Ensuring Import Substitution Objectives in the Purchase of Industrial Equipment

Abstract: This scientific paper describes the features of the import substitution process in the framework of purchases of industrial equipment in Russia, as well as the regulatory and legal features of the import substitution policy. It is found that Russian enterprises can choose from three import substitution strategies (localization of production, replacement of equipment if possible or necessary), while each of them strives for the strategy that brings it the lowest costs. A sociological study was also conducted aimed at studying the features of import substitution in the procurement of drilling equipment. It has been established that the degree of localization of production in this sub-sector of industry is quite high, all units can be replaced, albeit with loss of quality or profit. In addition, certain regulatory legal acts regulating the process of import substitution in Russia have been studied. It has been established that the regulatory legal acts regulating import substitution in the Russian Federation are quite chaotic. A number of regulations lead to excessively strict adherence to the policy of import substitution to the detriment of production profits, as well as to a slowdown in the public procurement process. It is also determined that a number of regulations exempting from the need to follow the policy of import substitution are often associated with the needs of individual Russian departments. Keywords: Import substitution, import substitution policy, industrial equipment, degree of localization, purchase of equipment, product quality, regulatory legal acts, resolutions of the Government of the Russian Federation.