Russia Spends at Least $3 Billion on Kamikaze Drones – Defense News

1 August 15:44

The Russian Federation has invested more than $3 billion in the development of the drone industry, including the Shahed kamikaze drones (Geranium-2 in Russian). This was reported by Defense News, citing sources in the defense sector, "Komersant Ukrainian" reports.

Over the period 2022-2025, the Kremlin has officially allocated at least 243 billion rubles (over $2.6 billion) to deploy UAV production. Another 112 billion rubles (approximately $1.38 billion) is provided for in the budget for 2025-2027. These funds allegedly do not include expenditures on drones, which are included directly in the Russian military budget.

More than 900 companies are involved in the production, and in many cases, the funding is disguised as “civilian” programs, such as the development of UAVs for the agricultural sector. This allows Russia to circumvent some of the sanctions and increase production.

Growth rates
According to Defense News, in just one year – from 2023 to 2024 – the production of drones in Russia increased by at least 2.5 times, and long-range drones – by at least 5 times.

Analysts pay special attention to the so-called “Alabuga” – a special regime zone where one of the key hubs for the production of “Shaheds” is located. It employs tens of thousands of workers involved in the assembly and testing of Iranian drones adapted for Russian production.

In addition, Russia plans to spend another 21 billion rubles to create a network of research centers in the field of unmanned technologies – formally “scientific” but with real military applications.

Context
These figures indicate Russia’s systematic and long-term reliance on the use of drones in the war against Ukraine. In particular, the Shahed kamikaze drones are actively used to attack Ukrainian energy and civilian infrastructure.

Марина Максенко
Editor

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