JSC Rosoboronexport plans to expand the scope of its foreign economic activities starting from 2017. It is planned to add the export of security equipment of various levels to the import of the entire range of military and dual-use products and services.

At a meeting of the company’s Press Club at TsNIITOCHMASH JSC on September 27, Deputy General Director of Rosoboronexport JSC Igor Olegovich Sevastyanov said that this year the right to export civilian and service weapons was obtained, due to which it is planned to increase the portfolio of orders and reach new markets.

As Sevastyanov noted, since 2001, Rosoboronexport has sold weapons and military equipment for ground forces worth $25 billion, and today there is an increase in demand in the countries of Southeast and Central Asia, Central and West Africa and Latin America. According to him, thanks to its characteristics, the “effectiveness-cost” criterion, as well as the ability to operate in the most difficult natural and climatic conditions, Russian military equipment turns out to be much more attractive than foreign analogues.

At the same meeting, Yuri Aleksandrovich Kaptelkin, Head of the Office of the General Director of Rosoboronexport JSC. He said that in 2017-2018. the image of Rosoboronexport will be repositioned; the joint-stock company begins cooperation in the field of sales of civilian and service weapons with countries that previously did not have the opportunity to purchase these weapons in Russia. Rosoboronexport will also expand its export range to include security equipment and counter-terrorism equipment. According to him, today the company has the competence to work in this area with the ministries of internal affairs, border services, forces of the national guard and coast guard of the countries of potential buyers.

Rosoboronexport places the main emphasis in its work on expanding its market presence in the Asia-Pacific region. Military equipment, as well as equipment for protecting state borders, is in demand among foreign countries. With the adoption of amendments to this law, the company’s market presence will expand.

Repositioning plans were prepared due to the fact that there is a strong demand on the international market for samples of Russian military equipment, dual-use equipment, as well as an increased demand for special and civilian weapons, and especially for complex solutions to security problems, including cybersecurity, government and infrastructure security.

Also at the last Press Club, representatives of JSC Rosoboronexport said that the company will offer potential customers the following areas for consideration:

Means of protecting objects of special importance and critical infrastructure;

Ammunition disposal, Since in Russia there are ready-made excellent ammunition disposal lines that have proven themselves to be excellent in operation);

There are competitive developments in cybersecurity;

Means of ensuring the security and protection of extended perimeters, sections and borders in general (both land and water);

Means of combating unmanned aerial vehicles;

To ensure infrastructure security, there are such developments as the “Integrated automated system “Safe City”, delivery vehicles for law enforcement units (including aviation and maritime), special vehicles for ensuring public law and order, non-lethal means, special small arms for the police, personal equipment armor protection;

Search and inspection equipment;

Means for detecting explosives and narcotics;

Means of working with explosive objects;

Robotic complexes.

The global market is currently interested in purchasing comprehensive solutions. Rosoboronexport has ready-made products to achieve this task. Moving to the foreign market, the company plans to focus on this. This will allow the enterprise to gain competitive advantages and enter into a contractual system of cooperation with states that have not previously shown interest in Russian weapons.

“In order to develop a new area of ​​activity for the special exporter, a special thematic cluster of enterprises of the Rostec State Corporation has been formed that produce products for anti-terrorism. Developments are being carried out in collaboration with specialists in countering terrorism and crime from all Russian law enforcement agencies,” says the press release. “The products offered by Rosoboronexport include a whole arsenal of special tools and systems.” The countries' long borders by land and water require comprehensive protection. And the enterprise already has a set of ready-made solutions. These are combat aircraft for protecting borders, these are patrol aircraft and communications equipment for foot border patrols. These are warships and submarines to protect the borders of states defined by water.

In the structure of supplies as of 2017, military equipment and aviation account for over 60%, approximately 40% are complex means and special support for maintaining the safety and operability of infrastructure of national importance.

In 2018, completing the rebranding program, Rosoboronexport, together with the Rostec State Corporation, plans to maintain the system of direct arms supplies and expand arms supplies to government agencies. The company plans to increase competition in the Asian market by increasing the share of its presence in it. Countries in this region have already recorded increased demand for products supplied by Rosoboronexport. Since the effectiveness of Russian systems, the use of military aircraft and equipment to provide protection, has already been confirmed in practice.

