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Moscow Weighs Relocating State-Owned Companies as Ukrainian Ballistic Missile Nears Flight Trials
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Russia’s Ministry of Economic Development has identified eight major state-owned holding companies that may relocate parts of their operations from Moscow to regional areas.
Speaking at a meeting with Russian leader Vladimir Putin and government members, Russian Economic Development Minister Maxim Reshetnikov outlined the proposal, as reported by The Moscow Times on September 23.
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It follows a warning from Denys Shtilerman, chief designer at defense company Fire Point, that Ukraine could launch ballistic missile strikes against Moscow as early as this autumn.
The list prepared by the ministry includes Russian Railways, Aeroflot, Russian Post, Transneft, Rosseti, Rosneft, Inter RAO, and Zarubezhneft, according to The Moscow Times.
Reshetnikov noted that after reviewing nearly 500 state-linked companies, the ministry selected eight holdings whose corporate networks encompass approximately 250 entities and 270,000 jobs in the capital.
Reshetnikov stated that not all of these jobs are managerial. While administrative structures operate in Moscow, companies like Aeroflot, Russian Railways, and Rosseti also maintain local staff who directly provide public services.
The economic ministry framed the relocation as a measure to boost efficiency by lowering expenses, citing lower costs for salaries, rent, and office maintenance in regional areas compared to the capital.
Reshetnikov emphasized that the move would offer growth opportunities, jobs, and added tax revenue for regions, noting that several firms are already shifting accounting, IT, and legal divisions outside Moscow.
Among existing transfers, Inter RAO established HR and call center operations in the Ivanovo, Saratov, and Orel regions, while Zarubezhneft set up a corporate service center in the Samara region, The Moscow Times reported.
Russian Post moved over 1,000 IT employees to Tatarstan and plans to reallocate roughly 2,000 more. Russian Railways intends to place up to 2,000 workers in an innovation cluster in the Vladimir region, and Transneft plans to transfer about 1,000 employees out of the capital.
The invitation comes amid Ukrainian President Volodymyr Zelenskyy's visit to the United States, where he met with US President Donald Trump to discuss military support and potential diplomatic pathways to end Russia's full-scale invasion of Ukraine.
Previously, Denys Shtilerman said its FP-9 ballistic missile is one solid-fuel engine test away from flight trials, after which the company expects the weapon to begin striking targets inside Russia.
Asked when the company expects to provide the military with ballistic missiles for strikes against Russian targets, Shtilerman said the key remaining step is engine testing.
“Only one thing separates us from that, and that is engine testing. As soon as we test the engine, we begin flight trials,” Shtilerman said.
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