United Shipbuilding Get Order for 5 Russian Nuclear Subs

Ria Novosti
Tuesday, May 29, 2012

Russia’s Defense Ministry has contracted United Shipbuilding Corporation (USC) to deliver five new Borey class (Project 955) strategic nuclear submarines

On May 25, it was reported by Ria Novosti that the ministry and the USC failed again to agree final contract terms for Borey delivery, despite the intervention of President Vladimir Putin, but in a swift turnaround USC spokesman Alexei Kravchenko has told Ria Novosti he had information that the contract for the five submarines had been signed.

The Russian Navy is to receive at least 10 new Borey class strategic nuclear submarines by 2020. The submarines, to be armed with Bulava ballistic missiles, are expected to constitute the core of Russia's strategic ballistic missile submarine force after 2018.

Then-prime minister Putin said last year that the procurement of new warships and submarines for the Navy would be a priority over the next decade.

The Russian government has allocated five trillion rubles ($156 bln) or a quarter of the entire armament procurement budget until 2020 for this purpose.

The signing of a contract for delivery of the Borey submarines has been repeatedly postponed due to the pricing dispute between the Defense Ministry and defense industry enterprises.

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