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Home»Business»India is now Russia’s No. 2 supplier of restricted technology
Business

India is now Russia’s No. 2 supplier of restricted technology

October 12, 2024No Comments3 Mins Read
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India has become the second largest supplier of limited critical technologies to Russia, US and European officials said, highlighting the challenge of efforts to stifle exports that fuel President Vladimir Putin’s war machine.

India’s exports of restricted items such as microchips, circuits and machine tools exceeded $60 million in April and May, double the previous months, and rose to $95 million in July, according to the officials, who asked not to be identified in the dispute. private evaluations India is surpassed only by China.

It is even more frustrating for Ukraine’s allies, some of whom have raised the issue, that their envoys have received little response from their Indian counterparts. India’s Ministry of External Affairs declined to comment when asked about the trend.

The latest figures mean that nearly a fifth of sensitive technology entering Russia’s military-industrial complex has come through India, officials said.

The new figures underscore the difficulty the US and its allies have had in reducing Russia’s ability to fight in Ukraine two and a half years after Putin’s forces invaded. Direct export of most dual-use items to Russia is prohibited, so the country has purchased them from third countries, sometimes from subsidiaries of Western companies or intermediary networks.

A State Department spokeswoman said Friday the department would reiterate its growing concerns with both Indian government officials and companies.

Most of the efforts of the United States and the European Union a list of technologies They are found in Russian weapons or are needed to build them.

As allies work to reduce some of these routes — Turkey and the United Arab Emirates have been two major transshipment points — new hubs have emerged. They include India, Malaysia and Thailand, according to the people.

India’s role in shipping such goods has presented a further challenge as US and EU policymakers seek to boost partnerships with Prime Minister Narendra Modi’s government, even as it cultivates ties with Putin. India has also emerged as a major buyer of Russian oil, despite efforts to curtail sales.

According to officials, the main driver of the change is Russia’s vast stock of rupees amassed from oil sales.

India’s role as a transshipment point has made it the focus of European Union and US sanctions agencies in recent months. Officials from these nations have been visited several times by authorities in efforts to curb shipments, and several Indian companies have faced Western sanctions.

In July, US Treasury Undersecretary Wally Adeyemo wrote a letter to senior officials of the Confederation of Indian Industry warning of the risks of sanctions for Indian companies and banks doing business with Russia’s military industrial base, according to a copy of the letter obtained. Bloomberg News.



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