia, Iraq and Egypt.


Legal basis

Before 1998, the Russian Federation did not have a comprehensive export control law, inheritance from the
Soviet Union The Soviet Union,. officially the Union of Soviet Socialist Republics. (USSR),. was a transcontinental country that spanned much of Eurasia from 1922 to 1991. A flagship communist state, it was nominally a federal union of fifteen national ...
, in which legal basis for many things was unclear or secret. The legal basis for export control procedures rested on several presidential decrees, government resolutions and a federal law on state regulation of foreign economic activity (1995). From 1992 to 1997 Russia developed control lists for missile, biological, chemical, nuclear and dual-use related items and issued regulations governing the export of these items. At the time, Russian exporters of controlled items were required to obtain two licenses, one from the Federal Service for Currency and Export Control (VEK, under the authority of the Ministry of Defence), and another from the Ministry of Trade. Since 3 July 1998 (the date on which the
State Duma The State Duma (russian: Госуда́рственная ду́ма, r=Gosudárstvennaja dúma), commonly abbreviated in Russian as Gosduma ( rus, Госду́ма), is the lower house of the Federal Assembly of Russia, while the upper house ...
adopted a comprehensive federal law on 'Military-Technical Cooperation of the Russian Federation with Foreign States'), the only body competent to deliver a license has operated under the authority of the
Ministry of Defense {{unsourced, date=February 2021 A ministry of defence or defense (see spelling differences), also known as a department of defence or defense, is an often-used name for the part of a government responsible for matters of defence, found in states ...
. With regard dual-use goods and services, the Russian government issued a "catch all" export control regulation in a resolution signed on 22 January 1998. Under the resolution, Russian firms are forbidden to sell dual-use goods if they know they will be used in WMD, even if the items are not specifically mentioned on 'control lists'. A comprehensive federal law 'On export control' took effect on 29 July 1999. The law provides, that export control lists should be drawn up by the
President President most commonly refers to: *President (corporate title) *President (education), a leader of a college or university *President (government title) President may also refer to: Automobiles * Nissan President, a 1966–2010 Japanese ful ...
, in consultation with the
Parliament In modern politics, and history, a parliament is a legislative body of government. Generally, a modern parliament has three functions: Representation (politics), representing the Election#Suffrage, electorate, making laws, and overseeing ...
and industry representatives. This represents a significant change from previous regulations, which gave the executive branch sole discretion over the contents of the lists. In this respect, the law provides a new foundation for export control policy, empowering other actors than those from simply the
executive branch The Executive, also referred as the Executive branch or Executive power, is the term commonly used to describe that part of government which enforces the law, and has overall responsibility for the governance of a State (polity), state. In poli ...
.


