The Biden administration announced sanctions on over 300 individuals and entities on Wednesday, targeting those in Russia and beyond its borders. This includes Chinese companies accused of selling chips to Moscow for the manufacture of weapons used in the war in Ukraine.
The objective of these sanctions is to disrupt financing to the Russian war sector and prevent Russia from evading sanctions imposed by the US and its allies following the invasion of Ukraine in February 2022. Secretary of the Treasury, Janet Yellen, stated that these measures will further isolate the Russian economy.
The new measures involve expanding “secondary” sanctions, allowing the US to blacklist any entity doing business with previously sanctioned Russian entities. This move aims to discourage financial support to Russia’s war efforts, particularly from entities in China. Additionally, restrictions have been imposed on the Moscow stock exchange to prevent foreign investors from supporting Russian defense companies.
Several Chinese companies have been targeted for selling chips to Russia, which has allowed Moscow access to critical military equipment for the war in Ukraine. The US is focusing on limiting Russia’s access to technologies that support its war efforts, including chips used in building missiles and other weapons.
While these sanctions expand the US regime against Russia, there have not been direct sanctions imposed on Chinese or European banks suspected of financing the Russian war machine by the Biden administration. These measures are part of efforts to hold Russia accountable for its actions in Ukraine and prevent escalation of conflict in the region.
These actions come as leaders from seven countries gather for a G7 summit in Italy, where Ukraine will be a key issue on their agenda.
