The US Treasury and Department of State have recently announced sanctions on around 400 companies and individuals from countries including China, India, Turkey, and more. These sanctions target entities that are accused of providing products and services that aid Russia’s war efforts in Ukraine and help it evade existing sanctions. The goal is to punish “third party countries” that are assisting Russia in various ways.
In particular, the Treasury Department has sanctioned 274 companies that have been supplying Russia with advanced technology, as well as defense and manufacturing firms within Russia that support the production of military equipment used in the conflict. The State Department has also imposed diplomatic sanctions on Russian Ministry of Defence officials and Chinese companies exporting dual-use goods to Russia. Various entities in Belarus have also been targeted for their support of Russia’s defense industry.
Treasury Deputy Secretary Wally Adeyemo emphasized the US and its allies’ commitment to diminishing Russia’s military capabilities and stopping those who aid Russia in bypassing sanctions and export controls. This recent wave of sanctions is part of a broader effort to constrain Russia’s ability to fund its war machine through international support.
Despite the extensive sanctions imposed on Russian firms and their suppliers, questions remain about the overall effectiveness of these measures. Russia, for example, has continued to support its economy by selling oil and gas on the global market. The deepening ties between Russia and North Korea have also raised concerns about Russia seeking support from unconventional sources during the conflict in Ukraine.
In response to the crisis in Ukraine, the US passed an aid package to support the country, which includes the ability to seize Russian state assets in the US for the benefit of Kyiv. Additionally, the Group of Seven nations agreed to provide a substantial loan of $50 billion to assist Ukraine in its struggle for survival. Interest earned on profits from Russia’s frozen central bank assets in Europe will be used as collateral for this loan, highlighting international efforts to support Ukraine in the face of Russian aggression.
