Electronics change the circuit board – Newspaper Kommersant No. 23 (7468) dated 02/08/2023
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The Ministry of Industry and Trade proposed to increase the annual maximum amount of subsidies to developers and manufacturers of electronics from 350 million to 1.5 billion rubles. Also, companies will be allowed to extend the terms of development and production of electronics if it is impossible to ensure the production of components for it at foreign factories. This will allow market participants who do not have time to implement projects due to sanctions to avoid lawsuits from the ministry in case of project delays, lawyers and market participants say.
Kommersant got acquainted with the draft government decree developed by the Ministry of Industry and Trade and published for public discussion on the regulation.gov.ru portal. It follows from it that the authorities want to change the mechanisms for supporting Russian developers of electronics (servers, data storage systems, laptops).
The document amends the 109th government decree, which regulates the allocation of subsidies for the development and production of electronics by Russian companies. In particular, the Ministry of Industry and Trade intends to increase the size of the annual subsidy from 350 million rubles. per year up to 1.5 billion rubles. (in case of approval of the project of the government commission for digital development).
The ministry also proposes to expand the conditions under which the recipient of the subsidy can revise the deadlines for fulfilling the requirements of the decree regarding the production and commercialization of products. If the organization proves to the ministry that it cannot manufacture or order microelectronics necessary for the project at foreign factories, the implementation period may be extended.
The new resolution also expands the very concept of “products”, introducing software and hardware systems (HSS) into it, notes Alexey Stankevich, partner of Orchards: “At the end of last year, PAKs began to be included in Russian software registries, which allowed developers to qualify for tax benefits.”
The Ministry of Industry and Trade explained to Kommersant that the amendments specify the circumstances that affect the timing of the project, “together with the expert community, reduce the risks of default on obligations for reasons beyond the control of organizations.”
A Kommersant source close to the ministry clarifies that Russian electronics manufacturers who have received subsidies use, among other things, components of domestic design, formally considered Russian, which are produced at foreign factories that refused to cooperate with customers from the Russian Federation: “Entering foreign factories now difficult, and no one undertakes to predict how long, for example, processors ordered abroad will reach Russian electronics developers, and whether they will reach at all.
Electronics developers also encountered difficulties in purchasing purely foreign components, which is why they have to change the design, says Maxim Koposov, director of the Promobit company: “For example, before the sanctions, we designed the motherboard taking into account some components, and after the sanctions we had to use others. Because of this, it was necessary to redesign the board, which increased the development time and cost.” Mr. Koposov adds that in the case of motherboards, the price of their development has increased by an average of 20 million rubles.
Zelax President Sergey Sukhman says that he already knows a number of cases when Russian electronics developers, who received subsidies from the Ministry of Industry and Trade before sanctions restrictions, could not fulfill the requirements for the production of products due to problems with the supply of components from abroad: “This puts companies under the threat of lawsuits from the ministry.”
The Ministry of Industry and Trade is afraid of responsibility to departments that will check the effectiveness of spending funds to support domestic electronics developers, says a top manager of one of the Russian manufacturers of telecom equipment: “According to the current version of the resolution, the Ministry of Industry and Trade may be guilty of spending funds on the development of electronics, which is only in a project, not in a commercial batch. This may raise questions from the Treasury, which is accountable to the Ministry of Finance.”
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