Russia's stalled shipyard dream: Why Darkin abandoned Nakhodka's mega-project

Sergei Darkin, the former governor of Primorsky Krai and head of Pacific Investment Group, has scrapped plans to build a shipyard near Nakhodka. Despite years of discussions, the project never moved forward, with economic pressures and high costs playing a key role in the decision.

Darkin remains firmly in the port business, keeping a stake in the Vladivostok Sea Fishing Port while focusing on his core asset, the Nakhodka Active Marine Fishing Base. Darkin first proposed the shipyard in 2017, shortly after Russia introduced its 'quota-for-keel' program. The initiative aimed to modernise the country's fishing fleet but instead led to soaring construction expenses. He revisited the idea in 2021, yet negotiations failed to produce any progress.

Cost became a major obstacle. His company ordered two tugboats from China at nearly half the price of Russian-built alternatives. Similarly, other trawler projects were taken abroad due to better affordability. Darkin also highlighted high interest rates and unfavourable economic conditions, making domestic shipbuilding financially unviable.

Despite these setbacks, his business did receive one Project 5712LS crab-fishing vessel, constructed at the Nobel Brothers Shipyard in Rybinsk. However, the broader challenges of the 'quota-for-keel' program and rising expenses ultimately led to the abandonment of the Nakhodka shipyard plans. Darkin's decision leaves the Nakhodka shipyard project shelved indefinitely. His company will continue operating within the port sector, maintaining its stake in the Vladivostok Sea Fishing Port and the Nakhodka Active Marine Fishing Base. The move reflects broader struggles in Russia's shipbuilding industry under current economic conditions.