Russian Arms Sales and Sanctions Compliance

Russia Offers SWIFT Alternative to India for Ruble Payments

March 30, 2022 | Bloomberg

The article states that India is considering a Russian proposal to use a bi-lateral payment system created by Russia's Central Bank for transactions such as oil and weapons systems as an alternative to the SWIFT system. Russian Foreign Minister Lavrov is expected to discuss the proposal during his on March 31 visit to India, in which, rubles would "be deposited into an Indian bank and converted into rupees and the same system will work in reverse."

India Braces for Sanctions on Russia to Delay Weapons Programs, Deliveries

March 02, 2022 | Defense News

Defense officials in India "said they expect short-term delays in deliveries of S-400 Triumf missile systems, Grigorovich-class stealth frigates, and Kalashnikov AK 203-7.62x39mm assault rifles, as well as spares supplies for Kilo-class submarines, MiG-29 fighters, and Kamov Mi-17 military transport helicopters." They also noted that "the new sanctions will certainly halt the financial transactions of several Russian defense companies" and "India will now propose barter trade instruments for supplies of weapons and spares with Russian defense authorities."

Mishustin Will Head the Headquarters for Countering Sanctions (Мишустин возглавит оперштаб по противодействию санкциям)

March 01, 2022 | TASS

Russian Prime Minister Mikhail Mishustin will head the operational headquarters to counter the sanctions. A Government Commission on Improving the Sustainability of the Development of the Russian Economy in the face of sanctions has been operating since 2018. Now, however, the work of the commission is being transformed to the operational headquarters mode.

Russia Requests Clearance of Payments Worth $1.3 Billion

March 30, 2022 | The Economic Times

Russia's Federal Service for Military Technical Cooperation (FSMTC) wrote a letter to India's Defense Ministry to request the clearance of $1.3 billion in payments for several large defense deals that have been halted since last month. Indian banks have refused to process payments due to Russian banks being placed on a sanctions list, including VTB and Sberbank.

The New Sanctions Regime and Russian Defence Exports in the Indo-Pacific

March 25, 2022 | East Asia Forum

Russia's "military’s losses in Ukraine and an emerging shortage of microelectronic components may temporarily halt the export of high-end defence products." Instead, Russia may seek to offer military systems it has in surplus and despite Western pressure, Russia's clients in the Indo-Pacific region "remain reluctant to compromise their strategic relations with Moscow."

China and Russia’s Military Relationship Likely to Deepen With Ukraine War

March 21, 2022 | Washington Post

This article states "the Kremlin’s reliance on China after its Ukraine invasion could accelerate nascent joint technology development and operations." It highlights that "after decades of China primarily buying arms from Russia, rapid advances in China’s military industry have balanced out the relationship, with some Chinese technologies beginning to surpass Russian counterparts."

Russia Bans the Export of Drones and Spacecraft (В России запретили экспорт беспилотников и космических аппаратов)

March 16, 2022 | GLONASS Herald

The article states that Russian government approved a decree to ban the export of aircraft, helicopters, drones, and satellites abroad until the end of 2022. The ban does not apply to the transfers to the member states of the Eurasian Economic Union, Abkhazia, and South Ossetia.

The Expert Named The Areas of Cooperation between Russia and the Middle East Countries in the Coming Years (Эксперт назвал сферы сотрудничества России и стран Ближнего Востока на ближайшие годы)

March 29, 2022 | Parliamentskaia Gazeta

The article discusses possible areas of collaboration between Russia and the Middle East countries. Despite the sanctions, military-technical cooperation remains on the table.

Russia-Ukraine War: Moscow's Quest for Middle East Arms Deals Upended by Fighting

March 28, 2022 | Middle East Eye

Russia's invasion of Ukraine is disrupting the gains Russia's defense industry has made in the Middle East market as the war has 'significantly restrained' "the ability of Russian customers to source parts and components from Moscow." This will be a concern for countries such as Egypt and Algeria that have made large purchases of Russian defense systems. According to former assistant secretary of state for political-military affairs, R. Clarke Cooper, "they (Russia) are now in a major theatre of combat and anybody who is a customer of the Russian defence industry is being pushed to the back of the line."

Sanctions Against Russia Will Affect Arms Sales to Africa: The Risks and Opportunities

March 27, 2022 | The Conversation

The article explains how Western sanctions against Russia for its war against Ukraine will negatively impact Russia's ability to export arms sales to Africa, which is a significant arms market for Russia. Not only will sanctions interrupt the Russian defense industry's current orders but will make the repair and maintenance of Russian systems currently held by countries in Africa "hard, if not impossible." However, the African nations might use this as a chance to develop their own military capabilities.

Philippines to Acquire Mi-17 Transport Helos

March 11, 2022 | Janes

The Philippines' Minister of Defense told media last week that "the contract and the initial down payment for the Mi-17 acquisition project had been completed before Russia began its military operations in Ukraine."

Instead of Celebrating Trivialities, India Needs Sober Pragmatism to Plan Its Defence Exports

March 02, 2022 | The Wire

This article on India's defense industrial base argues "the defence ministry is ignoring domestic technological inadequacies, questionable quality control and fierce overseas competition." It highlights that for India's $375 million deal to export BrahMos systems to the Philippines, "jubilation over the...sale has been short lived, following the punitive sanctions imposed on Russia by the US and its North Atlantic Treaty Organisation allies for invading Ukraine," as sanctions "also apply to Russia’s NPO Mashinostroyenia (NPOM) that has jointly developed BrahMos with India’s government-owned Defence Research and Development Organisation or DRDO and provides the missile system’s engine and seeker." Finally it emphasizes that "the BrahMos export order is, for now, uncertain but it could well be scrapped."

Russia Halts Tank Production Due to Supply Problems, Ukraine Claims

March 22, 2022 | Newsweek

According to Ukraine's government, Russia's "Uralvagonzavod has stopped operations in its Chelyabinsk Tractor Plant in west-central Russia because of the lack of component parts supplied from foreign countries."