Arms Trade Database for June-July 2001

Supplier	Recipient	Date	Description of Event	Financial Parameters	Notes
Information for previous period
Ukraine	World market	2000	The representative of the Ukrainian National Se­curity and Defense Council re­ported that in 2000 Ukraine ex­ported arms for almost $500 mln.[1]	About $500 mln	The modern armaments pro­duced in Ukraine constitute more than 50% of total arms ex­port.
Russia	China	September 2000	Under the agreement signed between Russian Vneshtorgbank and the Bank of China Vneshtorgbank opens a spe­cial account for payments under the con­tracts con­cluded in the framework of the Rus­sian-Chinese inter­gov­ernmental agreements on military-technical coopera­tion.[2]
Russia	World market	2000	According to the state­ment of General Direc­tor of Rosoboronexport the total volume of the company’s arms deliveries in 2000 ac­counted for more that $3 bln.[3]	More than $3 bln	From the moment of its crea­tion in November 2000 Roso­boronexport paid more than $42 mln in the federal budget as taxes and other compul­sory payments.[4]
Russia	USA	First half of 2001	NPO Energomash deliv­ered to the USA 8 liq­uid-fuel RD-180 rocket engines to be installed in heavy-class Ath­las-3 launch vehicles.[5]	About $80 mln	As per the contract with Lockheed Martin for delivery of 18 engines for $10 mln apiece.[6]
June
Ukraine		Beginning of June 2001	JSC Motor-Sich began bench tests of VK-1500 air­craft engine.[7]		The turboprop VK-1500 en­gine is designed for installa­tion on An-3 (Colt), An-38, Be-32 aircraft and Ka-60 type helicopters.
Russia		June 2001	The Irkutsk Aviation Indus­trial Association (IAIA) began tests of the modern­ized Su-30M fighter.[8]		Su-30M fighter is de­signed for the Russian Air Force. It was built according to the same modernization concept as Su-30KN and Su-27UBM (Flanker) fighters.
Russia		June 2001	The first serial sample of the all-weather Mi-28N helicopter was assem­bled at Rostvertol PLC.[9]	About $150 mln[10]	This cost of the helicop­ter seems to be too high.
Russia		June 2001	Sukhoi Design Bureau re­sumed test flights of the experimental S-37 Berkut aircraft.[11]		According to the pre­liminary estimations the results of the tests can be used in the pro­gram on the Russian fifth-generation fighter.
Russia		June 2001	Rubtsovsk Machine Build­ing plant finished the troop trials of RM-G tracked re­covery vehicle developed on the basis of BMP AIFV.[12]
Russia	Columbia	June 2001	Representatives of the Co­lombian Armed Forces de­clared the de­cision to pur­chase 6 Mi-17MD (Hip H) trans­port helicopters pro­duced at Kazan Helicop­ters Plant.[13]	About $36 mln[14]	The helicopters will be deliv­ered without ar­maments. The delivery of the first 3 helicopters will be conducted within 6 month after the con­tract is signed.
Russia	Europe	June 2001	Verkhnyaya Salda Met­al­lurgical Works signed a contract with Airbus for delivery of aviation tita­nium alloys.[15]	About $120 mln[16]	The contract period is 8 years.[17]
Russia		June 2001	RAC “MiG” and Sokol Air­craft Building Plant signed an agreement on coopera­tion on produc­tion of MiG-29K (Ful­crum) naval fighter.[18]		In the framework of the co­operation Sokol will manu­facture aircraft’s folding wings and nose section.
Russia	China	June 2001	Federal Scientific-Pro­duc­tion Center “Salyut” signed a con­tract for delivery of more than 300 AL-31F en­gines to China to equip the Chinese F-10 fighters.[19]	About $300 mln[20]