The enterprise intends to move further into the international market, using for this purpose the proven pattern of the optimal ratio of efficiency and cost of Russian weapons. An additional advantage of Russian weapons is that they can be used in a wide variety of climatic conditions and remain operational. Melee weapons and small arms are in high demand among foreign countries. At the end of 2017, the company reported that it holds up to 17% of the international arms market. In some regions of the world this figure reaches 30%. The order portfolio at the end of 2017 increased to $45 billion, weapons deliveries are planned for the next 3-4 years with the possibility of increasing the portfolio of current orders. JSC Rosoboronexport, part of the Rostec State Corporation, positions itself as a reliable supplier and tester of military equipment, while betting that the latest models of military equipment are already actively used by the Russian army to protect borders.

The Rostec State Corporation currently includes 11 holdings of the defense-industrial complex, and 3 civilian holdings are involved in the development of dual-use weapons. The development, testing and production of equipment to equip the army are carried out by Russian specialists. Rosoboronexport does not plan to trade development and production technologies, but only to become a leading player in the international arms market. For this, the company has all the necessary resources. Namely, the amended law “On Weapons”, which simplifies the scheme of cooperation with international organizations for the supply of weapons, investments from the state, developed infrastructure and established relationships with permanent partners in the defense sector. In addition, as part of the repositioning of the enterprise, it is planned to expand sponsorship activities and the company’s participation in financing investment projects that are interesting for the defense industry.

It is worth noting that the press service of Rosoboronexport JSC, represented by press secretary Vyacheslav Nikolaevich Davidenko, is actively working to promote the company in the Russian and foreign press. Cooperation with the media is established at a very high level. Quality and timeliness, professionalism and attentiveness in working with media editorial offices make it possible to fully cover the positive development of Rosoboronexport JSC.

JSC ROSOBORNEKSPORT is the only state organization in Russia for the export and import of the entire range of military and dual-use products, services and technologies. Part of the Rostec State Corporation. The company was founded on November 4, 2000 and is one of the leaders in the global arms market. The company accounts for more than 85% of Russian arms and military equipment exports. Rosoboronexport interacts with more than 700 enterprises and organizations of the Russian military-industrial complex. The geography of Russian military-technical cooperation includes more than 70 countries.

The new head of Rosoboronexport, Alexander Mikheev, has a very interesting track record, which includes failed government projects, wasted billions, and even dubious transactions with state property.

Hard landing

JSC Russian Helicopters (VR) is repeating the fate of other companies involved in the Ministry of Defense. Their main features are gigantic budget injections, corruption and unsinkable leadership. However, the Oboronservis case taught officials something: having squeezed everything they could out of another company close to the defense industry, they part with it quietly and without scandals. First, they decided to quietly reform Spetsstroy, which was mired in corruption, then it was the turn of Russian Helicopters.

Immediately after the New Year holidays, the Russian Helicopters holding company found a new general director - Andrei Boginsky, who previously held the post of Deputy Minister of Industry and Trade. The former general director of the helicopter holding, Alexander Mikheev, was promoted and headed Rosoboronexport. Judging by the information on the BP website, thanks to Mikheev, things were going so well that profits were growing faster than revenues. Upon closer examination, the “economic miracle of Mikheev” dissipates like smoke.

Income and liabilities of Russian Helicopters JSC

Alexander Mikheev has headed Russian Helicopters for the past three years. During this time, the holding lost an impressive part of foreign contracts and reoriented itself towards servicing foreign equipment. Reading BP's cheerful reports, it is difficult to notice problems, although the company's debt obligations of 229 billion rubles with revenue of less than 220 billion rubles cannot but be alarming. Much more eloquent than dry numbers is the situation at the helicopter factories themselves. In April 2016, workers of the Ulan-Ude Aviation Plant OJSC, hoping for a “Direct Line” with the president, spoke about the catastrophic underutilization of the enterprise and the management’s plans to switch to part-time work and a shorter work week. The aircraft manufacturers failed to get on air, nor did they succeed in interfering with the plans of their superiors. A month later, the same fate befell the Kazan Helicopter Plant, which was transferred to a four-day schedule without much explanation.

