As we have previously reported, with effect from June 30, 2018, Russian state-owned companies must obtain approval from the Government Import Substitution Commission in order to procure certain goods, including aircraft.
According to the new Order of the Russian Government No. 1489-r dated July 18, 2018 such approval is required for the procurement of:
- Aircraft – if the contract price starts above RUB 200 million (approximately USD 3 million)
- Propulsion systems, engines, stationary flight simulators and their parts – if the contract price starts above RUB 5 million (approximately USD 80,000)
As expected, procurement of almost any type of foreign aircraft currently operated in Russia, including business jets, now requires this approval.
Please do not hesitate to contact us with any questions.