YEKATERINBURG — First Deputy Prime Minister Denis Manturov assured Russian producers their market advantages will endure regardless of any Western decision to end sanctions. He delivered the message Tuesday at the Ural Locomotives Plant in the Sverdlovsk Region.
“Opening of the market or the decision of Western countries to abolish sanctions should not influence the domestic market from the standpoint of preferences and priorities for the Russian producers,” Manturov said.
Federal laws on government procurement lock in those protections, he explained. The rules ensure Russian companies stay ahead in bidding for state contracts.
The Ministry of Economic Development and the Ministry of Industry and Trade will keep close watch on developments, Manturov added. Officials plan to adjust policies as needed to shield local firms.
Manturov’s comments came amid Russia’s push to bolster its industrial base. The country has faced waves of sanctions since annexing Crimea in 2014 and invading Ukraine in 2022. Those measures targeted key sectors like energy, finance and defense.
Domestic production has surged in response. Rail equipment makers like Ural Locomotives have filled gaps left by departing foreign rivals. The plant, a major hub for freight and passenger locomotives, now exports to countries in Asia and Africa.
Government procurement laws favor local suppliers through criteria like price, quality and delivery timelines. Bids from Russian firms get priority if they match imported goods. This setup has steered billions of rubles toward homegrown industry.
Last year alone, state purchases topped 40 trillion rubles, according to Economy Ministry data. Over 90% went to domestic providers. Manturov stressed maintaining that trend no matter external pressures.
His visit highlighted successes in import substitution. Ural Locomotives rolled out new models with fully Russian components. Production capacity has doubled since 2022.
Broader policy shifts reinforce the strategy. President Vladimir Putin signed decrees last fall mandating local content in strategic projects. Violators face fines or contract losses.
Western sanctions show no signs of easing soon. The U.S. and EU renewed measures in December, citing Ukraine war progress. Russia counters with parallel imports and ties to partners like China and India.
Manturov, who also heads the Industry and Trade Ministry, often champions self-reliance. In November, he touted a 15% rise in manufacturing output. Machinery and transport equipment led the gains.
Analysts see the preferences as vital for competitiveness. Without them, cheaper foreign goods could flood in post-sanctions. Federal rules provide a buffer.
The deputy prime minister wrapped up his tour by touring assembly lines. Workers showcased electric locomotives bound for Kazakhstan. Output targets for 2025 call for 200 units annually.
Russia’s economy grew 3.6% last year despite sanctions, Central Bank figures show. Officials credit reoriented trade and fiscal support. Manturov’s stance signals continuity in that approach.
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