The most obvious way to reduce costs is to eliminate the intermediary between the state and state-owned helicopter factories. This intermediary is Russian Helicopters JSC. But managers of state-owned companies are not looking for easy ways. A government order worth 9.3 billion rubles was thrown in to support the sinking industry (contract No. 1, contract No. 2), and after a couple of days it became clear how the then head of the holding, Alexander Mikheev, saw the future of the Russian helicopter industry. On December 29, 2016, he announced that the holding would repair and maintain AgustaWestland AW189 helicopters (Italy). Russian-Italian cooperation was covered in the press as a breakthrough achievement of the helicopter holding. Note that none of these measures in any way affected the factories in Kazan and Ulan-Ude.

Flying in dreams and in reality

But even the downtime of the country’s largest helicopter manufacturing plants pales in comparison to the project of a promising high-speed helicopter (PSV). To be fair, it must be said that this show began back in 2009, but it was under Alexander Mikheev that the noise around the high-speed helicopter reached its climax. The top management of Russian Helicopters was not modest when announcing the characteristics of a helicopter that had not yet been designed. The PSV was supposed to accelerate to an unprecedented speed for helicopters of 500 km/h. Anticipating a flow of foreign contracts, they did not skimp on development.

Rachel (Russian Advanced Commercial Helicopter)

In 2011−2012, 1.1 billion rubles were allocated from the budget for the development of a high-speed helicopter; in 2013, the amount increased to 2.5 billion rubles, and in 2014−2015, the promising helicopter was financed by another 4 billion rubles. Moreover, in 2014, Deputy Minister of Industry and Trade Yuri Slyusar was ready to finance this brilliant project with another 7.5 billion rubles. They even managed to give the future miracle the commercial name Rachel (Russian Advanced Commercial Helicopter). For some reason, as the budget grew, the confidence of the designers faded. The stated speed in the press releases of BP itself decreased, the specific deadlines for the project were pushed into the future, but Alexander Mikheev, who headed the holding in 2013, was in no hurry to say goodbye to the project, which was promised over 7 billion rubles.

Financing of PSV in 2014−2015.

However, the economic crisis took its toll. Foreign orders dropped sharply, factories, as already mentioned, were idle, and the Ministry of Industry and Trade began to wonder whether it was worth spending money on a helicopter that could no longer be sold to the West. The Board of Directors of BP, which includes the well-remembered former Minister of Defense Anatoly Serdyukov, tried to carry out an additional issue of shares of the company. But the holding company, which builds castles in the air instead of helicopters, has not attracted investors. The treasury again paid for the failed idea - Russian state-owned companies bought the shares through a closed subscription.

Mikheev can leave

Seeing how Russian Helicopters were going into a steep dive, Alexander Mikheev decided to choose a quieter place. Therefore, he began preparing for the transition to Rosoboronexport in the fall. And Andrei Boginsky, who replaced Mikheev as BP’s general director, quietly closed the futile Rachel helicopter project. He also quietly spoke about his decision in one of the first interviews after his appointment, delicately calling it “reformatting the project.”

Mikheev’s swan song was a not very original scheme for transferring state property to private companies. To implement it, it turned out that one document signed by the head of Russian Helicopters was enough. By Order No. 0045-UK dated April 20, 2016, a Unified Service Center for the enterprises of the Russian Helicopters holding is created, under the management of which the property complex of buildings of the Moscow Helicopter Plant named after. M.L. Mile" in the village near Moscow. Tomilino. In addition to this, BP sells the vehicles, furniture and office equipment located there to the management company on an installment plan.

Order No. 0045-UK on the creation of a Unified Enterprise Service Center

Internal memorandum on the creation of the Unified Center and the transfer of property to LIK Service Company LLC

The management company was selected through procedures unknown to law and is indicated directly in the order. Property of the Moscow Helicopter Plant named after. M.L. Mile" went to the modest VR-Resource LLC (formerly LIK Service Company LLC). Quite by chance, the general director of VR-Resource is the son of the chief accountant of the Moscow Helicopter Plant named after. M.L. Mile" Viktor Zelentsov. Eight months before Mikheev’s transfer to Rosoboronexport, the scheme was successfully tested and can be used in a new location. Moreover, the stories of all state-owned companies involved in defense procurement are surprisingly similar.

Members of the US Senate Defense Committee demanded that the Pentagon impose sanctions against "Rosoboronexport" . This is how the senators reacted to a report by American intelligence agencies claiming that, under the guise of selling equipment for commercial satellites, a Russian company transferred technology to Iran that could be used to create ballistic missiles. However, American experts doubt that the Pentagon will refuse contacts with Russian state company .

