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Russia has learned to avoid sanctions – Bloomberg

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Modern chips and microcircuits produced in the EU and other countries are delivered to Russia through third countries such as Turkey, the United Arab Emirates and Kazakhstan.

Russian authorities have developed a scheme to avoid EU and G7 sanctions to ensure the supply of semiconductors and other technologies essential for the war against Ukraine. On Saturday, March 4, Bloomberg reported, citing an unnamed senior European diplomat.

The interlocutor of the publication noted that Russian imports generally returned to the level of 2020.

According to the analysis of trade data, modern chips and microcircuits produced in the EU and other states are delivered to Russia through third countries such as Turkey, the United Arab Emirates and Kazakhstan, the diplomat said.

Shipments from China to Russia have also increased as Beijing plays an increasingly important role in supplying Moscow, the European diplomat added. These countries outside the EU have not imposed sanctions on Russia, but most of them have repeatedly denied helping the Kremlin.

Information compiled by the Geneva-based Trade Data Monitor indicates that some authorized products – especially advanced semiconductors – are being diverted to Russia through third countries, many of which are notably have changed their trading practices since the Russian invasion.

In the case of some countries, exports to Russia of technologies that could be used for military purposes in Ukraine actually went from zero to millions of dollars.

Kazakhstan is a prime example. In 2022, this country exported $3.7 million worth of advanced semiconductors to Russia, compared to $12,000 the year before the war.

From 2017 to 2021, Russia annually buys modern chips and microcircuits from the EU, USA, Japan and the UK for an average of $163 million. By 2022, that amount drops to about $60 million.

The data shows that Turkey, Serbia, the UAE and 12 other economies in Eastern Europe and Central Asia have helped to recover from the deficit. At the same time, deliveries of high-tech components to these countries from allied countries increased by a similar amount.

It is noted that similar patterns can be traced in hundreds of categories of goods, but it is especially acute when it comes to modern chips and microcircuits that can be used for military purposes, the European diplomat said.

As Russia’s full-scale war in Ukraine continues into its second year, the EU and its allies are increasingly focused on closing any loopholes and preventing the sanctions they have imposed from evading.

Earlier, GUR named foreign companies that produce chips for Russian missiles.

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Source: korrespondent

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