The US Department of Commerce has levied sanctions on 49 global entities, 42 of which are Chinese, for their role in supporting Russia’s military in its war against Ukraine.
The 7 additional entries outside of China are based in Estonia, Finland, Germany, India, Turkey, the UAE, and the UK.
In a statement issued on Friday, the department said that its Bureau of Industry and Security (BIS) was sanctioning the entities “for providing support to Russia’s military and/or defence industrial base,” including supplying Moscow “with US-origin integrated circuits, including those identified in “Tier 1” of the Common High Priority Items List.”
According to the department, Russia “relies on these microelectronics for precision guidance systems in the missiles and drones it uses against civilian targets in its unlawful war in Ukraine.”
Comments from the US
Under Secretary of Commerce for Industry and Security, Alan Estevez, said that Washington has “been clear since the beginning” on the issue.
(3/13) Among the claims are that these Chinese businesses, including semiconductor players in Hong Kong and mainland China, delivered US-origin integrated circuits to importers related to the Russian military sector after March 1, 2023.
— Kedar Capital (@KedarCapital) October 7, 2023
“We will not hesitate to act against parties, wherever located, that facilitate the sale of US-origin items to Russia’s military for its war against Ukraine,” he said. “No matter how convoluted the trail may be or how many hands items are passing through, if US- origin items are finding their way to Russia’s military, we will work tirelessly to stop it,” he stressed.
Assistant Secretary for Export Enforcement Matthew S. Axelrod echoed the sentiment, saying that the latest move was “a clear message: if you supply the Russian defence sector with US-origin technology, we will find out, and we will take action.”
He also urged the defence industry to be cautious of its sales. “We need you to exercise extra caution when shipping high-priority items to customers abroad, to help ensure those customers aren’t then funnelling those items to Russian missile and drone programs,” he added.
Chinese Response
China’s Ministry of Commerce said that the act constituted “economic coercion and unilateral bullying.”
“The United States should immediately correct its wrong practices and stop its unreasonable suppression of Chinese companies,” it said.