Russia to divest control of Kalashnikov Concern

The Russian government is currently the majority shareholder of Kalashnikov Concern, the company responsible for the design and manufacturing of AK pattern firearms for the civilian market. This has proved to be a problem in the past most recently when the company was sanctioned by the United States for Russia’s alleged meddling in the 2016 election.

Kalashnikov Concern has been getting around this by establishing a separate company here in the US, but now it appears that the Russian government is trying to get out of the arms manufacturing business.

From CNN Money:

The iconic firearms maker, which is owned by state holding company Rostec, will soon be firmly in the hands of private investors.

Rostec said Tuesday that a deal to sell roughly half of its 51% stake in the original maker of the AK-47 has been agreed, and is now ready to be approved by the government.

The buyer is a private company called TransKomplektHolding, which is owned in part by Kalashnikov chief executive Alexey Krivoruchko. The firm already has a 49% stake in Kalashnikov.

The move comes as part of a larger effort to privatize many of the currently government owned companies and industries.

What impact this will have on the current restrictions surrounding the importation of Kalashnikov firearms — and the future of US-based Kalashnikov USA — is yet to be seen. But now that the company is in the hands of a (nominally) private ownership it’s possible that the restrictions currently in place may be re-examined.

YOU KNOW YOU’RE A GUN NUT WHEN…

13 COMMENTS

      • I don’t think we’ll get a straight answer. I remember when they introduced themselves at SHOT show 2 or 3 years ago (?) and they were intentionally vague about the relationship in all the interviews. I have no “proof”, but I suspect that the company was formed to circumvent the import restrictions. If so, I applaud their efforts (although much of what they’ve promised, including the Alpha, has been vapor ware).

        • They literally have no connections to the real KC. It is all smoke and mirrors to fool the gullible who have no idea what they are talking about.

          It is impossible for them to when sanctions make it clear that they can’t make a red cent from the Russians, have any employees directly affiliated with KC, nor even talk to them. Do you honestly believe the Russians would be that obvious and naive to do something that stupid? Do you think the American execs stateside would be that stupid to risk their company, their livelihoods, and receive jail time?

          They patented the name because what are the Russians going to do about it since they are sanctioned? Also it sounds better and more recognizable than their old name, RWC LLC.

    • As far as I know they aren’t. They were just the importer at the time of the sanctions and decided to reverse-engineer the rifles they had on hand. They weren’t allowed to have any contact with Kalashnikov after the sanctions.

  1. Does anyone know if Kalashnikov sell Kalashnikov crates?

    Years back, a buddy of mine had a mil-spec storage rack for his AR-platform rifles in his secured gun room, and I thought that was a pretty cool idea…

  2. Hopefully this opens the floodgates for more importation. We need 10’s of millions more AK’s and other assorted Russian weaponry here in the US.

    • They aren’t completely divesting themselves of government ownership. Only selling enough so that they are no longer majority stockholder. Some are saying they will retain 25% of ownership.

      That means the sanctions will remain. Hell I bet even if the government completely gave up ownership it would still be banned because import bans are never reversed, only strengthened and not enough people care.

  3. I like Russian firearms. I’m madder then he’ll about these Muslim refugees disrespecting the country they’ve fled to. I try to be nonpredudiced but these Muslims dissrepecting’ their’ flag is pissing me off. Yes it’s their flag now, the stars and bars, red white and blue. When them gooks from Nammer got to come to America they became very strong supporters of their country’America’, I respect the southeast Asians tremendously, but these Muslims,,,, well they just better be careful around my neck of the woods

  4. Russia wouldn’t give up control of KC unless they have been assured their products will be allowed back into the US by doing so.
    Also, wasn’t the sanctions placed on KC because of Crimea or have they been double secret probation sanctioned?

    • Yes it was because of Crimea because they were under ownership of the government umbrella corporation, Rostec.

      Even if Rostec gave up KC they would still find an excuse to keep it banned. Import bans are never lifted.

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