The United States of America (US) has leapt ahead of Russia as India’s biggest supplier of new weaponry. A recent report from Parliament’s Standing Committee on Defence reveals that, during the last three years, US firms concluded 13 contracts with India, worth Rs 288 billion. In the same period, Russia got 12 contracts, valued at just Rs 83 billion — not even one-third of the US bag. Now Moscow’s share could decline further, with New Delhi being squeezed by the threat of US sanctions against countries that buy weaponry from Russia.
These sanctions are embedded in legislation — titled “Countering America’s Adversaries Through Sanctions Act” (CAATSA) — that the US Congress passed in mid-2017. While CAATSA is directed at Russia, Iran and North Korea, it is the Russian component of the law that most concerns India. It enjoins the US administration to impose sanctions against countries that engage in “significant transactions” with Russian defence and intelligence entities. India is highly vulnerable to that charge, with its military heavily dependent upon the purchase from Russia for spares, maintenance, and overhaul of its roughly 6,000 tanks and infantry combat vehicles, artillery and air defence guns, warships, submarines and large numbers of fighter and transport aircraft and helicopters. It would be no exaggeration to say that without large purchases from Russia, India’s military would grind to a halt. In addition to keeping its legacy fleet running, India is exploring crucial new transactions from Russia, such as the lease of a nuclear submarine, the purchase of 200 Kamov-226 helicopters and the S-400 Triumf advanced air defence systems.
Intriguingly, recent days have seen a resurgence of chatter in the strategic community about the possibility of India being sanctioned under CAATSA. It is speculated that India’s proposed purchase of the S-400 Triumf has caused red lights to start flashing in Washington DC. Like CAATSA itself, the S-400 proposal is not new; the defence ministry cleared it in principle in December 2015 and negotiations have been ongoing since then. But Defence Minister Nirmala Sitharaman’s visit to Moscow last month and Prime Minister Narendra Modi’s Monday meeting with President Vladimir Putin has heightened anticipation of an imminent contract. Washington insiders say that top US administration officials might be willing to condone procurements like Kamov light helicopters, arguing that is not a “significant transaction”. But the S-400 Triumf, which is an upgraded version of the S-300 missile system that China’s military uses, and which is a key preoccupation of US Air Force planners could never be accorded an exemption. Besides, the estimated $4.5 billion value of such a contract could hardly be ignored by Washington.
These sanctions are embedded in legislation — titled “Countering America’s Adversaries Through Sanctions Act” (CAATSA) — that the US Congress passed in mid-2017. While CAATSA is directed at Russia, Iran and North Korea, it is the Russian component of the law that most concerns India. It enjoins the US administration to impose sanctions against countries that engage in “significant transactions” with Russian defence and intelligence entities. India is highly vulnerable to that charge, with its military heavily dependent upon the purchase from Russia for spares, maintenance, and overhaul of its roughly 6,000 tanks and infantry combat vehicles, artillery and air defence guns, warships, submarines and large numbers of fighter and transport aircraft and helicopters. It would be no exaggeration to say that without large purchases from Russia, India’s military would grind to a halt. In addition to keeping its legacy fleet running, India is exploring crucial new transactions from Russia, such as the lease of a nuclear submarine, the purchase of 200 Kamov-226 helicopters and the S-400 Triumf advanced air defence systems.
Intriguingly, recent days have seen a resurgence of chatter in the strategic community about the possibility of India being sanctioned under CAATSA. It is speculated that India’s proposed purchase of the S-400 Triumf has caused red lights to start flashing in Washington DC. Like CAATSA itself, the S-400 proposal is not new; the defence ministry cleared it in principle in December 2015 and negotiations have been ongoing since then. But Defence Minister Nirmala Sitharaman’s visit to Moscow last month and Prime Minister Narendra Modi’s Monday meeting with President Vladimir Putin has heightened anticipation of an imminent contract. Washington insiders say that top US administration officials might be willing to condone procurements like Kamov light helicopters, arguing that is not a “significant transaction”. But the S-400 Triumf, which is an upgraded version of the S-300 missile system that China’s military uses, and which is a key preoccupation of US Air Force planners could never be accorded an exemption. Besides, the estimated $4.5 billion value of such a contract could hardly be ignored by Washington.
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