The National Intelligence Council's report arrived in the Senate late last week. His main conclusion is that despite international sanctions, Rosoboronexport continues to cooperate with Iran, and under the guise of equipment for launching commercial satellites, transfers technologies that can be used to create ballistic missiles.

In May, Tehran announced plans to launch three satellites into orbit using the Simurgh launch vehicle, but at the last moment announced the cancellation of the planned launch - according to American intelligence services, due to the unfinished construction of the launch pad. US intelligence believes that, under the guise of its space program, Iran is developing means of delivering nuclear warheads and is already close to creating long-range missiles. After the successful test of the Kashvegar-3 rocket in February 2010, Iranian President Mahmoud Ahmadinejad announced that the main goal was to launch a satellite into an orbit at an altitude of 500 km. US intelligence is convinced that the development of the Simurgh rocket violates the international regime of control over missile technology: according to official data, the Iranian rocket can launch a device of up to 100 kg into an orbit of 500 km, while international agreements prohibit the export of carriers and their components if the flight altitude exceeds 300 km.

“The creation of such a missile would have been impossible without the participation of third countries, which provided the Iranian government with the necessary equipment and technology,” says the document submitted to the Senate. US intelligence agencies believe that “Rosoboronexport” played a “key role in the implementation of Iran’s space program.” The report emphasizes that the Russian state-owned company, which supplied Tehran with missile defense systems back in 2006, still maintains “business relations with the Iranian authorities.” At the same time, American intelligence agencies believe that the Russian state-owned company is acting almost bypassing the position of the Russian leadership. “The findings indicate that Moscow is most likely not pursuing a policy of supporting the Iranian missile program,” the National Intelligence Council states. In his opinion, the contracts concluded by Rosoboronexport indicate that “the Russian government is not able to control the activities of state-owned companies and cannot prevent them from participating in illegal transactions with the Islamic Republic of Iran.”

US intelligence agencies stipulate that in recent years Moscow “has taken a number of steps to strengthen control over the export of missile technologies,” but so far "These actions cannot be called completely successful" . In addition, the Russian authorities have repeatedly stated that they do not consider cooperation with Tehran in the field of space exploration a violation of international treaties.

The American intelligence report caused an irritated reaction from senators. On Monday, a member of the Senate Defense Committee, John Cornyn, sent a letter to Pentagon head Leon Panetta, demanding a review of the contracts that the military department entered into with Rosoboronexport and the imposition of sanctions against the Russian state-owned company. The senator recalled that in March, 17 representatives of the upper house of Congress had already appealed to the Minister of Defense, demanding to cancel the contract for the supply of 21 Mi-17V5 helicopters to the Afghan Air Force. The total amount of the deal with the Russian state-owned company is estimated at $550 million and, according to senators, Rosoboronexport can use this money to increase the volume of arms supplies to Syria.

According to the US Congressional Research Service, in 2011 alone, Syria ordered weapons worth $3.5 billion from the Russian Federation, providing the Russian military-industrial complex with at least 10% of export revenue. The supply list includes 24 MiG-29 M/M2 fighters, 36 Yak-130 aircraft, eight Buk-M2E air defense systems, Pantsir 1S missile and artillery systems, Kh-35E anti-ship missiles and other equipment. Washington believes that in addition to this, Rosvooruzhenie intends to sell Bastion coastal systems with SS-N-26 Yakhont missiles to Damascus. As John Cornyn announced, “lawmakers are deeply concerned that the US Department of Defense is collaborating with a company that is involved in the killing of civilians in Syria: this activity deserves new sanctions against Rosoboronexport, not a billion-dollar contract.”

Rosoboronexport categorically rejects the logic of the US senators. Deputy Director General of the department Igor Sevastyanov explained yesterday that the company intends to fulfill contracts for the supply of weapons to Syria until the world community makes other decisions binding on the Russian Federation.

And American experts doubt that the Pentagon will refuse contacts with the Russian state-owned company. On Friday it became known that five American general contractors of the Pentagon approached Rosoboronexport with a proposal to supply Russian-made ammunition to the army and police of Afghanistan - the contract amount has not yet been disclosed.