Companies

According to
Centre for Analysis of Strategies and Technologies The Centre for Analysis of Strategies and Technologies (CAST) (Russian: Центр анализа стратегий и технологий) is an independent, for-profit Russian think tank located in downtown Moscow. CAST conducts research and ...
(CAST), the most successful businesses in the sector are aerospace and air defense companies. The centre's 2007 rating puts the air defense missile producer
Almaz-Antey JSC Concern VKO "Almaz-Antey" (russian: link=no, ОАО "Концерн ВКО "Алмаз-Антей"») is a Russian state-owned company in the arms industry, a result of a merger of Antey Corporation and NPO Almaz, unifying some of the nat ...
in the top position (revenue of $3.122 billion), followed by
Sukhoi The JSC Sukhoi Company (russian: ПАО «Компания „Сухой“», ) is a Russian aircraft manufacturer (formerly Soviet), headquartered in Begovoy District, Northern Administrative Okrug, Moscow, that designs both civilian and milita ...
($1.863 billion) and
Irkut Corporation The JSC Irkut Corporation () (russian: Иркут) is a Russian aircraft manufacturer, headquartered in the Aeroport District, Northern Administrative Okrug, Moscow, and is best known as being the manufacturer of the Sukhoi Su-30 family of interc ...
($1.207 billion). These companies employ 81,857, over 30,000 and 11,585 people, respectively. Across the top 20 rated companies, growth in military production averaged more than 25% in 2007. In 2008, the combined revenue of Russia's top 10 military-industrial companies grew by 26% from the previous year, amounting to almost $12 billion. The top company was again Almaz-Antey, which boosted its revenue to $4.3 billion.
Russian Helicopters JSC Russian Helicopters (russian: Вертолёты России ''Vertolyoty Rossii'') is a helicopter design and manufacturing company headquartered in Moscow, Russia. The company designs and manufactures civilian and military helicopters. The c ...
produced 122 aircraft in 2008, increasing its revenue from $724 million to $1.7 billion.
Uralvagonzavod UralVagonZavod (russian: ОАО «Научно-производственная корпорация «УралВагонЗавод», , Open Joint Stock Company "Research and Production Corporation Uralvagonzavod") is a Russian machine-buildin ...
earned $640 million by making 175 T-90 tanks: 62 for the Russian military, 60 for India, and 53 for Algeria, according to CAST. The six largest companies of the industry in 2009, based on revenue, were: #
Almaz-Antey JSC Concern VKO "Almaz-Antey" (russian: link=no, ОАО "Концерн ВКО "Алмаз-Антей"») is a Russian state-owned company in the arms industry, a result of a merger of Antey Corporation and NPO Almaz, unifying some of the nat ...
– air defense systems #
United Aircraft Corporation The PJSC United Aircraft Corporation (UAC) () is a Russian Aerospace manufacturer, aerospace and Arms industry, defense corporation. With a majority stake belonging to the Russian government, it consolidates Russian private and state-owned Russian ...
– fixed-wing airplanes #
Tactical Missiles Corporation , type = Joint-stock company , location = , industry = Defense industry Aerospace industrySpace industry , founded = , founder = , hq_location_city = Korolyov, Moscow Oblast , hq_location_country = Russia , area_served = worldwide , key_peop ...
– air- and naval-based missiles #
Russian Helicopters JSC Russian Helicopters (russian: Вертолёты России ''Vertolyoty Rossii'') is a helicopter design and manufacturing company headquartered in Moscow, Russia. The company designs and manufactures civilian and military helicopters. The c ...
– helicopters #
Uralvagonzavod UralVagonZavod (russian: ОАО «Научно-производственная корпорация «УралВагонЗавод», , Open Joint Stock Company "Research and Production Corporation Uralvagonzavod") is a Russian machine-buildin ...
– main battle tanks #
United Shipbuilding Corporation , romanized_name = , former_name = , type = State owned enterprise , traded_as = , industry = Shipbuilding, Defense industry , genre = , fate = , predecessor = , successor = , founded = , founder = , defunct ...
- submarines, corvettes, frigates, aircraft carriers.


Problems

Problems in the industry include a high level of debt, inflation and lack of qualified personnel. The consequence is that whereas the age of the average defence industrial scientist or engineer in China is about 30 and around 40 in the US – it is 50 years or more in Russia in 2008, it was reported that only 36% of military-industrial enterprises are solvent, while 23% are on the verge of bankruptcy. Significant portions of the increases in Russia's military procurement budget are being eaten up by inflation: while the country's overall inflation rate in 2008 was 13%, in certain weapon categories the figure was more than 30%. Many skilled workers are nearing retirement age, and young graduates are hesitant to enter the industry due to low wages and insufficient career opportunities. In 2009, a senior official said that the Russian military industry had effectively "reached its ceiling" and could not take on any more orders. Further growth will require a serious upgrade of production facilities, as well as investment in skills and training. Yury Solomonov, chief designer of the
Topol-M The RT-2PM2 «Topol-M» (russian: РТ-2ПМ2 «Тополь-М», NATO reporting name: SS-27 "Sickle B", other designations: SS-27 Mod 1, RS-12M1, RS-12M2, formerly incorrectly RT-2UTTKh) is one of the most recent intercontinental ballistic missi ...
and
Bulava The RSM-56 Bulava (russian: Булава, lit. " mace", NATO reporting name SS-NX-30 or SS-N-32, GRAU index 3M30, 3K30) is a submarine-launched ballistic missile (SLBM) developed for the Russian Navy and deployed in 2013 on the new of ball ...
ICBMs, has said that Russia is 10–15 years ahead of its rivals in the development of strategic nuclear weapons, but 30 years behind in the development of conventional arms. After collapse of the Soviet Union, Russia's nuclear shipbuilding industry has been transformed into something much smaller. Key enterprises on the Black Sea coast appeared to be on the territory of now-independent Ukraine - which proclaimed non-nuclear status. Admittedly, these enterprises had little to do with nuclear propulsion technology, except for some ambitions in the late 1980s when the Soviet navy planned the construction of nuclear-powered aircraft carriers. Russian defense industry proved unequal to the challenge of manufacturing battleships and other
BMP-3 The BMP-3 is a Soviet and Russian infantry fighting vehicle, successor to the BMP-1 and BMP-2. The abbreviation BMP stands for ''boevaya mashina pehoty'' (, literally "infantry combat vehicle"). Production history The design of the BMP-3 ('' O ...
, BMD heavy combatants
T-90 The T-90 is a third-generation Russian main battle tank. It uses a 125mm 2A46 smoothbore main gun, the 1A45T fire-control system, an upgraded engine, and gunner's thermal sight. Standard protective measures include a blend of steel and compos ...
tanks, artillery,
missiles In military terminology, a missile is a guided airborne ranged weapon capable of self-propelled flight usually by a jet engine or rocket motor. Missiles are thus also called guided missiles or guided rockets (when a previously unguided rocket i ...
, space technology, nuclear technology even lack of funds from state.


