13:00 GMT +321 August 2019
Listen Live
    Bombardier Q400

    Rostec Talks on Plane Construction With Canada’s Bombardier Halted

    © Flickr/ Hyougushi
    Tech
    Get short URL
    0 175

    Talks between Russia’s state technology corporation Rostec and Canada’s aerospace and transportation company Bombardier on the construction of Bombardier Dash8/Q-Series Q400 turboprop planes have been halted because of the devaluation of the ruble, Rostec CEO Sergey Chemezov has told the Vedomosti newspaper.

    MOSCOW (Sputnik) – Chemezov told Vedomosti that the political situation had nothing to do with the halt of talks with Bombardier.

    "We stopped talks with Bombardier that we wanted to collaborate with in building the planes in Russia," Chemezov said, explaining that the component parts needed for the construction of Q400 planes are imported from abroad and are currently too expensive because of the ruble exchange rate.

    "[As a result] the machines would not be able to withstand cost competition with the Russian aircraft," the Rostec CEO said.

    The Russian economy has come under increased pressure over the past year due to plummeting oil prices and Western economic sanctions. The first restrictions were imposed by Western powers over Crimea's reunification with Russia.

    According to the European Commission's estimates released in early May, 2015, the economic situation in Russia is expected to stabilize in 2016.

    Related:

    ‘Saphir’: Russia, France to Unveil Power Unit for Ka-, Mi- Choppers in 2015
    Russia Consolidates Positions on Arms Market in Latin America
    Russia Developing Universal Platform for Combat Robots
    Russia to Send Nearly 700 Pieces of Military Equipment to Peru Exhibit
    Russian Company to Develop Heavy Drones
    New AK-74M Model to Be Unveiled at Victory Day Parade in Moscow
    Tags:
    Bombardier, Rostec, Sergei Chemezov
    Community standardsDiscussion
    Comment via FacebookComment via Sputnik