U.S. Blacklists Firms Supplying Russia’s Military Tech, Expands Trade Restrictions

The United States imposed sanctions on nearly 400 entities and individuals across multiple countries on Wednesday in a strategic move to disrupt sanctions evasion by Russia. This sweeping action, led by the U.S. Treasury and State Departments, targets companies and individuals aiding Russia’s efforts to sidestep sanctions enforced after its invasion of Ukraine. Marking the most extensive measure yet, the sanctions span firms in countries like China, Hong Kong, India, and others, aimed at curbing the flow of resources into Russia’s military.

Among those sanctioned, the Treasury Department blacklisted 274 targets, the State Department designated over 120 entities, and the Commerce Department added 40 companies and institutions to a trade restriction list, focusing on those supplying high-priority components such as microelectronics. These are believed to directly support Russia’s military capabilities. U.S. Deputy Treasury Secretary Wally Adeyemo emphasized ongoing efforts with allies to cut off Russia’s access to critical technologies required for its military actions in Ukraine.

Countries impacted by these sanctions include the United Arab Emirates, Turkey, Thailand, Malaysia, Switzerland, and others. China, a key supplier of these high-priority goods, criticized the U.S. actions as “unjustifiable,” calling them hypocritical amid U.S. support for Ukraine. Additionally, India was highlighted for increased exports of such goods to Russia, raising concerns over firms like Futrevo and Shreya Life Sciences Private Limited, accused of supplying critical items to Russian entities.

The sanctions also extend to Russia’s Arctic LNG 2 project, a key natural gas initiative led by Novatek, which has struggled with prior U.S. sanctions. Although the U.S. has powers to target banks helping Russia evade sanctions, it has withheld from fully enforcing this authority.