Although UAC is not participating in DefExpo, there is nevertheless a significant interest in your company in India. In this regard, how is cooperation between the UAC and India going at the moment?
Our cooperation continues. India is one of Russia’s key partners in the field of military-technical cooperation, especially in aviation. Along with the work on programmes for licensed production, repair and modernisation of Sukhoi and MiG aircraft, UAC, together with our Indian partner, HAL, is also working on other projects. Indeed, for a number of reasons, we do not take part in the DefExpo exhibition this year, but I can assure you that we will not ignore the upcoming air show in Bangalore.
Has this cooperation been affected in any way by the recent restrictions imposed against Russia?
Indeed, we are facing new challenges. This applies to external and internal markets, product demand and its structure. This also applies to the technological landscape and partnerships. This also concerns the tasks of developing enterprises in our regions of presence, as points of industrial and technological growth.
The sanctions have greatly affected the Russian air transport industry. Withdrawal of Western aircraft manufacturers from our market opens up a window of opportunity for the supply of up to 1,000 new passenger aircraft of all classes to the Russian market by 2030—not only made by UAC. This is a great opportunity, but also a serious challenge for Russian aircraft manufacturers. In this context, while increasing production capabilities, it is important for us not to limit ourselves to the domestic market.
From the point of view of developing cooperation with India, the ‘Make in India’ is not only the framework to meet the requirements and rules of the Indian side, but also new opportunities for industrial partnerships, including production of products not only for the Indian market, but also for the Russian market and other countries. Today, the civil part is approximately 20 per cent of the volume of the Russian aircraft manufacturing business. The remaining 80 per cent are military and dual-use products. Here the impact of sanctions is almost imperceptible. As far as our combat and transport aviation programmes are concerned, they are progressing according to their respective schedules.
What is currently happening is giving the Russian aircraft industry an important window of opportunity. Despite all the difficulties in achieving the required level of technological independence, pressing schedules, technological and logistical challenges, the main opportunity that the current situation gives us is guaranteed, clearly articulated and state-supported demand in the domestic market for the long term.
At the same time, despite new challenges, UAC remains a reliable partner, both in the terms of supply to our domestic market and for export. All our contracts are executed on time and with proper quality, despite the obvious difficulties that we face. We maintain and continue to develop relationships with all our partners.