Kirill Belyaninov

From September 25 to 28, the IX International Exhibition of Arms, Military Equipment and Ammunition Russia Arms EXPO 2013 is taking place at the Nizhny Tagil State Demonstration and Exhibition Center of Arms and Military Equipment FKP Nizhny Tagil Institute for Testing of Metals (FKP NTIIM). For four days, participants and guests of the exhibition will be able to get acquainted with the latest achievements of the Russian military-industrial complex and the world's leading examples of military equipment. 400 exhibitors from Russia and other countries demonstrate the unique characteristics of their products. We are publishing an interview with Igor Sevastyanov, Deputy General Director - Head of the Rosoboronexport JSC delegation at the exhibition, taken on the eve of the opening of the salon.

“VPK”: Igor Olegovich, Rosoboronexport traditionally takes part in all exhibitions held in Nizhny Tagil. What is special about this review of military equipment?

– The fact is that it is here that Rosoboronexport’s foreign partners and all visitors to the exhibition have a unique opportunity not only to get acquainted in detail with the advanced developments of the Russian defense industry, but also to see military products in action. And this is not just a parade of equipment in front of the stands, as at some foreign exhibitions, but, if you like, real maneuvers in front of the public, in conditions as close as possible to combat.

“VPK”: How does Russia Arms EXPO 2013 differ from previous Nizhny Tagil salons?

“This time, the actions of military units at the training ground will take place using modern means of automated combat control.

First of all, this is the collection of information about a mock enemy, including with the help of unmanned aerial vehicles. Then setting tasks for the advancement and deployment of equipment in combat positions, preparing initial data for firing and, finally, destroying the mock enemy. And this is not just a rehearsed and staged performance, but an almost real battle with the participation of artillery, tanks, infantry fighting vehicles, armored personnel carriers, BMPTs, and aviation. At the same time, participants and guests of the exhibition will not only see a panorama of the battlefield, but also track individual moments of the “battle” in real time. Plasma screens and a multi-channel television complex installed in front of the stands will help spectators with this. And if the spectacular video is intended for ordinary viewers, then specialists and potential foreign customers of Russian equipment will certainly be interested in increasing the efficiency of combat units, reducing the time required to prepare initial data and open fire. All this will take a matter of minutes. At the request of foreign customers, all Russian military products of the Ground Forces can be equipped with such battle control systems.

"VPK": What would you advise potential foreign customers of Russian military products to pay special attention to?

– For a BMPT tank support combat vehicle. This is a new and very promising product, which is actually a new type of combat vehicle - a fire support vehicle. Foreign militaries are not yet familiar with its actual use on the battlefield and do not know all its capabilities. And here, at the training ground in Nizhny Tagil, it will appear in all its beauty and strength.

Another point of active interest is the T-90MS tank. Having retained all the best qualities of its predecessor, the T-90MS has significantly surpassed the base model in all major tactical and technical characteristics and, we hope, will become one of the most popular in the world. The tank has proven itself superbly in terms of high combat effectiveness, exceptional reliability and ease of operation. The new combat turret module, increased security and improved chassis meet modern requirements for tanks. The weapons complex and fire control system make it possible to detect, recognize and destroy targets day and night in any climatic conditions. In terms of its technical equipment, the totality of accuracy and time indicators of the processes of target reconnaissance, preparing shots, firing and the ability to withstand the fire of the most modern anti-tank weapons, the T-90MS tank is superior to its foreign counterparts.

"VPK": Everyone wants to see new models of military equipment at international exhibitions. Will there be debut shows at Russia Arms EXPO 2013?

- Certainly. Moreover, there will be more of them than at many foreign exhibitions. After all, we cannot always export promising samples abroad for display, but it is easier to do this at home. Take, for example, the floating tracked transporter (PTS-4). It is designed for crossing artillery systems, infantry fighting vehicles, armored personnel carriers, tractors, vehicles, personnel and various cargoes across water barriers. Weighing just over 33 tons, PTS-4 has a high carrying capacity: 12 tons on land and 18 tons on water. Its maximum speed is 60 kilometers per hour on land and 15 afloat. By the way, the amphibian’s cross-country ability is comparable to that of the T-80 tank. The vehicle is armored, equipped with a remote-controlled anti-aircraft machine gun and 400 rounds of ammunition. The new transport amphibian is of great interest to the Russian Ministry of Defense.

“VPK”: Nowadays, weapons production is associated with innovative processes in design developments, but there are still few specific examples. What else will the exhibition in Nizhny Tagil please us with?

