Page 148 - RusRPTJan23

CEO of Airbus Defence & Space, Michael Schoellhorn.
So far titanium supplies were not directly sanctioned by the West for Russia’s military invasion of Ukraine. But the US plane maker Boeing previously in March announced its suspension of purchases of titanium from Russia.
Previously, Boeing was set to deepen its co-operation with VSMPO-Avisma, Russia's titanium producer. As followed by bne IntelliNews, the US major in 2018 intended to spend $27bn on direct purchases in Russia out to 2038, with $18bn allocated to titanium purchases.
Until now the international plane makers have been relying on stockpiles of titanium, and it remains unclear where they can source more non-Russian titanium.
All in all, the ban could be agreed upon by the end of next week, as European authorities hope. Separately, the new sanctions package might include the restrictions on three more bank’s transactions, as well as against 180 individuals, and export controls on civilian technologies.
9.1.12 Transport sector news
Russian metallurgy companies and coal exporters struggled with a triple whammy of cargo bottlenecks, discounts triggered by sanctions, and longer transit routes in December triggering demands for new subsidies, reports Vedomosti on December 8.
Steelmakers reduced exports to Asia significantly to make exports profitable again. Russian coking coal was reportedly selling in India with discounts of up to 60-70%, making sales unprofitable.
Russian Railways (RZD) may receive subsidies from the budget to provide steel companies with discounts on tariffs for transporting their products to the Far East, which are now low-margin, according to the executive director of Russian Steel (the lobby of large ferrous metallurgy enterprises) Alexei Sentyurin at a meeting of the coordinating council of the metallurgical industry at the Ministry of Industry and Trade, held on November 9, reports Vedomosti. According to him, this idea of Russian Steel was supported by the Deputy General Director of Russian Railways Alexei Shilo (responsible for cargo transportation) following a meeting in the monopoly on October 31.
The fact of the proposal to reduce Russian Railways tariffs at the expense of a budget subsidy was confirmed by Vedomosti's sources in two metallurgical companies.
148 RUSSIA Country Report January 2023 www.intellinews.com