The United States is intensifying financial restrictions against Russia.
Due to Russia's aggression towards Ukraine, the United States slaps extra penalties on Russia. This move by Washington affects around 400 companies and individuals, as per the Treasury Department. among these, around 60 technology firms in the defense sector supply items that aid Russia in its military operations.
As stated by the Deputy Secretary of the Treasury, Wally Adeyemo, these actions are aimed at honoring the vows made by President Biden and his G7 peers to obstruct Russia's supply chains. Apart from financial institutions, this move also intends to limit Russia's access to critical minerals, particularly for materials such as iron, steel, and coal.
The accused companies and individuals hail from both Russia and other nations, with approximately 100 of them being headquartered outside of Russia in countries like China, Turkey, UAE, and Switzerland. They are accused of aiding both Russia and its affiliated companies in bypassing existing sanctions.
Commerce Department's role in preventing sanctions evasion
The sanctions result in seizing the assets of impacted companies or individuals in the US and prohibiting US entities or citizens from conducting business with those under sanctions. Additionally, entry into the US is banned for those affected individuals.
Beyond these sanctions, the U.S. Department of Commerce also revealed its intentions to apply "aggressive measures" against "illicit procurement networks" that circumvent global export restrictions. The objective is to further restrict the distribution of US-manufactured or labeled goods to Russia and Belarus.
The European Union, adhering to the collective stand against Russia's actions, imposes its own sanctions on Russia, affecting several industries and entities. These sanctions from the European Union aim to align with the objectives set by President Biden and his G7 peers, as part of their commitment to obstruct Russia's supply chains.
