Why Import Substitution in Russia Turned Out to Be a Fiction
russia has failed to overcome import dependency in any sector — in some areas, the need for foreign technologies and equipment has even increased.
▫️As acknowledged by the russian presidential academy of national economy and public administration, dependency on imports has increased most significantly in coal mining, pharmaceuticals, the textile industry, and tobacco production.
In reality, import substitution turned out to be just another propaganda talking point. The russian industrial sector is fundamentally unable to launch domestic production of many goods and components. Even in cases where import substitution has been formally declared, it usually refers to the use of minor, locally made components.
With the projected slowdown in GDP growth and the ongoing bloody war against Ukraine, the chances of real import substitution are becoming even less likely.
