Drones do not reach Russia

As Kommersant found out, restrictions on the export of drones introduced by the Chinese authorities seriously complicated their deliveries to Russia and led to a shortage of a number of components, such as thermal imagers. Large Russian drone manufacturers have managed to create significant reserves and hope that their suppliers in China will be able to obtain licenses for export to the Russian Federation, but registration may take up to a year. To do this, it is necessary to prove that the drone will not be used for military purposes. Sellers of Chinese drones in the Russian Federation are trying to establish parallel imports. However, some complain that Kazakhstan recently tightened the import procedure.

As Kommersant learned, restrictions on the export of drones introduced by China from September 1 led to the suspension of supplies of components and drones themselves weighing more than 4 kg. There is already a shortage of certain types, including agrodrones, which weigh on average 30–40 kg and are still produced in the Russian Federation in single copies.

China’s Ministry of Commerce on July 31 announced it would impose export controls on high-performance unmanned aircraft (UAVs) that could be used for military purposes. As indicated in the clarifications published by the ministry, control over the supply of drones weighing from 4 kg or a maximum take-off weight of 7 kg with a flight duration of more than 30 minutes will be tightened for two years.

The list included UAVs capable of “carrying a load with a release function or with the ability to attach such a device.” Also, suppliers of multi- and hyperspectral cameras for drones (used, among other things, for filming for agriculture and forestry) will have to obtain permission. In addition, supplies of powerful on-board radio equipment, infrared cameras, thermal imagers, as well as laser ranging and positioning modules are limited.

To be able to export equipment, the Chinese supplier must obtain a license from the Ministry of Trade of the People’s Republic of China and permission from the customs service, including information about the final recipient. The Ministry of Commerce checks the recipient for presence on sanctions lists “related to military activities or actions undesirable for China” and requests financial reports and corporate documents.

If a Chinese exporter violates the license requirements, he faces administrative liability, and in case of intentional violation, criminal liability. At the same time, the Chinese authorities prohibit the export of any drones, regardless of characteristics, if they are used for military purposes. This circumstance, according to market participants interviewed by Kommersant, led to the suspension of supplies even of those products that do not fall under the imposed restrictions.

Most of the large drone manufacturers in the Russian Federation assured Kommersant that they had replenished stocks of parts in advance even before the new rules came into force. As one of the companies explained, they are now waiting “to receive information on the supply of thermal imagers, but there is no understanding as of mid-September.” Some interlocutors clarified that their suppliers are now trying to begin obtaining licenses.

Consideration of applications and preparation of documents, according to Kommersant sources, can take from six months to a year, but there are already those who have succeeded. The permit is issued for six months with the right to extension, says Ramil Shevokhutdinov, founder of the representative office of the agricultural drone manufacturer Jtilep in the Russian Federation, where they began to issue a license long before September 1. According to him, if during the validity period of the license the agricultural drone “somehow ends up in a combat zone, the supplier will turn it off and terminate the contract with the buyer,” and the Chinese government services responsible for the process will revoke the permit and block the supplier and the buyer company.

To speed up the process, Mr. Shevokhutdinov believes, purchasing companies can turn to intermediaries in other countries. But this scheme increases the delivery time of equipment by several weeks and doubles the cost.

The rise in prices also affects domestic manufacturers working on a foreign component base. A number of them are already warning their clients about price revisions of at least 20% due to changes in exchange rates, says Tigran Israelyan, CEO of the security systems marketplace Techklyuchi.RF. The situation is really heating up, states the General Director of Transport of the Future (TB, a structure of the product manufacturer Efko) Yuri Kozarenko.

So far, TB “maintains normal relations” with Chinese suppliers and deliveries are being made before September 1. But the company has already felt a change in work with customs, treasury services and banks of the PRC: “It has become much more difficult to let people through, fearing both cancellations of deliveries and possible inspections.” The situation will improve when full-scale production of components begins in the Russian Federation, Mr. Kozarenko believes, adding that the equipment necessary for this is not subject to restrictions.

In August, manufacturers exported in bulk everything they could, notes RuDrones CEO Dmitry Datsykov: “Cameras, sensors, engine controllers, counter-aircraft devices.” Now they state that the reserves will be enough for one or two quarters. The prospects for further supplies, he said, are not yet understood by either Russian importers or Chinese exporters, who do not want to take responsibility for the final recipients.

Other market participants note that establishing a screwdriver assembly of drones in the Russian Federation will take time and increase the cost of products. Several Kommersant interlocutors complained that regulators, in particular the Ministry of Industry and Trade, do not participate in negotiations with colleagues from China and do not contribute to the establishment of supplies. The Ministry of Industry and Trade did not answer Kommersant. A number of manufacturers and sellers in the Russian Federation noted that as warehouse stocks are exhausted, they hope to be able to order on Aliexpress, but there are no guarantees of receiving them yet.

Kommersant called about ten retailers of agricultural, monitoring and industrial drones, including Paragraf, Spb-geon, RusGeoСom, IQmac. In a number of cases, products are missing or remain in piece quantities; prices have increased by up to two times. For example, prices for the most popular DJI and XAG agrodrones in the Russian Federation, which left the Russian and Belarusian markets, almost doubled, but they continued to be imported through Kazakhstan.

Recently, according to three sellers, suppliers from Kazakhstan notified them that they would cease shipments due to tightening controls over dual-use products. As a result, out of eight stores, two remained with two DJI Agras T30s. If in the summer a T30 with four batteries was offered for 1.8 million rubles. (currently out of stock), now the price for a set with three batteries is already 2.9 million rubles.

The situation is similar with Supercam hexacopters, which are used to create orthophotos, monitoring and patrolling. Two sellers indicated that they no longer import them, three more dealers indicated that they were resolving issues with pre-orders, but the timing was unclear. The two suppliers, who still have three drones, have promised to publish prices after they are “revised.” The most common drone, DJI Mavic 3, weighing less than 1 kg, according to sellers, has risen in price by an average of 20% over the month, to 250 thousand rubles.

There were less than ten units left in the warehouses of five companies surveyed by Kommersant. They reported that they were looking for alternative supply channels. Another distributor said they have at least a hundred Mavics in stock. According to two sellers, they are awaiting delivery of Autel Evo Nano small monitoring drones, which are not formally subject to restrictions, but their suppliers in China are slow to ship.

Aigul Abdullina