Rus is shafting china over iL76 to extract a higher price + they are many years late .
from a sino defence forum. http://www.sinodefenceforum.com/air-for ... 6-197.html
Russian-Chinese deal of 38 Ilyushin aircraft suspended (repeat)
Moscow. May 14. INTERFAX-AVN - The execution of a contract for the sale
of 34 Ilyushin Il-76MD military transport aircraft and four Il-78 tanker
planes by Russia to China has virtually grounded to a halt, Viktor
Livanov, the general director of the Ilyushin aircraft company, told
The sale of the planes at the price indicated on the contract will
inflict huge losses on the company, Livanov said. "Discussions are
underway, including with the Chinese side, on how to implement the
contract in this situation," he said.
Aircraft production costs have soared as prices for materials and
components have risen significantly recently, and the dollar exchange
rate has simultaneously gone down, Livanov said. All these factors have
made the contract unprofitable, he said.
The contract to ship 38 planes to China was signed in September 2005.
Experts estimated its value at about $1.5 billion. The first planes were
supposed to be shipped to China in 2007, and the contract should be
implemented by 2012.
China confirmed the contract's validity in February 2007, but Russia has
not yet done so. The first plane is supposed to be shipped to China 16
months after the contract is mutually confirmed.
As the Tashkent aircraft manufacturing association has proven unable to
fulfill the contract, the transfer of the Il-76 production to Ulyanovsk
is now under consideration.
Russia Raises Jet Export Prices for China
Russia is to review terms for a $1 billion deal to sell 38 transport aircrafts
to China. The Russian side has decided to set up production of the jets in
Russia instead of Uzbekistan and drive up the contract's price to $1.5 billion.
Russia is going to suggest reviewing terms for a $1 billion contract with China
to deliver 34 Il-76 troop-carriers and 4 jet refuellers to Beijing, a Kommersant
source reported Tuesday. The deal was signed between Rosoboronexport and the
Chinese Defense Ministry in 2005.
Director of the Russian Industry Agency Boris Aleshin has confirmed the
information, saying that all the jets are going to be produced at a plant in
Ulyanovsk. The first jet is to be sent to China in 2010, not in 2007 as was
planned. Mr. Aleshin explained that Russia decided to transfer production from
Uzbekistan to Russia as jets will be offered "in a new technical package."
Therefore, the price of the contract is subject to review, the official added.
A source of Kommersant in the military industry said on Tuesday that the Il-76
jets for China are to be equipped with the newest PS-90 engines instead of older
D-30s. The source also said that the parties would discuss increasing the
contract price by $500,000 million.
United Aircraft Building Corporation President Alexey Fyodorov said in an
interview with Kommersant that Russia and China would discuss the contract in
the nearest future.
Industry experts predict that Beijing will agree to new terms, but will bargain
better terms for other military deals with Russia.
Meanwhile irrespectively of the Chinese answer Russia is arranging manufacturing of Il-76 in Ulyanovsk. The upgraded aircraft, which will meet all possible technical requirements in the foreseeable future, is needed by the Russian Air Force. Ilyushin estimates the market of Il-76 and its modifications at 150 units before 2015. Half of that accounts for the Russian Air Force. However, Ilyushin admits that it will take longer, probably up to 2025 to satisfy this demand. By 2009 the government will allocate RUB 6.4 billion for establishing serial manufacturing in Ulyanovsk. Victor Livanov called these allocations “all necessary means”. As of today Ulyanovsk based Aviastar plans to make 10 Il-76 of different modifications from 2012.
This development goes parallel to the development of another manufacturer of Ilyushin aircraft. In particular, by 2015 Voronezh based VASO intends to hire over 7000 people due to the increase of the production. Totally the plant will employ 16000-20000 staff. Recently the United Aviation-building Company approved the production program for VASO. Before 2015 it includes production of the small military-transport Il-112, long-haul Il-96 (transport and passenger), Russian-Ukrainian medium An-148, blocks for Sukhoi Super Jet - 100 and parts for Airbus. In total it is planned to make 262 planes of different types. Finally, but very importantly, VASO is likely to participate in the construction of the new generation regional plane of MS-21 from 2012. This aircraft is deemed as the core of the Russian breakthrough in the civil aviation.
so in the end with all this hu-ha, the chinis will get their 38 IL76 order fullfilled in 2025, which indicates only 2 ac delivery every year - if the Rus are not lying to avoid hard work