Beyond oil and gas, Russia’s arms export agency, Rosoboronexport, has just seized Avtovaz, the giant dysfunctional Soviet car factory, and VSMPO-Avisma, Russia’s big titanium company, while all aircraft production has been concentrated in one state company. The government cheers this re-nationalization, although it has reduced Russia’s industrial growth from 8.3% in 2004 to 4% in the last two years.