Russia’s reliance on imported microchips will persist

Significance

Government financial and institutional support has fostered rapid growth in the sector. However, most production is oriented toward supplying the defence industry, which is growing rapidly due to the demands of the war with Ukraine.

Impacts

• Russia will continue to import large volumes of microchips from Belarus and China.
• The defence industry can access sufficiently advanced chips to sustain military production.
• The limited availability of high-end chips could hamper Russia’s AI ambitions.