About Military Industrial Company

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Mission: meeting the requirements of the state in the developing and fielding of state-of-the-art armoured wheeled and tracked vehicles ensuring the required degree of defence capability

Goals:

  • setting conditions for steady development of the company’s subsidiaries and developing and manufacturing high-technology military and commercial products competitive on the domestic and foreign markets;
  • enhancing the scientific-technical and economic capabilities of the subsidiaries;
  • fulfilling the Governmental Armament Acquisition Programme and maintaining the required level of mobilisation capacities.

Objectives:

  • crafting corporate scientific-technical and technological policies;
  • stepping up the efficiency of managing the subsidiaries;
  • optimising the production facilities and product range of the subsidiaries;
  • pooling all types of the resources of the subsidiaries in order to develop cutting-edge technologies and up-to-date military hardware;
  • diversifying the product line in order to enhance the financial stability;
  • increasing labour productivity and quality of products.

Priorities:

  • development, manufacture, modernisation and disposal of armoured and motor vehicles, their components and other military, commercial and dual-use products within the company’s scope in an integrated research – development – productionising – manufacture – maintenance & overhaul – disposal cycle, and product delivery/work performance/services provision under governmental materiel acquisition orders, export contracts and other contractual commitments;
  • devising and implementation of specific scientific-technical programmes;
  • expansion of the company’s competence, establishment and development of new production facilities and advanced products;
  • marketing and advertising.

Background

In August 2006, the Russian Machines board of directors took a decision to reorganise its motor vehicle business and turn the production of military vehicles by its subsidiaries into a separate business unit. The task to organise the whole spectrum of work as part of the cooperation with Russian uniformed agencies and foreign customers was vested in the Military Industrial Company (Russian acronym – VPK), a limited liability company set up in late July that year.

At present, VPK is a management company for the manufacturing enterprises specialising in military gear production, including the Arzamas Machinery Plant JSC in the city of Arzamas, Armored Hull Plant JSC in Vyksa and Military Engineering Centre LLC in Nizhny Novgorod, whose personnel amounts to about 6,000.

The existing research, industrial and material resources and personnel qualification allow attaining the objectives and meeting the demand of the domestic and foreign armament markets. The company holds the appropriate licenses to develop, produce, repair and dispose of materiel and perform work involving information classified as state secret.

VPK develops and makes armoured personnel carriers, multipurpose and lightly armoured vehicles and special vehicles for security and law enforcement purposes that are cutting-edge examples of the armament on the world market and make up the mainstay of the Russian land forces and other uniformed services. In addition, VPK makes armoured hulls for various types of armoured vehicles, motor vehicles and air defence systems and modules to up-armour domestic and foreign-made vehicles as well.

The company collaborates with more than 30 governmental customers, among which are the Defence Ministry, Federal Security Service, Federal Protection Service and other Russian uniformed services. The governmental customers-required basic-model product mix exceeds 80 items. VPK also is taking measures to modify and adapt the GAZ Group’s products to the requirements of the defence military and the law enforcement agencies.

In addition, VPK sells commercial and dual-use products of its subsidiaries under the governmental armament acquisition programme. The company annually lands and fulfils without fail over 130 contracts for supply of its products. To ensure deliveries under the current governmental contracts, 17 subsidiaries of the GAZ Group are involved, with the number of companies exceeding 100 if their Russian subcontractors are taken into consideration.

The Military Engineering Centre LLC is responsible for development, modernisation and research of the prospects of the whole VPK product mix. Thus, the company is becoming the Defence Ministry’s and other uniformed services’ single contractor responsible for the development and supply of products built by the Russian Machines holding company’s subsidiaries under the governmental armament acquisition programme.

The vehicles VPK develops and supplies for governmental agencies are subjected to official state tests, with specialist organisations with the Defence Ministry and other uniformed services participating. The quality control personnel and appropriate military representatives control the vehicles too, even if tests are conducted in-house.

VPK runs exports its materiel via the Rosoboronexport state corporation it has closely collaborated with since its own inception. There are certain prospects in cooperation with Latin American and African nations and a number of countries in the Middle East and Southeast Asia. Since 2006, VPK has been a regular exhibitor at the major international arms shows, such as Eurosatory, IDEX, LAAD, DSA, MILEX, Defexpo, MBCB, etc. Thus, in 2008-2010 the company demonstrated in Paris, Nizhny Tagil, Minsk and Moscow its Tigr special vehicle (‘tigr’ is Russian for tiger), Tigr-M, BTR-80A and BTR-90 armoured personnel carriers, BREM-K armoured recovery vehicle and a line of Volk (Russian for wolf) army multi-purpose modular vehicles with further demonstration of their operating and combat capabilities.

Realising that the problem of human resources is becoming ever more important in scientific, industrial and management terms, the VPK director general and personnel pay close attention to recruitment, training and posting of all personnel without exception. For this reason, training centres are established as part of the company and its subsidiaries, and VPK works hand in glove with professional training companies and educational institutions continuously.

The company is running advanced programmes on development of cutting-edge armament and fielding it with Russian uniformed services. Thus, VPK plans to improve and test comprehensively the line of the army multi-purpose wheeled vehicles with a carrying capacity of 1 t and 2.5 t, special police armoured vehicle for the Interior Force of the Russian Ministry of Interior. The company also plans to develop an advanced combat wheeled platform for the Army. As far as the current production is concerned, the company is going to enhance the reliability, quality, technological sophistication and combat capabilities of its APCs and special vehicles. As part of the cooperation with Avtodizel JSC (Yaroslavl Motor Plant), a programme of adapting its latest engines to VPK’s special and military vehicles is being worked out