281. Military Effects Of Economic Sanctions On Russia
- Author:
- Davit Shatakishvili
- Publication Date:
- 01-2022
- Content Type:
- Commentary and Analysis
- Institution:
- Georgian Foundation for Strategic International Studies -GFSIS
- Abstract:
- Russia’s military industry is a fundamental factor of its national power. The enterprises operating in its defense sector are largely state-owned. Consequently, Russia’s sizeable military corporations and their subsidiary organizations operate not on the principles of a competitive domestic market, which is one of the key foundations of technological progress, but their main goal is to pursue Moscow’s political interests and ensure the stability of the regime. Accordingly, along with military capabilities, having a powerful economic leverage in the form of energy resources, encourages Russia not only to pursue its own economic interests but also intimidate neighboring countries and extort their territories to satisfy its imperialist intentions. The responsibility of the defense industry in Moscow’s current governing model is exactly on what the Russian government itself has based its legitimacy - military modernization, restoring Russia’s strength and greatness. One of its ill-favored manifestations is the military aggression in Ukraine which is claiming the lives of thousands of innocent people. The unprecedented scale of sanctions imposed by the West will clearly affect Moscow’s defense capabilities but the only questions are - when and to what extent? Russian military production, on the one hand, helps the country to pursue an aggressive foreign policy and, on the other hand, arms exports are an important source of country’s budgetary revenues. At the same time, this allows it to exert political influence over the purchasing states. The collapse of the Russian attack on Ukraine may not only sacrifice the hegemonic goals of the latter but also lead to the loss of existing and potential customers of its military weapons. There is no doubt that Russia is experiencing colossal military losses as a result of the war and, at the same time, questions are being raised about the quality of its arms and heavy equipment. Until now, there has been a consensus that Russian armaments were a viable and affordable alternative to Western weapons, although this statement could also be another victim of the war. As a result of the sanctions, Russia faced not only financial but also technical problems. In addition to Western countries, Asia’s leading technology powers have restricted Russia’s access to critical components needed for military production. Existing restrictions apply to advanced technologies such as semiconductors, telecommunications equipment, software and encryption, microelectronics, aviation systems, oil extraction equipment and other manufacturing components. In this context, it is important to discuss the impact that economic sanctions may have on Russia’s military capabilities, its recovery prospects and its aggressive foreign policy in the future.
- Topic:
- Sanctions, Military Affairs, Economy, and Russia-Ukraine War
- Political Geography:
- Russia, Ukraine, and Eastern Europe