MOSCOW— Russia’s civil aviation sector is facing renewed scrutiny after Ukraine’s Foreign Intelligence Service (SZRU) claimed the Kremlin is restructuring several aviation businesses to mask mounting operational and financial problems rather than resolve them.
The intelligence agency alleges that state-owned Rostec will consolidate passenger airline Red Wings (WZ), cargo carrier SkyGates, medical aviation assets, and leasing company Aviacapital-Service into a single holding company.
The proposed restructuring, which will reportedly be managed by Ilyushin Finance Co., comes as Russian airlines continue to face the long-term impact of Western sanctions, aging aircraft, and shortages of engines and spare parts.
Although Rostec has described the move as a way to streamline management and aircraft maintenance, Ukraine’s intelligence service argues it reflects a deeper crisis within Russia’s aviation industry.
Russia Merging Airlines and Aviation Companies
According to the SZRU, the new holding structure is designed to centralize financial reporting and management across several aviation businesses.
The agency claims this will make it more difficult to identify the financial performance of individual companies while allowing resources to be shifted internally.
The intelligence assessment states that the consolidation will combine passenger operations, cargo services, aircraft leasing, and medical aviation under one corporate umbrella.
Ukrainian officials contend that the strategy is intended to conceal the deteriorating condition of individual assets rather than improve operational efficiency.
The latest claims also align with broader concerns raised by several analysts over Russia’s civil aviation sector, which has struggled to secure Western-made aircraft components since sanctions were imposed following the invasion of Ukraine.
Reports have consistently highlighted production delays for domestically built aircraft and difficulties maintaining fleets dominated by Airbus and Boeing aircraft.
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Fleet Challenges for Russian aviation
The SZRU alleges that Red Wings has experienced significant operational difficulties, particularly with its charter business.
According to the agency, only one of the airline’s three Boeing 777 aircraft remains in scheduled passenger service, while another is retained as a backup and the third is no longer operational, RBC Ukraine reported.
Ukraine’s intelligence service also claims the airline has been affected by internal management disputes and the departure of experienced aviation personnel. These issues, it says, have further reduced operational flexibility.
Cargo operator SkyGates is reportedly encountering similar challenges. The carrier is said to be dealing with shortages of aircraft engines, limited access to spare parts, lengthy maintenance periods, and an aging fleet that has become increasingly difficult to keep in service.
Industry Outlook of Russia’s Civil Aviation
The SZRU argues that reorganizing aviation companies under a single holding will not solve Russia’s underlying aviation problems.
Instead, it believes the restructuring will simply redistribute available funding, employees, aircraft components, and maintenance resources among the participating companies.
According to the agency, the consolidation cannot restore access to Western aircraft parts, accelerate domestic aircraft production, or reverse the loss of skilled aviation professionals.
It maintains that Russia’s civil aviation sector continues to face structural challenges driven by technological isolation, fleet aging, and workforce shortages.
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