Russia, Ukraine		June 2001	The Russian Beriev Air­craft Company, IAPA, Klimov Company and the Ukrainian JSC Mo­tor-Sich signed an agreement on joint de­vel­opment of Be-132MK re­gional plane.[21]
Ukraine	Macedo­nia	June 2001	Macedonia is reported to purchase 4 Su-25 (Frog­foot) ground attack air­craft and 4 attack Mi-24 (Hind) heli­copters in Ukraine.[22]		The delivery was con­ducted in early July 2001.[23]
Russia	Myanmar	June 2001	RAC “MiG” signed a con­tract for delivery of 10 MiG-29 fighters to Myan­mar.[24]	$130 mln[25]	The delivery includes 8 sin­gle-seat and 2 double-seat versions. 30% of the sum will be paid after the delivery, the rest – within 10 years.[26] RAC “MiG” hasn’t officially confirmed the deal yet.
Russia	India	June 2001	IAIA has assembled the first 3 Su-30MKI air­craft for India.[27]		The aircraft will be trans­ferred to the cus­tomer until the end of 2001.[28] As per the 1996 contract for delivery of 8 Su-30K and 32 Su-30MKI aircraft.
Russia	India	05.06.01	The meeting of the Rus­sian-Indian Intergov­ernmental Commission on Military-Technical Cooperation[29]		At the meeting it was de­clared that the total sum of the Russian-In­dian military contracts being fulfilled reached $10 bln.[30]
Russia	India	05.06.01	The signing of bilateral agreement on develop­ment of multifunctional Il-214 military transport plane.[31]	About $300 mln[32]
Russia		05.06.01	The annual meeting of Perm motors Co. share­holders elected new Board of Direc­tors.[33]		Net profit of Perm mo­tors in 2000 accounted for 119.2 mln rubles (more than $4 mln).[34]
Russia	China	05.06.01	Aerospace Equipment Cor­poration signed a contract with Roso­boronexport on manu­facturing of avionics sets for delivery to China in the framework of the gen­eral contract on li­censed production of Su-27SK (Flanker) fight­ers.[35]	$200 mln[36]	Including this contract with Rosoboronexport the Corpo­ration’s order portfolio ac­counted for about $1 bln.[37]
Russia		07.06.01	The Russian Vice-pre­mier and Finance Minis­ter Alexey Kudrin stated that in 2002 262.9 bln rubles (about $9 bln) from the federal budget or 2.6% of Russia’s GDP would be spent on national defense.[38]
Russia		09.06.01	Deputy Chairman of the Board of Directors of the Russian Insurance Center Andrey Sechenov was elec-ted a Chairman of the Board of Direc­tors of Perm Assem-bly Association “Inkar”.[39]		“Inkar” is specialized in manufacturing of as­sembly parts for aero­space and mo­torcar in­dustry. The Russian Insurance Center is one of the biggest “Inkar” share­holders.[40]
Russia	India	12.06.01	The successful test launches of the Russian-Indian PJ-10 anti-ship missile.[41]		Reutov-based Machine Building NPO partici­pated in the missile de­velopment from the Russian side.
Russia		13.06.01	Russia’s Premier Mik­hail Kasyanov approved the Regulations on con­trol over the foreign economic activ­ity with dual-use goods and technologies that can be used to develop arms and military equip­ment.[42]
Russia	Turkmeni­stan	14.06.01	The first Deputy Direc­tor of Rosoboronexport Sergey Chemezov agreed with Turkmenistan’s President on deliveries of the Russian military equipment in ex­change of natural gas.[43]
Russia	China	15.06.01	Fazotron-NIIR Corpora­tion declared about the con­cluded contract with China on delivery of 100 Zhuk radar for the Chi­nese F-8II (Finback) fighters.[44]	$5 mln[45]	The delivery will be con­ducted through Rosoboron­export.
Russia		18.06.01	Russia’s government took a decision to con­struct 2 Mi-8MTV (Hip) helicopters equipped with the presi­den­tial communication facili­ties.[46]		Rosaviakosmos will be the major contractor, Moscow Mil Helicopter Plant – gen­eral sup­plier, Kazan Heli­copter Plant – major execu­tor; the Klimov Company will manufacture the helicop­ter engines.
