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Mon, Aug 13, 2007

Russian Aerospace Manufacturers Gain State Support

Gov't Hopes To Revive Industry

Earlier, ANN reported on a resurgence of Russian long-range patrols by Tu-95 "Bear" bombers over Western airspace, as a sign of renewed growth and vitality in that nation's military aviation complex. On Monday, Russian President Vladimir Putin met with his country's top aerospace manufacturers, in hopes of similarly revitalizing Russia's commercial aviation industry.

Russia Today reports Putin hopes to revive the country's machine industry, which fell into neglect following the breakup of the Soviet Union in 1991. To accomplish that, Putin is looking to create national engine and helicopter building corporations... similar to the country's United Aircraft Building Corporation, incorporated last year and now hard at work on the Superjet 100 regional airliner.

"Our engines are behind in terms of resources, fuel efficiency, noise level and environmental standards. They are blocking the development of Russia's aviation industry," Putin said during a visit to Russian engine maker Klimov. "Today I have ordered the creation of the United Engine-Building Corporation to address this."

Putin, who has set a five-year timeframe to accomplish the resurgence in Russian aerospace, says the engine cooperative will pool resources of all Russia's enginemakers, to create powerplants able to compete against General Electric and Rolls-Royce.

Russia's rotorcraft industry also received Putin's attention.

"Helicopters are absolutely crucial for Russia considering its geographic and climatic conditions," Putin said. "I have ordered the creation of a unified helicopter research and production base, to increase volumes and financial capacity."

While there's a case to be made for pooling resources to create a better product -- Europe's EADS is just one example of that -- analysts fear Russia's attempt to follow that model could lead to more bureaucracy... and not necessarily better aircraft.

"What we fear above all is a return to an unprofitable, Soviet structure," said Russian analyst Dr. Maria Alekseenkova. "These new state-owned corporations must remain flexible, market-oriented and not overly dominated by military demands."

FMI: http://en.wikipedia.org/wiki/United_Aircraft_Building_Corporation

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