War in Ukraine: Russian defense sector exports under threat?

A Russian Sukhoi Su-57 fighter jet, May 9, 2018 (Illustration image).

© Alexander Zemlianichenko/AP

Text by: RFI Follow

2 mins

The Russian economy is impacted by the poor results of its army in Ukraine.

This is a possible consequence of the weakness of Moscow's military industry on the ground, notes the British Ministry of Defence, which questions Moscow's arms export capacities.

The sector is also hit by sanctions, but these exports are crucial for the Russian economy and Moscow should do everything to pursue them.

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Despite the material needs of the Russian army, despite the signs of weakness of its equipment known for several years, in particular in air defense, Russia should not give up exporting, believes Yohan Michel, researcher at the International Institute for Strategic Studies (IISS) in Berlin.

" 

Resource

 " in foreign currency

“

 It is a currency resource for her to export arms abroad.

This provides influence over certain countries and it needs both to support both its economy and part of its foreign policy.

 And 

so, it will no doubt continue to export, even if it is partly at the expense of its own armed forces.

Certainly, the sanctions will significantly reduce income.

The Philippines, for example, has just given up the purchase

of Russian transport helicopters

.

But some customers remain:

Other customers have no other possible suppliers than Russia - or it is one of the few, 

continues the researcher.

 We have the example of Mali this week: they have chosen Russia as a partner, so they will continue to expect deliveries of Russian equipment, whether it is of the quality they hope for or not.

 »

And corruption

Another factor is likely to encourage military exports despite the invasion of Ukraine: corruption, adds Yohan Michel, who underlines that if the arms trade is often the prey of corruption, it is even more true in the case of Russia, and that an arms export is not for the state, only a rational choice.

►Also read: Russia: Vladimir Putin admits that the Russian economy is affected by the sanctions

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