"For many years they said that Russia is gaining more from arms sales than spending on its own army. Now the pyramid starts turning upside down. This year we spend on the purchase, research and development, overhaul of our equipment more than we annually get from the entire arms business, about six billion dollars," Sergei Ivanov said.
India and China who are the main buyers of Russian arms remain under the European Union arms embargo. Russia is not, he said
"Although we are not under it, I don't think the embargo will be lifted in the next few years and China will feel hurt. If it is removed, things will hardly change. I dare say, Russia knows better than any other country about the demands and the outlook for modernization of the Chinese army," Sergei Ivanov said.
"In the foreseeable future, we'll remain the key supplier of arms, military equipment and even some technologies to China," the Russian defense minister assured.
In August the first-ever Russian-Chinese military exercise will be held. The Chinese army has never before had a joint wargame with a foreign country, he said.
"Russian-Indian relations have been improving lately. I'm sure the leaders of our countries well understand that cooperation, sometimes between the three parties including China, benefits all. We will promote the strengthening of triangular relations. I say once again, it is not a friendship against somebody but cooperation in mutual interests," Sergei Ivanov said.
He added that Russia is ready for free competition on the arms market including with the United States, which has of late been demonstrating activity on the Indian market.
"We would be wrong showing us horrified or indignant each time when our traditional partner includes in tender other countries. We should be ready to be competent on any market," Sergei Ivanov said.
