Putin threatens to shake up Russian defence industry

20/07/2015

V Day MoscowPresident Vladimir Putin is threatening to shake up the Russian defence industry as it struggles to keep up with the government’s $350bn 10-year rearmament programme. Speaking during a video conference call with Deputy Defence Minister Yury Borisov last week, Putin said that work on military contracts was key to Russia’s economic and technological development and to job creation during the country’s current economic downturn. 
“Those who are delaying production and supplies of military technologies, who are letting down related industries, must within a short term … correct the situation,” he said.”And if that does not happen, the appropriate conclusions need to be made, including, if necessary, technological, organisational and personnel [changes],” he said. During their conversation, Borisov had blamed delays on a combination of factors, including “restrictions on the supply of imported parts and materials in connection with sanctions, discontinuation of production and the loss of an array of technologies, insufficient production facilities.”