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Exports

European Countries Indirectly Exporting to Russia, Circumventing Sanctions

Strategic Insights

— 1 min read

European countries are indirectly exporting to Russia through countries like Turkey and Central Asian states, despite sanctions imposed on Russia following its invasion of Ukraine in 2022. This has led to a significant increase in exports to Turkey and Central Asian states, which has raised concerns about the circumvention of anti-Russian sanctions. The Czech Republic and Germany are among the countries whose companies are allegedly involved in this practice, with Ukrainian President Volodymyr Zelenskyi calling for sanctions on these firms. Experts argue that controlling trade flows requires a significant apparatus, and it is not realistic for companies to claim ignorance about re-exports to Russia.

Key Takeaways:

  • Almost every European country is indirectly exporting to Russia through countries like Turkey and Central Asian states.
  • Exports to Turkey and Central Asian states have increased significantly since Russia invaded Ukraine in 2022.
  • 13 German and 8 Czech companies are allegedly supplying Russia with machinery for weapons production, according to Ukrainian President Volodymyr Zelenskyi.
  • Kazakhstan claims to have no transfers of goods to Russia, but experts believe this is unlikely.
  • Controlling trade flows requires a significant apparatus, and it is not realistic for companies to claim ignorance about re-exports to Russia.
  • The sanctions are important because circumventing them is expensive for Russia.
  • Companies like TOS Varnsdorf, a machine tool manufacturer, claim to fully respect and comply with regulations regarding trade with Russia.

Statistics:

  • Exports to Turkey and Central Asian states have increased by [exact percentage increase not specified in the article] since Russia invaded Ukraine in 2022.
  • 13 German and 8 Czech companies are allegedly involved in supplying Russia with machinery for weapons production.
  • Russia is willing to pay for these detours, which makes it an attractive option for companies involved in re-exports.
  • Controlling trade flows would require a significant apparatus.

Sources:

  • CTK (Czech News Agency), June 23, 2023
  • Karel Svoboda, Institute of International Studies at Charles University in Prague
  • Industry and Trade Ministry
  • Ukrainian President Volodymyr Zelenskyi
  • Jan Rydl, CEO of TOS Varnsdorf

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