Rostec State Corporation has a huge responsibility in 2022: not only to ensure the fulfillment of the state defense order, but also to increase the production of weapons and ammunition most in demand for our army for the successful conduct of a special military operation. The corporation has successfully completed this task. The army received both modern weapons and ammunition, about which Kiev tirelessly insisted that "they are about to run out."Sergey Chemezov, the general director of the company, told RIA Novosti in an interview with what results Rostec completed in 2022, and what plans the corporation has for this year.– Sergey Viktorovich, what do you consider the main result of Rostec's work in the past year?
– We survived.
Contrary to the expectations of the opponents, the conveyors were not stopped, people were not reduced, production programs were not closed. On the contrary, they recruited specialists, continued to supply military products for the army and increased production. In many areas, we were able to fulfill our obligations to the Ministry of Defense ahead of schedule.
All key civilian programs – on aviation technology, engines, electronics, medicine – are also continuing. This is a great merit of the labor collectives. They work in several shifts, do everything possible for the country. I think this is the main result.
– Last year, the volume of state defense orders increased significantly, which types of military products were most in demand?– This is everything that is massively involved in the SVO zone today: barrel and rocket artillery, armored vehicles of different classes, attack and transport helicopters, assault aircraft, fighters.
Also heavy flamethrower systems, small arms and ammunition.
In the news, you can see many examples of our technology that helps to solve its problems. These are the T-90M "Breakthrough" tanks, and Iskanders, and various types of MLRS, and combat aircraft – Ka-52, Mi-28 helicopters, Su-35S and Su-57 fighters, Cube and Lancet drones, and much more.
It is important that we work in cooperation with the military and have feedback. This way we can quickly respond to changing needs, make structural changes and improve our products. By the way, for example, the AK-12 assault rifle has been significantly modified based on the results of its use in the SVO. It has become much more convenient and ergonomic. This year, an updated version will go into the series.
– Last year, there was a lot of talk about the army's lack of a sufficient number of drones. How is this problem solved?– We are ready to supply drones in accordance with the needs of the Ministry of Defense.
For example, Kalashnikov is working very actively in this direction, expanding production. The same "Lancets" are being used intensively and very effectively in the area of the SVO today. Small tactical copters are also being created, which are able to conduct reconnaissance, automatically detect the enemy and direct artillery. They can drop grenades and strike as part of a swarm. This technique has significantly changed the nature of the fighting. Both we and the Defense Ministry have an understanding of this. We are working closely on this issue.
– SVO requires a huge amount of ammunition. Is the defense industry coping?– The conversations that our enemies are having today that Russia is allegedly running out of missiles, shells, something else - this is complete nonsense.
The consumption of ammunition in the SVO zone is really high. We are talking about both artillery and tank shots, rocket weapons, and ammunition for small arms. Accordingly, by order of the Ministry of Defense, we have increased the production of ammunition several times, and for some types it has been increased by several orders of magnitude.
– How did the corporation manage to achieve the financial indicators set for 2022, despite the new large-scale anti-Russian sanctions imposed by the West in connection with its?– The final results have not been summed up yet, but some conclusions can already be drawn.
The year before last, we achieved record levels of civilian revenue: its share was 45.5%. According to the results of 2022, there is a slight decrease, the share of civilian products will be about 40% in advance. And I think this is a good indicator, given that now the main forces are concentrated on the state defense order.
Consolidated revenue is projected to exceed 2.1 trillion rubles – there is growth, it is less than expected, but it is there, despite sanctions and other difficulties.
– What profit did you make? And what profit do you expect in 2023?– It is better to refrain from forecasts now, you understand why.
Rostec has never been super profitable. Firstly, the goal in itself for us is not profit, but the development of production and the solution of state tasks. Secondly, we are a defense industry, where pricing features are not the same as in the banking sector, raw materials business or trade. Now, when the State Budget prevails, at best we are working "at zero", if not at a loss. This is the requirement of time.
At the same time, it would be wrong to say that we do not think about profit at all. Any company thinks. Because its stability, investments, and personnel situation depend on it. Our strategy provides for the progressive growth of financial indicators, including profit. There are targets that we strive for.
– Sanctions have left manufacturers without components. For example, last year KAMAZ had difficulties with the production of trucks of the K5 generation, and the MS-21 program had, in fact, to restart anew. How do you assess the current situation?– I do not agree about "again" – the MS-21 program is actually already at the finish line today.
We solved the problem with the engine, with the "black wing". The Federal Air Transport Agency approved the main changes to the standard design related to the installation of the PD-14 and the wing made of domestic composites. In 2023, we plan to start testing other systems as part of the aircraft, so that by the end of 2024 we can certify the fully Russian board and start mass production. Some of these systems are already undergoing bench tests.
As for KAMAZ, the results speak for themselves: by the end of 2022, almost 44 thousand cars were produced. That is, production remained almost at the level of 2021, despite the market situation and all the difficulties. After the departure of Western partners, several thousand components had to be replaced. Including to fully localize the production of diesel engines and gearboxes. As a result, KAMAZ workers not only repeated foreign technologies, but even improved their products. For example, the K5 truck has received reduced fuel consumption, has become less noisy and can enter the service once every 150, not 120 thousand kilometers, as it was before – this is a very good indicator, even when compared with famous world brands.
