Published: 9/25/1998

The Russian titanium giant, composed of VSMPO of Vekhnaya Salda and AVISMA joint-stock companies, feels quite comfortable in the tough conditions of the Russian weather, financial and political climates. Last year the consortium sold 80-85% of its titanium output to Boeing, Airbus, General Electric, Rolls-Royce, SNECMA and other western companies. In 1997, the Russians sold 9,072 tonnes of titanium products to foreign companies . VSMPO's yearly output of titanium and aluminium stays at 20,000 tonnes, with the share of ferrotitanium and titanium being 67%, which is about 30% of the world total. The biggest buyer of Russian titanium is Boeing. Robert Spitzer, vice-president at Boeing Commercial Airplanes, has said 25% of titanium parts in the 777 model are made of Russian metal. This year VSMPO should deliver titanium alloys worth $200m to Boeing. So far, the bulk of exported metal has been prepared in accordance with American and European standards, but work continues on the international certification of indigenous production, notably for use on Boeing aircraft. Aleksei Andreyev, chief of the foreign economic activity department at VSMPO, told ConCISe that the investment in the development of its production facilities and techniques in the last three years amounted to $30m, including $10m in 1997. (IN998.2) (VK)

Article ID: 272