Sweeping new measures target entities including in China, Turkey, and UAE in bid to cut off Russia’s supply chain.
In a move to disrupt Russia’s military supply chain and combat its involvement in the Ukraine conflict, the United States has announced new sanctions against approximately 130 entities. These entities, including firms in China, Turkey, and the United Arab Emirates, are accused of providing Russia with vital components and technology for its military, as well as aiding their ongoing war efforts.
Secretary of the Treasury, Jane Yellen, stated on Thursday, “Russia is dependent on willing third-country individuals and entities to resupply its military and perpetuate its heinous war against Ukraine, and we will not hesitate in holding them accountable.”
The newly enacted measures specifically target critical supply chains that have allowed Russia to bypass international sanctions and export controls. These supply chains have taken advantage of otherwise legitimate economic relationships with China, Turkey, and the UAE. Through these relationships, entities in these countries have been able to send high-priority dual-use goods, such as vehicle parts and encryption software that can be used for civilian or military purposes, to Russia.
Notably, these sanctions mark the first time the US has taken action against the production of Russia’s Lancet suicide drones. This move has been applauded by Ukraine, as their soldiers have identified the Lancet drones as an increasing threat on the front lines.
President Volodymyr Zelenskyy praised the sanctions in his nightly video address, stating that they are “just what is needed.” His chief of staff, Andriy Yermak, echoed this sentiment on the Telegram messaging app, expressing satisfaction that restrictions are being tightened against companies associated with Russia’s military-industrial complex.
The new Treasury sanctions also extend to Russia’s domestic industrial base. The Treasury asserts that this base has shifted its focus from producing goods for the Russian people to supporting the maintenance of the war machine. Furthermore, the US Department of State implemented 100 additional sanctions targeting Russia’s energy, metals, and mining sectors, defense procurement, and those involved in supporting the Russian government’s war efforts and other malign activities. The Commerce Department added 12 Russian companies and one from Uzbekistan to its blacklist, accusing them of assisting Moscow in acquiring critical drone technology.
The international community has already imposed hundreds of sanctions against Russian individuals and entities since Russia’s invasion of Ukraine in February 2022. These measures have also impacted the Russian economy, freezing overseas assets, restricting exports, and making the cost of doing business in Russia extremely challenging and expensive.
Yellen emphasized that the “global sanctions coalition” has significantly impeded Russia’s access to key resources for its military-industrial complex and weakened the Kremlin’s ability to wage its unprovoked war. Despite these sanctions, Russia’s economy is expected to grow 1.5 percent this year, largely due to support from countries like China, Turkey, and India, which have provided Moscow with a critical economic lifeline.
