It is noted that the trade routes leading through the former Soviet republics of Kazakhstan and Kyrgyzstan are one of the many so-called dual-use goods routes to Russia.
“Despite US efforts, Central Asia is a growing Russian ‘pipeline’ enabled by thousands of kilometers of open borders, opaque trade practices and opportunistic middlemen.” The goods often originate from China, where they are manufactured by some large American companies, which claim that Russia imports the goods without their permission,” the article states.
According to Natalie Simpson, a Russia analyst at C4ADS, a US non-profit research company specializing in national security, this trade route is particularly important for Russia because it is the route through which many goods produced in Western countries reach the country.
“It’s a major route for microelectronics, auto parts, luxury goods — goods that have been used both on the battlefield in Ukraine and for personal consumption.”
The United States and its allies have a list of dual-use goods subject to sanctions, including computer chips, routers and ball bearings used in tanks. Last year there were 45 items on the list, and in February five others were added to it.
“Chinese companies that ship their products can choose a direct route across the border, but those that trade in Western goods often find additional ways to hide it,” said N.Simpson. “They can find it in Central Asia.”
According to Chinese customs data, the export of dual-use goods from China to Kazakhstan and Kyrgyzstan will increase from 2022. in February, when the war started, increased sharply in 2023. reached 1.3 billion dollars, ie 64 percent more than in 2022 According to trade data, many of these goods were later sent to Russia, The Wall Street Journal noted.
“The two Central Asian countries are not the only source of dual-use goods for Russia. Goods also travel through countries such as the United Arab Emirates and Turkey. Last year, China directly exported such goods to Russia for 4.5 billion. dollars”, the authors of the article stated.
It should be noted that the list of sanctioned goods does not include drones, although they have become an important weapon on the battlefield in Ukraine.
According to data collected by The Wall Street Journal, in 2023 Kazakhstan purchased drones from China for 5.9 million. dollars, and exported such products to Russia for 2.7 million. dollars. However, it is worth noting that Kazakhstan itself is not a major producer of drones.
US and European officials are putting pressure on those countries and China to stop shadow trade with Russia. Meanwhile, China has said that Russia is an important trading partner for it: “China has always exported military products in a reasonable and responsible manner and has followed relevant laws and regulations when it comes to dual-use export controls.”
“China is already Moscow’s largest official source of imports: bilateral trade has roughly doubled over the past five years and is expected to double in 2023. will reach 200 billion dollars. China sells computer chips, jet fighter parts and electronic warfare technology to Russian defense companies,” the article reads.
Journalists also say the supply threatens to become a sticking point between leaders in the United States, China and Europe.
According to the Kyiv School of Economics in January. report, in the first ten years of 2023 Russia managed to import 8.8 billion worth of dual-use goods from all over the world. dollars, ie only 10 percent. less than in the pre-sanction period.
And a review of customs databases shows that many of the goods that Russia imports from China are manufactured by American companies.
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2024-04-18 18:16:40