Investigation: How a Swiss-linked company helped Russian arms factories like Kalashnikov stay afloat

Leaked documents have revealed the extent to which Russian defense companies have relied on Western industrial machinery produced in Germany, Switzerland, and Sweden to manufacture weapons used against Ukraine. This machinery was maintained by the Russian firm Galika-Service, which is part of the larger Galika group built around the Swiss company Galika AG. The company's central figure is Lino Derungs, a Swiss national who has spent extended periods in Russia and has faced legal troubles during the full-scale invasion.

Galika-Service has helped Russian defense companies maintain and repair Western-made high-precision machinery, preventing breakdowns throughout the war. The company's contracts with Russian companies worth nearly $3 million were signed between 2024 and late 2025. Notably, the largest client of Galika-Service was the Kalashnikov Concern, a manufacturer of automatic firearms and other weaponry used in Russia's war against Ukraine.

The Russian arms industry relies heavily on Western-made machinery due to the lack of domestic production capabilities for advanced machine tools. Many of the machines used by Russian defense companies come from Switzerland, Germany, and Sweden, as these countries are leaders in this market. For instance, SKB, a Russian artillery plant, uses AgieCharmilles CNC machines from United Machining Solutions, a Swiss manufacturer.

Despite facing legal issues, Lino Derungs and Galika-Service have played a crucial role in maintaining Russia's ability to produce lethal weapons for its ongoing conflict against Ukraine.