Uralvagonzavod tanks reduced civilian production by 7,000 units

In the year prior, major freight car producer Uralvagonzavod [UVZ], shifted its focus towards demands of the Ministry of Defense. UVZ dramatically reduced its freight car output by 50% in 2022, with a decreasing trend that pushed into 2023. This occurred despite a growing market following the previous year’s slump. 

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Reported figures from the news agency Rollingstock, as cited by Forbes, noted a significant drop in production by 47.8% to a total of 7,200 units. Consequently, UVZ’s market share dwindled from 21.9% to 14.4%. One contributing factor to the decreased production in the past year is UVZ’s pivot towards state defense orders in the aftermath of what Russia refers to as the “special operation” in Ukraine. The company has since been regularly updating the Ministry of Defense regarding the dispatch of additional tank units. 

In September, UVZ circulated news about the revival of T-80 tanks production, tanks that were initially made during the latter half of the 20th century. Photographic evidence of the maiden batch of shielded vehicles destined for military use was released by the company in the early part of November.

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Production continues

In 2022, the manufacturing of freight cars has seen an overall decrease at UVZ production facilities. However, the production line hasn’t come to a halt, asserts Alexander Polikarpov, the managing partner at Rollingstock Agency. 

Polikarpov remembers that nationwide, the previous year witnessed a sharp decline in freight car manufacturing, a substantial 20.4% drop down to 50,200 units. The top producing company, United Carriage Company [UWC] saw an even larger decrease, with its production down by 53%, resulting in just 8,200 units. In contrast, Altaivagon, another key player in the market and the third-place holder in 2021 ramped up their production by a noteworthy 17.7%, manufacturing 9,800 units.

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In 2023 it will be almost the same

In 2023, as reported by Rollingstock, the civilian railcar manufacturing sector started to witness a bounce-back. Following the evaluation of the first nine months, the industry experienced a notable 26.3% year-on-year surge, amounting to a total of 45,000 railcars. 

Notably, during this period, Altaivagon managed to manufacture 7,500 freight cars. Based on Rollingstok’s projections, the company is expected to exceed a production quota of 10,000 cars by year-end, surpassing its previous year’s yield. 

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Meanwhile, UWC has been highly productive, manufacturing 11,900 railcars in just nine months. Surprisingly, this figure surpasses the total output for the entire year of 2022. On the other hand, UVZ has seen a slump in their production, recording a downfall of 25% over three quarters, resulting in a disappointing figure of 4,400 units.

Uralvagonzavod disagrees

Contacted for a response to claims of decreased civilian goods production, Uralvagonzavod [UVZ] staunchly refutes them. “We’ve actually seen a steady uptick in our civilian production with quite the array of products on offer,” UVZ’s media team tells Kommersant-Ural

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A key player in their civilian lineup is the platform wagon, specializing in ferrying cargo, timber, and steel constructions. UVZ is also taking the lead in creating a new generation of closed freight wagons. 

UVZ’s media team further elaborates, “We’re not just meeting, but fulfilling orders for cars, platforms, and a variety of other rolling stock products. Our workshops are buzzing with activity.”

The “armored” Uralvagonzavod

Renowned as the premier manufacturer of armored weapon systems and cargo rolling stock in Russia, Uralvagonzavod operates from its main plant in Nizhny Tagil, situated in the Sverdlovsk Region. 

This outstanding firm combines the efforts of over 40 enterprises, including design bureaus and research institutes, both within Russia and internationally. As a crucial part of the state corporation Rostec, Uralvagonzavod is set apart by its exceptional offerings. Its production line ranges from tanks and armored vehicles to unique metal-cutting tools and extraordinary non-standard equipment.

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