Russia	Europe	17-19.06.01	Rosaviakosmos and the West-European Astrium Corporation signed an agreement.		Under the agreement As­trium, Khimki-based La­vochkin Scientific and Pro­duction Associa­tion and Ba­bakin Scien­tific Center will create a joint venture on de­vel­opment of non-para­chute landing system for heavy sat­ellites.[47]
Russia		22.06.01	Finish of the state trials of “Valentin Pikul” coastal escort ship.[48]		The ship is built at Al­maz Shipbiulding Com­pany on order of the Federal Border Guard Service of Russia.
Russia		26.06.01	The Board of Directors of the Antey Concern didn’t re-elect the RCSA Director Vladimir Si­monov as its Chair­man.[49]		Vladimir Simonov be­came a Chairman of Antey’s Board of direc­tors in 2000.
Russia		28.06.01	At the annual meeting of Baltiysky Zavod sharehold­ers it was de­clared that the com­pany’s dead loss in 2000 had accounted for 252.305 mln rubles (about $8.7 mln), vol­ume of realized produc­tion outcome in­creased by 2.2 times till 6.587 bln rubles (about $230 mln) compared to 1999.[50]		Since November 1997 Balti­ysky Zavod has been fulfill­ing the con­tract on construc­tion of 3 frigates for the In­dian Navy.
Russia		28.06.01	At the annual meeting of “Severnaya verf” Shipyard shareholders it was declared that in 2000 the company’s net profit had fallen by 25.8% till 2.893 bln ru­bles (about $100 mln) compared to 1999; sales earnings had grown by 1.5 times till 14.949 bln rubles (more than $500 mln).[51]		In 1997-2000 “Severnaya verf” ful­filled the contract for construction of 2 de­stroyers for the Chinese Navy.
July
Ukraine	Macedo­nia	Beginning of July 2001	The two countries signed a bilateral plan of military and military-technical cooperation.[52]		Under the plan Ukraine will deliver to Macedo­nia certain armaments and ammunition, build an aircraft repair base, upgrade the Macedonian air defense, continue the training of the Macedo­nian military specialists.
Russia	Malaysia	Beginning of July 2001	During his visit to Mos­cow the Malaysian for­eign min­ister is re­ported to have negotia­tions on purchase of batch of Su-30 fight­ers.[53]
Russia	Europe	02.07.01	Rosaviakosmos and EADS signed an agree­ment on long-term cooperation.	2.1 bln euro	The agreement stipu­lates the participation of Russian com­panies in production of A-400M military transport plane and civil Airbus planes, joint space projects. The in­vestments in the Rus­sian aviation industry will allow reaching the turnover of 2.1 bln euro within next 10 years.[54]
Russia		04.07.01	Rosoboronexport signed an agreement of coop­eration with the admini­stration of Yaroslavl re­gion.		Under the agreement Roso­boronexport will assist de­fense enterprises of Yaroslavl region in export of their pro­duc­tion and joint develop­ment of civil projects to be included in offset programs offered to for­eign custom­ers.[55]
Russia		06.07.01	Under the decision of Rus­sia’s Ministry of Fi­nance the Russian Insur­ance Cen­ter is included in the list of insurance companies rec­om­mended to the arms ex­porters for insuring mili­tary-use shipments.[56]
Russia		06.07.01	Sevmash successfully fin­ished running tests of Gepard (Akula II class) atomic submarine.[57]
Ukraine	Tajikistan	06-07.07.01	The two countries signed an agreement on cooperation that in­cludes provisions on military-technical coop­era­tion.[58]
