Russia’s Armata too expensive?

armata_large_1_largeThe Motley Fool financial news has published another article on the Russian Armata tank.  This article asks the question of whether or not the new Armata tank is something that Russia can currently afford to purchase.  According to the article, there has been disagreements over the cost of the vehicle between Russia’s Ministry of Defense (MinOboron) and UralVagonZavod (UVZ), the military contractor responsible for building Armata.  Russia has invested 15 billion rubles ($239 million) in developing the Armata tank, and budgeted 39 billion ($622 million) more. However, MinOboron is demanding UVZ both complete its design and lower its price. According to UVZ, mass production is key to reducing the unit price of the Armata. The tank is expected to be complete and ready for mass production this year.