– Innovation in weapons is not just a secret, but a particularly secret area. Therefore, if they talk about it, it is only in the most general terms. At Russia Arms EXPO 2013 we will be able to see truly unique technologies. This also applies to such models as the T-90MS tank, small arms, and artillery systems.

For example, JSC NPO Pribor, a leading domestic enterprise in the field of development and production of small-caliber artillery ammunition for automatic cannon weapon systems, will present a wide range of its products, including a 40-mm grenade launcher anti-personnel system. During its development, a new principle was used - the so-called mortar shot with a “flying away” cartridge case. This made it possible to almost double the mass of the explosive used and increase the fragmentation effect of the grenade. That is, with a significant reduction in weight, the damaging effect can be significantly increased. The weight of the grenade launcher, sight and machine is only 32 kilograms, the rate of fire is up to 400 rounds per minute, and the range is up to 2.5 kilometers. Each “clip”-tape contains 20 grenades.

Another innovative example of this enterprise is 30-mm cartridges for automatic guns with projectiles with plastic driving devices. Such cartridges (while reducing their cost) significantly reduce barrel wear.

"VPK": Will the Russian military-industrial complex be able to produce new competitive military equipment?

- Must. There is no other way, as they say. The difficult legacy of the 90s with outdated machines and backward technologies is becoming a thing of the past. Now in the domestic defense-industrial complex production is being modernized, cooperation ties are being actively restored, new enterprises are being created, the best domestic and foreign machines, equipment, and technologies are being purchased. In particular, the state plans to spend 500 billion rubles on the purchase of modern machine tools alone until 2020, including the volume of purchases of Russian machine tool products will be 150–200 billion. At the same time, 80 percent of new machines and equipment will be purchased in the interests of the country's military-industrial complex.

"VPK": Are there any specific examples?

- Undoubtedly. The Almaz-Antey Air Defense Concern is building new enterprises at three sites, where large-scale production of fifth-generation air defense equipment will be mastered. Let me note that, according to the American military magazine Defense News, this concern ranks 14th in the international ranking of the hundred best enterprises producing military products in the world. And this is just one of many examples.

"VPK": So, it is more profitable to build new factories rather than re-equip old ones?

– There is no single recipe here. Sometimes it makes sense to use an existing industrial site, provided with energy, water and other infrastructure, and build a new enterprise on it. And then reconstruct the old production, ultimately creating a single new plant. But sometimes it’s more cost-effective, faster and easier to start from scratch.

"VPK": What, in your opinion, is the development model of the Russian military-industrial complex?

– This question is difficult to answer in a few words. In my opinion, measures, including state support, aimed at increasing the production potential of enterprises and the competitiveness of their products will help realize the capabilities of the Russian defense industry. It is necessary to replace outdated technologies, eliminate excess employment and overpricing by suppliers, stimulate efficient enterprises, train highly qualified specialists, move labor to the latest technological production, and much more. In general, everything that is connected with the innovative model of industrial development of the entire country, which Russian President Vladimir Putin constantly talks about.

"VPK": Noting the intensification of competition in the global arms market, we usually mention the increase in offers, price and quality characteristics of military equipment. But there are also hidden mechanisms of this struggle.

– Not only mechanisms, but also resources. One of them is political. But if we are talking about specific mechanisms, then we need to remember that in some countries (Russia, China, Ukraine, Belarus and some others) there is a state monopoly on export-import operations related to weapons and military equipment. As a rule, they are carried out by a special state exporter. In the Russian Federation this is Rosoboronexport. But in a number of states, weapons manufacturing companies independently enter the world market, where they function as autonomous economic entities. And the state cannot always influence their activities. Remember the recent scandals with arms supplies in which private firms and intermediaries from England, France, and Germany were involved. They sold weapons to countries that were subject to international sanctions. And given the fact that states under international embargo are ready to pay a lot of money for military equipment, some manufacturing companies, intermediaries and arms brokers are even ready to violate international bans and sanctions. It is not customary to talk about this out loud, but such unfair competition heats up the market and is detrimental to the work of law-abiding states and companies.

"VPK": Now, when fulfilling state defense orders, Russian defense industry enterprises must switch to contracts to ensure the life cycle of supplied military products. How applicable is this algorithm to the system of military-technical cooperation between our country and foreign countries?

