25 Feb 2015

Russia's priorities in military and technical cooperation remain in the Middle East and South Asia

 

At the international defense exhibition IDEX-2015 , the Rostec Corporation CEO Sergey Chemezov said that, in 2014, Rostec holding Rosoboronexport sold $13 billion in weapons and does not plan to reduce this tempo in the current year.

Rostec Corporation will devote particular attention to expanding the competencies of its subsidiary companies. “Rostec considers it possible to provide its companies with the right to independently sell products and services directly to foreign partners, provided that Rosoboronexport will continue to deliver all finalized military products. This practice is becoming more and more widespread,” said Sergey Chemezov.

United Engine Corporation received a certificate granting it the right to carry out foreign trade activities related to the maintenance of military products. In October 2014, the holding company Russian Helicopters received the right to conduct foreign trade of military products in regard to the supply of spare parts and components as part of the service of previously supplied military helicopters. Sergey Chemezov said the same for High Precision Systems and KRET.

Last year, the volume of deliveries of weapons and military equipment from Rosoboronexport exceeded $13 billion, with more than 60 countries serving as buyers of weapons and equipment. New contracts were also signed at a value of nearly $14 billion. Rosoboronexport also has a portfolio of more than 38 billion rubles in orders.

The head of Rostec Corporation noted that joint projects in military-technical cooperation with Western partners are currently negligible, and that sanctions do not affect dual-purpose and civil products not intended for military use. Moreover, Western partners continue to show interest in expanding cooperation with Rostec in areas where this is possible.

Softening the impact of sanctions through import substitution programs, accelerating the development and introduction of new domestic technologies, and gaining access to new markets, and refocusing on the supply of components from South-East Asia are key components.

Russia's key partner in Asia is India, with whom Russia is conducting the joint development of a fifth-generation fighter and a multi-purpose military transport plane, as well as delivering Mi-17 helicopters. It is also working on an important program for the licensed assembly of Su-30MKI fighter jets.

Chemezov emphasized that the delivery of military products is now becoming a catalyst for the development of cooperation in the civil sphere. Therefore, a key role for Rostec Corporation is developing military and technical cooperation to promote Russian civil products, including those produced by enterprises from the State Corporation.