News

Feb 16, 2016

The Uralvagonzavod Corporation Company supplies 1500 ground military machines to the Russian army annually

Over the last several years, the state defense order has been carried out ahead of schedule; Uralvagonzavod annually supplies 1500 new, upgraded and repaired military items for the Russian army, as well as hundreds of units of military armored vehicles for export.

The tank workshops of the parent company Uralvagonzavod (Nizhny Tagil town) are fully occupied by performing the state defense order and multibillion foreign orders for military equipment. There have been no lay-offs in 2015 at Uralvagonzavod. They are not planned in 2016 either. The Uralvagonzavod Corporation Company has 40 factories and Research Institutes across the country and all of them are engaged in the production of components for tanks, tactical firing systems, armored vehicles, artillery units, and so forth. The Corporation Company produces about 60 percent of equipment for ground forces. In this area, Uralvagonzavod lacks highly qualified personnel, therefore it has been inviting new stuff to work in Nizhniy Tagil by offering good salaries, building new houses, kindergartens and medical centers.

The civil direction is a supporting one for the Corporation Company, meanwhile the load of the car assembly production is determined by the market factors. Nevertheless, it beat the world record in 2010-2012 when the factory used to manufacture 25 000 - 28 000 cars and tanks per year. Starting from 2012, the market began to stagnate. Even despite this, not a single employee of Uralvagonzavod was laid-off. Due to the absence of orders, a part of employees was on their paid leave, receiving two thirds of their salary. The central office of Uralvagonzavod cut 25% of middle and senior managers, including two Deputies of General Director.

At the end of the year, the plant found its first major foreign customer - Azerbaijan, and many employees of the car production returned to their workplaces. Today, we are speaking about deliveries of cars to Iran and others countries. Besides, from January 1, 2016, the government banned to operate old expired cars. Due to this decision, we are anticipating a revival of the market of cars in the second half of the current year.

Uralvagonzavod (CEO - Oleg Siyenko) is now in the top of 100 largest military-industrial companies of the world. The Corporation Company took the 61st place in the ranking of the world producers of weaponry according to the Stockholm International Peace Research Institute (SIPRI). In the previous year, Uralvagonzavod was at the 80th place. SIPRI underlines that Uralvagonzavod has increased weaponry sales by 72.5%, which is the highest rate among the researched Russian companies. The portfolio of export contracts of the Corporation Company in 2016 exceeds 240 billion rubles.