– In its activities in recent years, Rosoboronexport has been introducing this practice. It means constant support of the entire life cycle of military export products, starting from the design and construction stage for foreign partners, its further operation and ending with disposal. This also includes post-warranty service, repairs, and modernization. For this purpose, service centers are created on the territory of customer countries, which solve these problems. This approach is mutually beneficial to both suppliers and buyers of military products, and increases the competitiveness and attractiveness of Russian military equipment in the global arms market.

We will discuss this and many other issues with our foreign partners at the IX international exhibition of weapons, military equipment and ammunition Russia Arms EXPO 2013.

“VPK”: Not only military equipment, but also dual-use and civilian defense industry products will be exhibited at the Nizhny Tagil exhibition grounds.

– In this regard, I would like to mention the KamAZ series of military trucks. They were created on the basis of civilian models and accumulated the best characteristics of Russian military vehicles, and also acquired additional features - increased thrust-to-weight ratio, increased safety margin of the entire structure, light steering, reliable brakes and a comfortable cabin. All this made it possible to assign the highest quality category to the family of military KamAZ vehicles.

"VPK": The cars of the Kama Automobile Plant have proven themselves worthily in the Afghan war and local conflicts of recent years.

– Yes, in real combat conditions they showed high maneuverability, reliability, endurance and unpretentiousness. Now KamAZ trucks are used for mounting weapons and military equipment, towing trailed artillery systems, special and transport trailers, as well as for transporting troops and military cargo on roads of all categories, difficult and rough terrain.

"VPK": What is the export potential of these machines?

– The excellent qualities of KamAZ were highly appreciated by foreign buyers. In 2004–2011 alone, more than a thousand of these vehicles were sold to Qatar, Bahrain, Yemen, and Syria.

Today, KamAZ OJSC continues to increase the pace of production of both military and civilian vehicles. In 2012, the two-millionth truck rolled off the enterprise’s assembly line. The export potential of the enterprise is also growing. Thus, in 2007, 13.5 thousand units of various brands of this car were sold abroad, which amounted to 25.5 percent of the total production volume. The possibility of creating an assembly plant for KamAZ trucks in Cuba is now being considered, where production volume is expected to be 500 vehicles per year. Similar projects are being studied in other countries.

“VPK”: We can only wish all participants of the IX International Exhibition of Arms, Military Equipment and Ammunition Russia Arms EXPO 2013 successful work, constructive negotiations and promising mutually beneficial contracts.

– And we are waiting for guests, visitors and specialists at the stand of Rosoboronexport OJSC.

Deputy Head of Rosoboronexport Igor Sevastyanov / Photo: www.roe.ru

Deputy head of Rosoboronexport Igor Sevastyanov, in an interview with RNS, assessed the prospects for the supply of Russian weapons to NATO countries, spoke about contacts with European partners under sanctions, and described Russian developments in the field of combating terrorism - from urban monitoring systems to armament of special forces.

- Rosoboronexport traditionally participates in Eurosatory exhibitions. What is the reason for the interest if the likelihood of Russian arms supplies to NATO countries is low?

Eurosatory is a land-based Le Bourget, where dozens of delegations from all regions of the world come. Therefore, as the only state special exporter, we cannot miss events of this magnitude. We are planning negotiations with both European partners and delegations from other regions. Of course, today the prospects for the supply of Russian equipment to NATO countries are vague, although we have positive experience, for example, with Greece and the Czech Republic. In the case of Eurosatory, it is important for us to maintain contact with European manufacturers in the context of sanctions. But the most important thing, of course, is the demonstration of the capabilities of the Russian military-industrial complex for potential customers.

- Did Rosoboronexport have any problems with the exhibition organizers in connection with sanctions? Were there any demands on their part to reduce the exposure, the number of participants, or reduce representation?

No, there were no such demands from the organizers.

- The head of the Federal Service for Military-Technical Cooperation previously reported that in 2016 the volume of Russian arms exports could reach $14 billion. What share of this will go to Rosoboronexport? What are the company's targets for 2016?

The plan for this year is comparable to the indicators of recent years. It is being carried out according to schedule. The intensity of contracting remains at a high level, and there is a small but stable increase in export volumes. The current situation is primarily due to the fact that a certain saturation has occurred in a number of segments of the global arms market. For example, this applies to military transport helicopters. Some countries have generally completed major rearmament programs. The international economic crisis and the workload of enterprises in the Russian military-industrial complex in connection with the implementation of a large-scale program to rearm the Russian army and navy are also having an impact.

