Russia's Military-Industrial Complex: The War Machine Behind the Front Lines

As the war in Ukraine grinds into its third year, Russia's military-industrial complex (MIC) has become the backbone of the country's armed forces and a central pillar of its geopolitical ambitions. The MIC is a vast network of state-owned enterprises, research institutions, and production facilities that supply everything from tanks and missiles to drones and electronic warfare systems.

The Engine of Russia's War Effort

The Russian MIC is one of the largest in the world, inherited from the sprawling Soviet defense apparatus. It comprises hundreds of entities under the umbrella of large corporations, many of them controlled by the state conglomerate Rostec. These entities are responsible for developing and manufacturing a wide range of military equipment, including:

• Rostec: Oversees over 700 defense-related companies

• United Aircraft Corporation (UAC): Builds fighter jets, bombers, and transport planes, including the Su-35 and Il-214

• Almaz-Antey: Manufactures air defense systems, including the S-400 and S-500

• Uralvagonzavod: Russia's primary tank producer, responsible for the T-90 and T-14 Armata

• United Shipbuilding Corporation (USC): Constructs submarines and naval vessels including Project 955A Borei-A Class submarine and Project 22350 Admiral Gorshkov Class frigate

• Tactical Missiles Corporation: Produces cruise, anti-ship, and hypersonic missiles, including the Kh-31 and KAB-500

• KRET (Concern Radio-Electronic Technologies): Specializes in radar, jamming, and avionics, including the Krasukha-4

• Kalashnikov Concern: Produces small arms, loitering munitions, and guided weapons, including the AK-12 and the ZALA Lancet

• Russian Helicopters: Manufactures combat and transport helicopters, including the Ka-52 and the Mi-8

• NPO Mashinostroyenia: Develops strategic weapons and hypersonic systems, including the P-800 Oniks and the 3M22 Zircon

Dependence on State Support

The Russian MIC is heavily dependent on state support, with many of its companies being state-owned or heavily subsidized. Russia's defense spending has surged since the 2022 illegal invasion of Ukraine, with the MIC receiving around 50-60% of the defense budget, totaling approximately $250 billion between 2022 and 2024. As a result, defense now consumes around 40% of the government's total expenditures. This staggering sum dwarfs the country's 21% allocated spending on essential public services like healthcare, education, and infrastructure. This stark contrast in priorities highlights the Russian government's apparent willingness to prioritize its military ambitions over the basic needs of its citizens, leaving many to wonder if the cost of its aggressive militarism is being borne by ordinary Russians.

Sustaining the War in Ukraine

The MIC plays a critical role in sustaining Russia's illegal invasion of Ukraine, which has become a high-intensity, industrial war involving massive consumption of weapons, ammunition, and equipment. The MIC's contributions include:

• Ammunition and Artillery Shells: Russia is firing tens of thousands of shells monthly, with peak usage seen in the 2023 Bakhmut offensive, reaching 33,000-35,000 shells per day. For comparison, the Ukrainian army averaged 4,000-5,000 shells per day. This level of artillery usage is unusually high, exceeding the average daily usage in most modern wars, which is around 2,600 shells per day. This staggering disparity underscores the intense and disproportionate firepower being unleashed in the conflict

• Drones and Loitering Munitions: The Lancet drone, produced by Kalashnikov Concern, has been widely used since 2022 to target Ukrainian artillery, radar, and air defense systems. However, Russia's reliance on Iranian drones, including the Shahed-136 and Mohajer-6, highlights the strain on its domestic defense industry and its struggles to maintain a sufficient supply of military equipment. Russia has used over 28,000 Shahed drones since the start of its full-scale invasion of Ukraine.

• Tanks and Armored Vehicles: Uralvagonzavod and other refit facilities have rebuilt and deployed thousands of T-72 and T-80 tanks

• Missiles: Russia's MIC manufactures a wide variety of missiles, including Kh-101 cruise missiles, Iskander ballistic missiles, and Kinzhal hypersonic missiles

• Electronic Warfare: KRET produces EW systems like Krasukha, Borisoglebsk, and Zhitel, which are routinely used to jam Ukrainian communications, drones, and GPS signals

The Supply Chain: A Critical Component

The Russian MIC's supply chain is a critical component of its operations, involving hundreds of domestic and foreign suppliers. The MIC relies heavily on domestic suppliers, including companies like Promtekhnologiya, which produces artillery shells, and Krasnozavodsk Chemical Plant, which produces explosives. However, the MIC also relies on foreign suppliers, including companies from countries like Turkey, and the United Arab Emirates.

Impact of Sanctions

In recent years, the Russian MIC has faced significant challenges in its supply chain, particularly with the imposition of international sanctions aimed at curbing Russia's war efforts in Ukraine. In 2020, the United States imposed sanctions on several Russian companies, including Rostec, which limited their access to US technology and financing. Despite these sanctions, China and Iran have effectively circumvented them by providing critical components and technologies to Russia, and collaborating on advanced UAVs. This complicity has enabled Russia to bypass Western sanctions and maintain its military production capacity, emboldening its actions in Ukraine and raising serious questions about the willingness of these countries to condone and facilitate Russia's aggression.

Corruption and Inefficiency

The Russian MIC is plagued by corruption and inefficiency, with many of its companies being criticized for their poor management and lack of transparency. This corruption and inefficiency has repeatedly undermined the effectiveness of the MIC and limited its ability to produce high-quality military equipment. In 2019, a Russian government audit found that several MIC companies had been involved in corrupt practices, including embezzlement and bribery. The Moscow Times reported that the Prosecutor General’s Office had uncovered about 1.6 billion rubles (approximately $25 million) in embezzlement across state-controlled space and defense corporations, including entities under Rostec.

Ukrainian Strikes on Russian MIC Facilities

Recognizing the MIC's vital role, Ukraine has launched long-range drone attacks, sabotage operations, and cyberattacks on defense-industrial targets. These attacks aim to degrade Russia's war production capacity and force it to shift resources to defense. Key Russian Military-Industrial Complex facilities targeted and damaged by Ukrainian attacks include:

Russia's war effort in Ukraine would not be sustainable without its vast military-industrial complex, bolstered by support from other nations. This network of state-directed companies enables Moscow to replace battlefield losses, produce strategic weapons, and sustain high levels of firepower. However, the MIC is also under stress - hit by sanctions, targeted by Ukrainian strikes, and struggling with technological isolation. As the war continues, the MIC remains a critical battleground - not just in Russia's factories, but in the air over Tatarstan and the warehouses of Dubna. It is both Russia's strategic advantage and its Achilles' heel.