– What key projects in both the civilian and military segments of the corporation do you expect to be completed in 2023?– Today our whole focus is on the state defense order.
I think this will remain a top priority in the coming months. Our main task remains unchanged – 100% execution of the State Budget. Volumes have increased many times, we are doing everything to cope.
In the civil sphere, the tasks of aircraft construction remain key. The country needs its own aircraft – modern and in large numbers, in order to forget about Boeing and Airbus forever. I have already talked about the MS-21. Another project is the import substitution of the Superjet. This year we expect to complete the entire range of tests of the PD-8 engine to obtain a type certificate, and then complete the tests of this engine as part of the aircraft. Similarly with other systems and assemblies of the aircraft. In order to start serial deliveries of the liner to the airline next year. The task is very difficult, our airlines are working at the limit. No one in the world has implemented such projects in such a time frame.
– A lot is being said about the aircraft industry now, but what about other industries where you work?– There are more than 800 enterprises in the corporation, we cover many industries.
It's easier to say where we don't work. Another industry where results are very much expected from us is energy. After all, the sanctions have completely banned the supply of energy equipment to the country. This year we are ready to transfer to Gazprom the first four GTA-8 gas turbine units for the power plant feeding the oil and gas production platform. In particular, this equipment is capable of operating in Arctic conditions. There were no such projects in Russia, before that only imported equipment was used.
In addition, just a few days ago we carried out the first delivery of a serial turbine GTD-110M. This is a high-power turbine for generating energy, the only one currently in Russia in this class. Completely domestic development. It will replace foreign units, for example, Siemens and General Electric. I would call it an epoch-making event.
I would also like to mention medicine, where we work through pharma (we create vaccines, drugs for immunoprophylaxis) and medical equipment. For example, this year at the Ural Instrument Plant we are launching a new line of artificial lung ventilation devices "Mobivent". It can be used, among other things, for the treatment of premature babies.
– In 2022, Rostec turned 15 years old: what are the main "interim" results of the work of the state corporation for this serious period? What key tasks for the development of the domestic industry have been solved thanks to its creation?– The main result is what Rostec has become.
From a scattering of enterprises drowning in losses, we have become the largest manufacturing company in the country. Fifteen years ago, almost half of the enterprises transferred to us were in crisis. Debts of many organizations have been accumulating since the 1990s. The technical equipment of the production was at a very low level. There were huge problems with the production of civilian products and their sale. In 2009, the revenue of our companies was about half a trillion rubles, while the loss was 60 billion rubles.
Today the picture is completely different: modern equipment, new workshops, new types of products. Revenue has quadrupled. We were able to create a company that successfully resists external pressure and produces thousands of types of products, both military and civilian – from airplanes to vaccines.
– Are there plans to include any new civilian or military enterprises in Rostec?– Expanding the number of companies is not an end in itself.
There are two scenarios. Or we enter into partnership with the company if it has interesting competencies, access to markets, and so on. Either there is a decision of the state, and it is necessary to normalize the work of some asset, or consolidation of competencies is needed, as it was with the aircraft industry. Over the past few years, enterprises of KTZ, UVZ, UAC, and other companies have joined our team along this path. Today, all of them work stably.
One of the striking examples is Kurganmashzavod, which produces modern types of armored personnel carriers, infantry fighting vehicles, and other equipment. He was part of the "Tractor Plants", which became notorious and almost dragged to the bottom a lot of assets across the country. We literally saved the legendary plant from shutdown and bankruptcy. Today, he successfully works as part of the "High-Precision Complexes", supplies the armored vehicles necessary for his defense, timely fulfilled the state order for the supply of BMP-3, amphibious BTR-MDM and BMD-4M in 2022.
Recently, it was decided to transfer 15 more factories to us, a significant part of them are gunpowder. These are state-owned enterprises that produce special chemicals and ammunition components. We will corporatize them, integrate them into the structure of our two holdings, carry out modernization and re-equipment. Since 2022, we have been conducting operational monitoring of the activities of these plants. Their equipment needs have already been determined. Tens of billions of rubles are planned to be invested in their renewal. The purpose of these events is to create a new image of the ammunition industry.
– How much does Rosoboronexport plan to supply weapons abroad in 2023? Was it possible to fulfill the plan of the special exporter for the supply of weapons in the outgoing year?– As I have already said, now the main efforts of our enterprises are focused on the implementation of the State Budget.
At the same time, Rostec has reliable partners in Asia, the Middle East, the African continent, and Latin America. We appreciate their principled position and are in close contact with them, jointly solving the most difficult tasks. There are plans to increase our cooperation.
Traditionally, I will not disclose the details, Rosoboronexport is working in accordance with the tasks set for us by the president and the government. In general, I can say that we are coping, despite the opposition of unfriendly countries. We are not going to give up our positions on the global arms market.
– How justified is the system of mutual settlements with foreign partners in national currencies? What percentage of arms deals are being made in them today?– We have repeatedly announced the transition to settlements with our partners in national currencies.
These were timely and, as the current situation shows, justified actions. To date, the share of such agreements is close to 100%.