India Concluded S-400 air defense missile systems deal for USD 6 Bn with Russia

Finallye deal has been cut. According to the Pravda, Russia plans to ship several regimental sets of S-400 air defense missile systems to India. The deal is evaluated at about $6 billion, sources at the Russian Ministry of Defense told RBC. "It goes about five regiments, which is ten divisions," the source said. Most likely, Russia and India will announce the deal prior to the summit of the leaders of the two countries in October of this year.

In October 2015, it was reported that India's Defence Acquisition Council would acquire 12 units of S-400 for its defence needs. However, on 17 December 2015, it was confirmed that the final order would be for 5 units rather than 12 units, as it is considered to be adequate for India's defensive needs. The deal is worth US$5.5 billion.

On 15 October 2016, on the sidelines of BRICS Summit, India and Russia signed an Inter-governmental Agreement (IGA) for the supply of five S-400 anti-aircraft missile systems and the final discussion of terms of the contract was underway as of 2 June 2017.

In April 2018, Russian and Indian media reported a deal was close to being reached, and the deal was expected to be signed before a summit involving the leaders of the two countries in October 2018.

India may thus receive "four regimental S-400 sets and a mixed-strength regiment complete with ammunition and spare parts," a source at the Defense Ministry said. On Monday, the parties signed a memorandum of intent. The cost of the entire contract will make up $6.2 billion, RBC said.

An Indian source familiar with the course of negotiations said that the coordination of the S-400 deal goes through the final stage. The only "stumbling block" for the deal is the risk for India to fall under US sanctions in connection with the federal law from 2017 "On Countering America's Adversaries Through Sanctions Act." (CAATSA). In accordance with the law, the USA may impose sanctions on the countries that enter into large-scale contract with Russian defense industry companies.

Meanwhile, Mac Thornberry, the Chairman of the House Armed Services Committee, said that the US was disappointed that India concluded a contract with Russia for the delivery of S-400 Triumf air defense missile systems. However, he added, sanctions on India are unlikely to follow. At the same time, the purchase of Russian missile defense systems would complicate India's access to US military technologies, such as the MQ-1 Predator drone, the official added.

The S-400 Triumf (NATO code: SA-21 Growler) 5P85TE2 long range surface-air missile system entered service with the Russian Armed Forces on April 28, 2007, replacing the S-300. The system is produced by Almaz-Antey. The S-400 is intended to engage, ECM, radar-picket, director area, reconnaissance, strategic and tactical aircraft, tactical and theatre ballistic missiles, medium-range ballistic missiles and other current and future air attack assets at a maximum range of 400 km, and at an altitude of up to 30 km.

The S-400 Triumf can also engage Tomahawk cruise missiles and other types of missiles, including precision-guided ones, as well as AWACS aircraft, at ranges of up to 400 km. It is believed to be able to detect stealth aircraft and other targets at all altitudes of their combat employment. This air defense missile system can simultaneously engage 36 targets.

The Russian Army plans call for the fielding of 18 S-400 battalions by 2020 as the backbone of its surface-to-air missile capabilities.