Newsletter No. 970
News-Analysis
April 8, 2008
The following newsletter has
been contributed by Elena N. Shadrina (Shingetsu
Member No. 102). Shadrina is based at Niigata University.
MUSLIMS AND ISUZU IN RUSSIAN TATARSTAN
This current newsletter covers
the theme of Japan’s economic cooperation with a Russian
Muslim region for the first time. The newsletter opens with
a brief description of Russian regions with the highest ratios
of Muslim population, which is followed by a description of
the economic structure of the Republic of Tatarstan, the subject
of this newsletter. As will be seen, Tatarstan has a rather
developed automobile sector. Japanese automakers’ interest
in implementing joint projects in this republic is thus natural.
Given the bright prospects for Russian automobile market expansion,
initiatives of this sort can be expected to continue.
Geographical Distribution of Muslims within Russia
Russia now has some twenty million
Muslims. That makes Islam Russia's second most-popular religion
after Russian Orthodoxy.
According to Radio Free
Europe, Russia's Muslims are located mainly in the north
Caucasus and in the mid-Volga region, especially in the republics
of Bashkortostan, Tatarstan, Chuvashia, Chechnya, Dagestan,
Ingushetia, Kabardino-Balkaria, and Karachaevo-Cherkessia. Thriving
local communities can also be found in Moscow, St. Petersburg,
Ulyanovsk, Samara, Nizhnii Novgorod, Perm, as well as the Moscow
and Leningrad oblasts.
Almost all Russian Muslims belong
to the Sunni branch of Islam, but there are small pockets of
Shiites in the north Caucasus, including the Lezgins and Dargins.
A few other ethnic groups, such as the Chechens, practice Sufism.
The leadership of the Muslim
community was originally divided along territorial lines. When
the Soviet Union broke up, the Russian Federation inherited
two spiritual directorates, or muftiates. One administered the
activities of Islamic groups in the north Caucasus and the Transcaucasus,
while the other oversaw the Islamic communities in European
Russia and Siberia. Challenges to this system emerged, and in
1992 Tatarstan and Bashkortostan withdrew their recognition
from the muftiate for European Russia and Siberia and created
their own independent muftiate.
Tatarstan’s Economy at a Glance
According to the republic’s
official website, Tatarstan is one of the most economically
developed Russian regions. The republic is located in the center
of the largest industrial region of the Russian Federation,
at the intersection of most important transportation networks
connecting the country.
The Republic of Tatarstan boasts
wealthy natural resources and a diversified industry. Fuel and
petrochemical industries determine the republic's profile (production
of crude oil, synthetic rubber, tires, polyethylene, and a wide
range of petroleum products). There are also large engineering
enterprises that produce helicopters, aircraft and aircraft
engines, heavy trucks and small cars, compressors and oil-gas
pumping equipment, and hi-tech electronic and radio devices.
Tatarstan produces approximately
32 million tons of crude oil per year. Locally-produced KAMAZ
trucks held 52% of the Russian market as of 2007. Tatarstan
also produces about 24% of Russian tractors. Its petrochemical
sector produces about a third of all Russian polyethylene, synthetic
rubber, and automobile tires.
Tatarstan-Japan Project in the Automobile Sector
With that preface, perhaps the
following story will then be more comprehensible.
According to the Russian media,
a Russian-Japanese joint enterprise for the production of trucks,
Severstal-Isuzu, will be commissioned in Tatarstan on April
13th. Prime Minister of Tatarstan Rustam Minnikhanov will take
part in the commissioning ceremony.
The production of medium trucks
will form the heart of the new enterprise. When completed, the
plant will produce about 25,000 trucks a year.
Two Japanese companies will
be partners in the venture as follows
66% -- Severstal (Russia)
29% -- Isuzu (Japan)
5% -- Sojitz (Japan)
This is the first Russian-Japanese
auto partnership of its kind.