TechKazakhstan's hidden role in bypassing Russian sanctions

Kazakhstan's hidden role in bypassing Russian sanctions

As revealed by The Insider's investigative portal, companies from Kazakhstan purchase components in the West to produce electronic warfare systems and then sell them to Russia. This is not the first report in recent weeks indicating that the search for quiet allies of Russia and profit seekers often leads to Kazakhstan.

Construction of the Russian Su-57 fighter jet
Construction of the Russian Su-57 fighter jet
Images source: © ria novosti
Mateusz Tomczak

18 November 2024 11:54

In September, the results of an investigation conducted by the InformNapalm group were released. It was established that companies from Kazakhstan were involved in repairing and maintaining Russian Su-30SM aircraft. This was made possible by purchasing French components from Indian intermediaries. Paris formally responded in October, taking steps to limit this practice - restricting the trade of, among other things, multifunction displays, navigation systems, and HUD indicators. The latest findings by The Insider show that a similar situation applies to electronic warfare systems.

Concerning findings: How Russians bypass sanctions

According to disclosed information, in 2023-2024, companies registered in Kazakhstan purchased products from renowned international brands such as Rohde & Schwarz from Germany, Safran Data Systems from France, Mini-Circuits from the USA, and Farran Technology from Ireland. The purchased goods were then re-exported to Russia.

The Insider's investigation demonstrated that goods imported from the West, known as "dual-use goods," were reaching Russian companies subject to sanctions by Western countries. The portal also gained access to correspondence in which the management of one of the Kazakh companies promised to deliver Spanish equipment from Keysight Technologies to the Russian company Dipol. According to military experts, equipment from this company and other Western manufacturers is used in the development and modernization of Russian electronic intelligence satellites.

Successful journalistic provocation

As part of a journalistic provocation, journalists posed as representatives of Moscow-based companies aiming to purchase products from Western manufacturers via Kazakh enterprises. They were encouraged to meet with those representing them.

This demonstrates further evidence that after the outbreak of the full-scale conflict between Russia and Ukraine and the imposition of sanctions on Russian companies, "dual-use goods" are reaching Russia through third countries, including Central Asian states. Over the last two years, the gross domestic product of these regions has increased significantly, excluding Turkmenistan, primarily due to the transit of Russian goods through their territories. The USA and the UK have sanctioned some companies from Kazakhstan, Uzbekistan, and Kyrgyzstan, but this list needs constant updating. No information on possible actions against Western companies may be aware of their goods' ultimate recipients.

Russians are unable to produce many devices and parts necessary for weapons production. For this reason, they are willing to pay even multiple times the price of a given component or service, which companies from countries not under sanctions, eager for large profits, exploit.

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