See also

*
Armed Forces of the Russian Federation The Armed Forces of the Russian Federation (, ), commonly referred to as the Russian Armed Forces, are the military forces of Russia. In terms of active-duty personnel, they are the world's fifth-largest military force, with at least two m ...
*
Military-Industrial Commission of Russia The Military-Industrial Commission of the Russian Federation () was established by a presidential decree in March 2006. According to the decree, it is a permanently functioning body with vast responsibilities for supervising the distribution and ...
*
List of Russian weaponry The following is a list of modern Russian small arms and light weapons which were in service in 2016: Handguns Revolvers Pistols Special purpose Submachine guns Special purpose Shotguns Rifles Bolt-action Semi-a ...
*
List of Russian weaponry makers This list of Russian weaponry makers includes the famous weaponry inventors and engineers of the Tsardom of Russia, Russian Empire, the Soviet Union and the Russian Federation. Alphabetical list __NOTOC__ A * Nikolay Afanasiev, developer of TKB- ...
*
List of Russian aerospace engineers This list of Russian aerospace engineers includes the designers of aircraft, rocketry and spacecraft, and developers of auxiliary aerospace technologies from the Russian Empire, the Soviet Union and the Russian Federation. See also the :Russian ...
*
List of Russian naval engineers This list of Russian marine engineers includes naval engineers and inventors of the Tsardom of Russia, Russian Empire, the Soviet Union and the Russian Federation. Alphabetical list __NOTOC__ A * Oleg Anikanov, supervised the construction of th ...
* Shipbuilding in Russia *
Aircraft industry of Russia Aircraft manufacturing is an important industrial sector in Russia, employing around 355,300 people. The dissolution of the Soviet Union led to a deep crisis for the industry, especially for the civilian aircraft segment. The situation started im ...
*
Future of the Russian Navy Following the dissolution of the Soviet Union at the end of 1991, the Russian Navy struggled to adjust Cold War force structures while suffering severely with insufficient maintenance and a lack of funding. However, improvements in the Russian eco ...
* Russian Navy *
Russia and weapons of mass destruction Russia (, , ), or the Russian Federation, is a transcontinental country spanning Eastern Europe and Northern Asia. It is the largest country in the world, with its internationally recognised territory covering , and encompassing one-eight ...
*
Russian Aerospace Defense Forces The Russian Aerospace Defence Forces (VVKO) ( rus, Войска воздушно-космической обороны (ВВКО), Voyska vozdushno-kosmicheskoy oborony (VVKO)) was a branch of the Armed Forces of the Russian Federation responsi ...
*
Strategic Missile Troops The Strategic Rocket Forces of the Russian Federation or the Strategic Missile Forces of the Russian Federation (RVSN RF; russian: Ракетные войска стратегического назначения Российской Фед ...
*
Universal Combat Platform T-99 The "Armata" Universal Combat Platform (russian: Армата) is a Russian advanced next generation modular heavy military tracked vehicle platform. The Armata platform is the basis of the T-14 (a main battle tank), the T-15 (a heavy infantry ...
* UAC/HAL Il-214 *
Sukhoi/HAL FGFA The Sukhoi/HAL Fifth Generation Fighter Aircraft (FGFA) was a fifth-generation fighter concept, based on the Russian Sukhoi Su-57, that was being developed jointly by Sukhoi and HAL for the Indian Air Force. While the programme was earlier calle ...


References

{{Russia topics
Russia Russia (, , ), or the Russian Federation, is a List of transcontinental countries, transcontinental country spanning Eastern Europe and North Asia, Northern Asia. It is the List of countries and dependencies by area, largest country in the ...
Industry in Russia