India Signed a G2G Contract with Russia for the Procurement of S-400 Missile Systems

India is to procure five S-400 Triumph Air Defence Missile Systems from Russia as part of the agreement. The G2G Contract was signed during the 19th India-Russia bilateral summit with the participation both of the Russian President Vladimir PUTIN and Indian Prime Minister Narendra Modi on Oct. 5. The S-400 System deliveries to India will begin within 24 months according to Air Chief Marshal BS Dhanoa from the point of signing the contract

Date: Issue 87 - December 2018

Concurrent with the official statement, Rosoboronexport released a written statement on 5th October.  In regard to the agreement, the Head of Rostec State Corporation, Sergey CHEMOZ said that “The S-400 supply agreement with India is a new landmark in the history of military-technical cooperation between our countries. The deal demonstrates the highest level of trust and understanding between India and Russia. I am sure that this agreement will also be a new impulse for strengthening and deepening our cooperation in civil industry.” 

The main advantage of the S-400 lies in its versatility. The system is able to engage both all types of aerodynamic targets and ballistic missiles, up to intermediate-range ballistic missiles. The Triumph is far superior to its foreign counterparts in maximum engagement range and minimum engagement altitude, emplacement/displacement time, as well as in a number of other key characteristics.

“The contract for the supply of S-400 Triumph air defense missile systems to India is the biggest for the entire period of military-technical cooperation between Russia and India and the largest in history of Rosoboronexport. Today we begin to execute it” said the Head of Rosoboronexport, Alexander MIKHEEV.

Regular meetings between the leaders of Russia and India give strong impetus to the development of relations between the countries and play an important role in expanding and strengthening military-technical cooperation, which has been underway since 1960. Since then, exports of Russian military products to India have exceeded $65 billion. 

Aside from the deal of the S-400 Systems, the two parties have signed eight pacts ranging from defence, nuclear energy, space and economy.  

“Rosoboronexport is ready to cooperate with India in any area. At the moment, a number of other major contracts for the supply of Russian weapons to India are in the final stages of preparation and we hope they will be signed soon,” Alexander MIKHEEV said.

The Delivery Schedule of the systems is expected to be launched in the next two years from the point at which the contract is signed. According to PUTIN’s foreign policy aide Yury USHAKOV “The value of the contract will be more than $5 billion”. 

Contrary to this agreement, the purchase of Russian defence equipment are proscribed under a US law called Countering America’s Adversaries through Sanctions Act (CAATSA), which was signed by President Donald Trump in August 2017, as part of a batch of sanctions on Iran, Russia and North Korea. China has already been affected by the sanctions for purchasing weapons from Russia including the S-400 systems as well.  The US has also uninterruptedly warned Turkey of a sanction against its deployment of the S-400 Systems on the border. 

Besides that, United States Congress  passed the National Defense Authorization Act-2019 (NDAA-19) on 24th July, 2018 which paves the way for a waiver for India from punitive actions from the Countering America’s Adversaries Through Sanctions Act or CAATSA, under which sanctions kick off on countries that purchase significant military equipment from Russia.

If the US allows India a waiver, other countries will press for similar concessions. President TRUMP hasn’t signed the law  yet but as it seems the tension will either increase or decrease and it will determine the approach of President TRUMP.