Russia		10.07.01	Vneshekonombank and the State Investment Corpora­tion (Gosinkor) signed an agreement on cooperation.[59]		The agreement envisages co­operation on imple­mentation of investment projects, in particular in the sphere of de­fense industry and aviation leasing.
Germany	Kyrgyzstan	11.07.01	Kyrgyz Defense Minis­try received a batch of uni­forms, electric de­vices and communication means as a humanitarian aid.[60]	DEM 207,000[61]
Russia		12.07.01	Rosoboronexport and LU­KOIL oil company signed a general agree­ment on coop­eration and interaction.[62]		The agreement stipu­lates the companies’ interaction on foreign markets, assistance in establishing of business con­tacts and products promotion.
Russia	Greece	13.07.01	The Greek specialists fin­ished three-days test flights by the Russian MiG-AT trainer.[63]		In the framework of Greece’s tender on trainer aircraft.
Russia	China	15-17.07.01	The signing of an inter­gov­ernmental agree­ment on delivery of 38 Su-30MKK fighters to China.[64]
Russia		27.07.01	Russia’s government ap­proved federal program on reforming and devel­oping of the national de­fense indus­try for 2001-2006.[65]		The program envisages con­centration of indus­trial fa­cilities and scien­tific poten­tial of the Russian defense indus­try.
Ukraine	Macedo­nia	29.07.01	Ukraine’s Foreign Min­ister Anatoly Zlenko said that Ukraine would consider the suspension of its arms deliv­eries to Macedonia.[66]		Ukraine took such deci­sion after the consulta­tions with NATO.
Russia	World market	July 2001	Rosoboronexport is re­ported to conclude con­tracts with defense en­terprises of Ud­murtiya region for export of their production for $50 mln in 2001.[67]	$50 mln
Russia		July 2001	Russia’s Defense Minis­try issued to Yakovlev Design Bureau combat characteris­tics for “light combat trainer for the Russian Air Force based on Tak-130 aircraft”.[68]		Nizhniy Novgorod-based Sokol Aviation Plant should build 4 Yak-130 trainers by 2003.[69]
Russia		July 2001	Test flights of the mod­ern­ized Su-30KN fighter (board 302).[70]		Su-30KN has success­fully hit naval targets with Kh-31A (AS-17) missiles. The Russian Air Force will receive 5 of these aircraft until the end of 2001 and up to 30 aircraft within next 2-3 years.[71]
Russia		July 2001	Machine Building Plant “Arsenal” received the state order for manufac­turing of 10 100-mm A-190 artillery guns for the batch of cor­vettes which construction un­der the order of the Rus­sian Navy will start at “Severnaya verf” Ship­yard at the end of 2001.[72]		The artillery gun was devel­oped for the 3 frig­ates of the Indian Navy that are being built at Baltiysky Zavod un­der Rosoboronexport con­tract. “Arsenal” intends to build 50 such guns in the next 10 years.[73]
Russia, Belarus		July 2001	Minsk Wheeled Tractor Plant started to carry out the order for 90 chassis for the modern­ized S-125 ‘Pechora’ (SA-3) SAM sys­tem.[74]		It’s the first order re­ceived by the plant in the frame­work of inter­state finance and indus­trial group “Defense Systems”.
Russia		July 2001	Russia’s defense Minis­try is reported to post­pone ini­tially planned for July 2001 tender for new-generation training helicopter until the end of the year.[75]		As reported the reason is that the Defense Minis­try is not ready with the concept of a training helicopter yet.
Russia	China	July 2001	Signing of a contract for delivery of a batch of Su-30MKK fighters.[76]	About $2 bln[77]	The Su-30MKK planes will be constructed at KnAAPO plant in Kom­somolsk-on-Amur and delivered to China in 2002-2003.

