Shipbuilding will thwart Russia’s naval modernisation

Significance

The change of management at OSK signals the Kremlin’s dissatisfaction with the slow pace of Russia’s protracted naval modernisation programme. Vast sums were spent yet only a small number of warships have reached the navy in the past decade.

Impacts

• The rapid expansion in seaborne trade with countries outside Europe mean that Russia’s maritime interests are growing.
• Russia’s ambitious icebreaker construction programme is central to plans to make the Northern Sea Route a major trade route.
• Shipbuilding will have to compete with other areas of the military for access to Russia’s soaring defence budget.