Upgrades and Revival: Current Situation in Russian Machine-Tool Building

06 May 2019
Upgrades and Revival: Current Situation in Russian Machine-Tool Building

Good Exports

According to the Government of the Russian Federation, exports allowed for an increase in the revenue of machine-tool building companies in 2018.


"Our machine-tool industry has performed well on exports with an increase of almost 17%. This is a very good result, but we still have fewer machines than we would have liked,"

— Prime Minister of the Russian Federation Dmitry Medvedev stated, as he presented the annual report on Government performance to the State Duma.


In 2018, enterprises launched new projects and upgraded existing facilities. Investors have publicized their projects in machine-tool building scheduled to be implemented in 2019 and the following years.

Tomsky Instrument Plant launched the production of equipment which used to be purchased exclusively outside of Russia / Photo courtesy of frprf.ru

For example, in the fall of 2018 Tomsky Instrument Plant (TIZ) launched the production of cutting tools used in CNC multifunction metalworking machines. Previously, Russian industrialists had to purchase these parts overseas.

The project received financial support from Russia's Industrial Development Fund (IDF).


"The Fund provided the company with RUB 130mln intended for the purchase of new equipment under the IDF Machine-Tool Building Program. The project's total budget exceeded RUB 325mln,"

IDF Director Roman Petrutsa said.

Lathe Expansion

TBS launched its facility for large parts assembly in St. Petersburg / Photo courtesy of stankoinstrument.ru

In 2018, Russia's Northwest also expanded its industrial capacity. TBS machine-tool plant (St. Petersburg) built a new line for the production of medium-duty equipment. TBS specializes in machine-tool engineering, production and modernization of metal processing equipment, etc.

Project investment constituted RUB 370mln and was used to construct facilities for high-precision parts processing and final assembly, lab testing, test benches, etc. TBS' alternative site accommodates mechanical parts processing and large parts assembly.


"The plant expanded its facilities to 15,000 sq.m by adding a new production site and increased its personnel by 20%," company representatives stated.


In 2019-20, TBS intends to boost its output by introducing new products reliant on approximately RUB 300mln worth of R&D spending, Kommersant reported.

Ryazan-based machine-tool builders expanded their production range following the installation of new equipment / Photo courtesy of stankoinstrument.ru

In 2018, Stankoservice, a Ryazan plant which manufactures lathe components, launched the production of spindles and opened a new processing center.

This expansion provides the company with the opportunity to take new orders for complex mechanical processing of non-rotational lathe parts.

Second Southern Wind

Industrialists have been initiating projects in Central and Southern Russia throughout 2019.

For example, the Industrial Group "Innovative Metalworking Technologies" (PO Innotekhmet) will launch the production of drive and stationary units in the Kaluga Region in the summer of 2019. The previous issue of INNOPROM VIEW provided detailed information on this company, which was nominated for the National Industrial Award INDUSTRIA in 2018.

The Krasnodar Territory also seeks to revive its machine-tool industry by breathing a new life into the Sedin Plant, which was the Region's leading machine-tool builder until 2014, when production operations came to a halt due to high indebtedness and lack of current assets.

Krasnodar Territory recommissioned production of equipment, including turning and boring mills / Photo courtesy of uzts-sedin.com

A new development project was designed specifically for this facility, and now it serves as the site of the Southern Heavy Machine Tool Plant operations.


"The Sedin Plant was a strategic enterprise and flagship facility not only for our region, but for the entire country. A joint effort allowed for the revival of its operations,"

Krasnodar Territory Governor Veniamin Kondratyev emphasized.

In the end of 2018, the Plant produced its first machine under contract with Belenergomash – BZEM. 2019 will be marked by the creation of up to 300 jobs and the launch of mass production of lathes and processing centers.

In the near future, investment in Krasnodar machine-tool building will constitute RUB 3bn.


"The plant is designed to produce modern high tech equipment, i.e. processing centers and CNC lathes for aircraft, aerospace, power and transport engineering, shipbuilding, metallurgy, and the defense industry. The plant is expected to reach its projected capacity in 2025,"

Denis Manturov, Minister of Industry and Trade of Russia, stated.

The latest developments in machine-tool building, cutting-edge metalworking tools and technologies, and production automation and robotization solutions will be presented at INNOPROM-2019 as part of its INNOPROM.METALWORKING segment.

The Republic of Turkey will serve as the Partner Country of Tenth Anniversary INNOPROM. Digital Manufacturing: Integrated Solutions is the main theme of the exhibition and its business program. We invite your participation in INNOPROM-2019, which will be held on July 8-11.

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