- What is the share of ground weapons in the total order portfolio of Rosoboronexport? What weapons and military equipment are we talking about?

The volume of the order portfolio for ground forces equipment exceeds $8.4 billion. We are talking about a large number of different models. These are armored vehicles, artillery and missile systems, melee weapons, engineering equipment, ammunition, communications and electronic warfare equipment, training equipment, and so on.

- What anti-terrorism means will be presented in Paris?

We will definitely present in Paris our new project “Integrated Security Systems”, which combines all the necessary technical means, weapons and equipment to combat terrorism and crime. Thanks to this project, we plan to intensify military-technical cooperation with foreign law enforcement agencies and special services. In many countries, the budget allocated to these structures is comparable to that of the armed forces. The “Integrated Security Systems” project combines all possible solutions for combating terrorism offered by Russian enterprises. Depending on the needs, the customer can choose certain components, be it an urban monitoring system or weapons for special forces.

- Is their share of anti-terrorism equipment in the total volume of exports growing?

If we talk exclusively about weapons and equipment for equipping special forces, then their share in the total export volume is insignificant due to the fact that the volume of purchases of such products is small. Sometimes we are talking about piece samples. But despite this, we attach great importance to the promotion of these products. It is in demand and is in steady demand.

- Will Rosoboronexport present air defense systems at the exhibition in Paris? What share do they occupy in total Russian arms exports? Is the demand for Russian air defense systems growing?

The order portfolio for Russian air defense systems exceeds $9.5 billion. Russia is the leader in this segment, so demand remains at a very high level. In Paris, we will, of course, present various systems, including the Buk-M2E, Tor-M2E, Pantsir-S1, and Igla-S anti-aircraft systems. The demand for Russian air defense systems is stable, in addition to the listed systems, I would also note the S-400 and Antey-2500 anti-aircraft missile systems, the new Verba man-portable anti-aircraft missile system, the Kasta, Garmon, Nebo radar stations, "Enemy", "Istra".

- To which countries can Pantsir-S anti-aircraft missile and gun systems be delivered? Has Brazil refused to buy them?

First of all, these are the countries of the Middle East and North Africa, the states of the Asia-Pacific region, Latin America and sub-Saharan Africa. Regarding the issue of supplying Pantsir-S1 complexes to Brazil, our partners did not refuse to purchase them. Negotiations are ongoing.

- Will Russian small arms be presented in Paris? Which companies represent it? What are the competitive advantages of our melee weapons? Does the new generation AK-12 assault rifle have export potential?

Small arms at the exhibition will be presented at the stand of Rosoboronexport and the Kalashnikov concern. Optical sights will be shown by Shvabe. Russian small arms are well known in the world for their effectiveness and quality of manufacture. This fully applies to the new AK-12 assault rifle, which has great export potential. It combines the latest technology with legendary reliability. The machine is currently undergoing testing. When the appropriate export permit is issued, we will promote it to the international market. There is a lot of interest in him.

- Are projects for licensed production of our small arms abroad being considered? Where might such enterprises appear?

In terms of licensed production, we are primarily talking about Kalashnikov assault rifles of the “hundredth” series. In particular, a project to create a joint venture in India is being discussed. Negotiations are also ongoing on this topic with other countries, but I would refrain from making additional comments for now.

- Is there a demand in the world for Russian armored vehicles? What combat vehicles are in demand?

There remains steady demand for T-90S tanks, BMP-3 infantry fighting vehicles, armored personnel carriers of the BTR-80 family, Tiger armored vehicles, KamAZ and Ural vehicles. Our partners are also showing interest in the T-90MS tanks, the new highly protected Typhoon-K and Typhoon-U vehicles. Considering the large number of previously supplied Russian and Soviet-made armored vehicles in service in many countries, an important area of ​​our work is the promotion of comprehensive programs for their repair and modernization. This mainly applies to the BMP-2 infantry fighting vehicles, as well as the T-72 tanks, which still form the backbone of the ground forces of many countries.

- When can the first armored vehicles based on the Armata universal platform be exported?

It is too early to talk about the export prospects of the Armata tank, especially since it is first necessary to satisfy the demand of the most important customer - the Russian Ministry of Defense.

MOSCOW, IA RAMBLER NEWS SERVICE
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