SIBERIAN MACHINE BUILDING INDUSTRY: Military Conversion in Process

by Ella Amosenok, Victor Bajanov, and Ludmila Veselaja

Despite Siberia being known primarily for its oil and gas industry, it has enterprises operating in nearly all the major machine building, metal fabricating and repair industries, which together produce approximately one quarter of these regions' total industrial production. Until 1992 Siberian enterprises turned out almost one fourth of aggregate industrial production, but by 1994 this figure decreased to 8.3%. The regional machine-building industry is based on scientifically intensive production. However this industry also produced small quantities of consumer goods, and the share of this industry began rising in 1989. Today, nearly 85% of Siberian-produced consumer goods are manufactured in military factories. Eastern Siberia is more "military" than Western. Taken as a whole, however, the Siberian military industrial complex is more "civilian" than in the Russian Federation and its enterprises have begun the "defense conversion" process. Often they simply lack the money and equipment to change over successfully.