[1] ITAR-TASS, 20.06.2001

[2] «Sotrudnichestvo s Kitaem», Tikhookeanskaya zvezda, 30.06.2001

[3] Interfax, 10.07.2001

[4] Ibid.

[5] Military News Agency, 13.07.2001

[6] Ibid.

[7] Military News Agency, 08.06.2001

[8] Military News Agency, 18.06.2001

[9] Military News Agency, 20.06.2001

[10] Ibid.

[11] Military News Agency, 20.06.2001

[12] Military News Agency, 22.06.2001

[13] Jane's Defence Weekly, 20.06.2001.

[14] Ibid.

[15] Mikhail Kukushkin, “V Evropu so svoim titanom”, Vremya novostei, #106, 20.06.2001, p.4

[16] Ivan Safronov, “Airbus budut delat iz rossiiskogo titana”, Kommersant, #105, 20.06.2001, p.4

[17] Ibid.

[18] “Vozdushnyi transport”, #25, 2001, p.3

[19] Sergey Putilov, “Burgeiskie” milliony”, Vremya MN, #120, 19.06.2001, p.2

[20] Ibid.

[21] Ivan Safronov, “Airbus budut delat iz rossiiskogo titana”, Kommersant, #105, 20.06.2001, p.4

[22] RIA-Novosti, 15.06.2001

[23] ITAR-TASS, 29.07.2001

[24] Mikhail Kozyrev, “Migi v rassrochku”, Vedomosti, 19.06.2001

[25] Ibid.

[26] Ibid.

[27] “Aviatsiya, kosmos i oruzhie Rossii”, 15.06.2001

[28] “Aviatsiya, kosmos i oruzhie Rossii”, 28.06.2001

[29] Military News Agency, 06.06.2001

[30] Ibid.

[31] Military News Agency, 07.06.2001

[32] Ibid.

[33] Military News Agency, 05.06.2001

[34] Ibid.

[35] Military News Agency, 05.06.2001

[36] Ibid.

[37] Ibid.

[38] INFO-TASS electronic database, “Vega” base, 07.06.2001

[39] Military News Agency, 09.06.2001

[40] Ibid.

[41] ITAR-TASS, 12.06.2001

[42] Military News Agency, 13.06.2001

[43] INFO-TASS electronic database, “Vega” base, 14.06.2001

[44] Simon Saradzhyan, «Russian Companies Ink Deals at Paris Air Show», The Moscow Times, 19.06.2001, p.7.

[45] Ibid.

[46] Military News Agency, 18.06.2001

[47] “Aerobus budut delat iz rossiskogo titana”, Kommersant, 20.06.2001

[48] Military News Agency, 22.06.2001

[49] Ilya Bulavinov, Ivan Safronov, Kommersant, 27.06.2001, p.4

[50] “Aviatsiya, kosmos i oruzhie Rossii”, 30.06.2001

[51] “Aviatsiya, kosmos i oruzhie Rossii”, 30.06.2001

[52] Vladimir Mukhin, “Ukraina vooruzhaet Makedoniyu”, Nezavisimaya gazeta, 05.07.2001

[53] ITAR-TASS, 11.07.2001

[54] EADS Press Release, 02.07.2001, www.eads.net

[55] Military News Agency, 04.07.2001

[56] Rosbalt information agency, 06.07.2001

[57] NSN, 10.07.2001

[58] UNIAN, 07.07.2001

[59] RIA-Novosti, 10.07.2001

[60] Interfax, 11.07.2001

[61] Ibid.

[62] Alexander Tutushkin, Mikhail Kozyrev, “Neft poidet za oruzhiem”, Vedomosti, 12.06.2001

[63] Military News Agency, 13.07.2001

[64] Mikhail Kozyrev, Maria Rozhkova, “Gazprom”, “Rusal” I oruzhie”, Vedomosti, 17.07.2001

[65] ITAR-TASS, 27.07.2001

[66] ITAR-TASS, 29.07.2001

[67] ITAR-TASS, 11.07.2001

[68] Leonid Zavarsky, «Yak-130 izbavilsya ot italyanskogo rodstva I priglaynulsya rossiiskim voennym”, Kommersant, 25.07.2001

[69] Ibid.

[70] Military News Agency, 19.07.2001

[71] Ibid.

[72] RIA-Novosti, 25.07.2001

[73] Anna Nevskaya, “Russkaya pushka otpravitsya v Indiyu”, Kommersant (St.Petersburg), #131, 26.07.2001

[74] Military News Agency, 24.07.2001

[75] Military News Agency, 24.07.2001

[76] Military News Agency, 18.07.2001

[77] Ibid.