Aerospace sector in Russia

Latest briefing from UKTI Russia looking at opportunities in aerospace, one Russia’s highest value added manufacturing sectors.

Market overview

The Russian economy remains in good short-term health: in 2012 GDP rose to 3.5% in the fourth quarter from 2.9% in the third quarter, with year-on-year growth almost flat at 0.1% in February 2013.

Aerospace is one of Russia’s highest value-adding manufacturing sectors. The sector includes about 248 aerospace companies, employs about 400 000 people and brings significant contribution to the country’s GBP (more than 1,1%). Russia’s WTO joining in 2012 is supposed to lead to a number of positive long-term outcomes for international commerce and improve trade efficiency.

The global aerospace industry has been focused on Russia due to the huge growth potential in the Russian market as manufacturers replace and upgrade equipment and look for modern materials, components, and technologies for their products.

UAC-Integration Centre carries out works on development of airborne equipment for the MC-21 perspective Russian commercial aircraft family, new modifications of the SSJ-100 regional aircraft as well as transport aircraft.

State Involvement

Aerospace sector funding will reach its maximum by 2017 as Russian Government plans to invest 166bln roubles in accordance to the State Programme “Aerospace Development Federal Programme framework during 2012-2025”.

It is planned to invest 70bln roubles in production facilities modernisation and R&D within the State Programme.

Implementation of the Programme for Innovative Development will contribute significantly to the development of the Russian helicopter industry to 2020 with a view for it to achieve 27% of the total export market and 90% of the Russian helicopter market. Engineering period for new helicopters will be reduced to 5-7 years and production costs will decrease by 12-15%, all while guaranteeing a high level of technology and product quality.

Governmental investment plans:

  • SSBJ – Supersonic Business Jet. Development of new supersonic executive aircraft Sukhoi Company (JSC);

  • C-21 SSJ – 1,5-10 bln RUR per year per project up to 2015;

  • Tupolev-204S Beriev-200 – 37 mln RUR in 2012-2013 and then stop financing the projects.

The key industry players are:

United Aircraft Corporation (UAC) A holding consisting of the leading Russian aircraft design and manufacturing companies, focused on the country’s aircraft output and improving efficiency. UAC 2016-2020 privatisation/IPO plans at a discussion stage.

United Engine Corporation a whole subsidiary of OBORONPROM Corporation, is the leading Russian industrial group producing engines for aircraft, aerospace industry, gas compression stations and power plants.

Russian Helicopters Holding, one of the branches of the State Corporation Rostecnologii, incorporates 14 helicopter companies. Russian Helicopters is the leading Russian full-cycle designer and manufacturer of helicopters for civilian and defence markets.

Central Aerohydradynamic Institute (TsAGI)

TsAGI is the first scientific institution to combine basic studies, applied research, structural design, pilot production and testing.

TsAGI established contacts with a majority of research and development centers and aircraft manufacturers in Europe, the United States and Asia.

Key opportunities

The following areas are indicated by key industry players as fields for potential cooperation with foreign companies

  • Upgrade of manufacturing technologies and capital assets

  • “Green” solutions

  • Innovative sources of energy

  • Unmanned aircraft

  • Composite materials

  • Quality control in operation

  • Scientific cooperation

  • New generation IT technologies

  • R&D

Current projects and support

Russian Government has given a priority to civil aircraft building. A number of aircraft programmes are being currently executed and serve as opportunities for companies with contract research and/or consultancy capabilities.

United Aircraft Corporation is engaged in diversifying its production activities by branching out into the civil aircraft market.


Russian Helicopter industry is now focused on light weight helicopters, as the Russian helicopter fleet abandons heavy vehicles and lacks the light ones.

The Russian Helicopters holding actively works with international suppliers and seeks new partners for the following projects:

  • MI-8/17 – seeking suppliers of supplementary aircraft equipment

  • MI-38 – seeking suppliers of supplementary aircraft equipment

  • MI-34 – seeking engine supplier

  • Light single-engine helicopter development 2,5 tons

  • Light two-engine helicopter development 4,5 tons; Russian Helicopters are to publish technical requirements register in 2015;

R&D on Advanced Innovative Helicopters

The most important R&D activities currently underway are the development of an advanced high-speed helicopter and the Unmanned Systems programme.

Russian Helicopters has begun the development of a new high-speed helicopter that will become the core of a system ensuring accessibility of remote Russian regions

The advanced high-speed helicopter is a new “breakthrough” project that involves innovative engineering and technological solutions.

R&D on Advanced, Innovative Helicopter-Manufacturing Technologies

Russian Helicopters integrated programme to develop Vertical helicopter technologies functions as a corporate technological platform and involves research in the following key areas to produce competitive helicopter technology:

  • EvoGREEN (eco-friendly helicopters)

  • EvoLOCITY (advanced high-speed helicopters)

  • EvoSAFE (safe helicopters)

  • EvoSMART (smart helicopters)

  • EvoLOGY (development of advanced technologies)

Operational Modernisation and Technical Upgrades

Operational modernisation and technical upgrades include the establishment of centres of excellence – three Assembly Facilities, two Modular Facilities and two Specialised Facilities – and measures to improve the equipment and technology used in helicopter production. This potentially presents opportunities for exporters.

Creation of an Infrastructure for Innovation

Russian Government is keen to establish a helicopter engineering centre, including experimental research, test production and flight test facilities. There will be open business opportunities in R&D area open for foreign partners.

Latest export opportunities – Aerospace

Latest export opportunities – Russia

Getting into the market

Finding the right local partner to promote and distribute your product in Russia is crucial. This can be done through visiting Russia and having one-to-one meetings with the local companies. Most of the time interpreter services will be needed for smooth and effective communication.

Another important detail to bear in mind is the Russian State Standards System (GOST). Russian State Standards System differs from EU’s and, therefore, UKTI always advises to use professional consultancy agencies in this regard. A list of professional agencies is available on request.

Aerospace sector is Russia is based on tendering system. You will come across tenders quite often as it is one of the main tools of getting into the market. Participation in tenders can be done directly (through registering an office in Russia) or through a third party (a local partner).

More about doing business in Russia


Market intelligence is critical when doing business overseas, and UKTI can provide bespoke market research and support during overseas visits though our chargeable Overseas Market Introduction Service (OMIS).

To commission research or for general advice about the market, get in touch with our specialists in country – or contact your local international trade team.

Contact your local international trade team

UKTI Events

UKTI runs a range of events for exporters, including seminars in the UK, trade missions to overseas markets and support for attendance at overseas trade shows.

Inward Mission

November 2013


Latest events – Aerospace

Latest events – Russia

Major Events


16-18 May 2013


27 August – 1 September 2013

Major Russian Aerospace companies are always represented at international airshows: Paris Air Show (Le Bourget), Farnborough (UK) and the Dubai Airshow.

Useful links

More about OMIS and other UKTI services for exporters

Sectors: Aerospace
Countries: Russia
Export Action Plan