Russia received high-precision electronic equipment from Taiwan – WP

Since January 2023, the Russian company I Machine Technology has imported over US$20 million worth of sophisticated equipment called CNC machine tools made in Taiwan, which is a strategic partner of the US.

Source: The Washington Post (WP) with reference to documents studied by the editorial board

Details: WP cites a statement made by Aleksey Bredikhin, the company’s chief executive, at a corporate party held in June on the Russian Black Sea coast.

Quote: "I especially want to welcome our friends from faraway Taiwan. For almost a year now, we have been working very hard."

It is noted that the computer-controlled machines are used for the complex and precise manufacturing that is critical in many industries, including weapon production.

The components produced in Taiwan accounted for almost all of the company’s imports in the first seven months of 2023, while the sales of the company were mainly to the Russian defence industry.

WP adds that the company’s management has been trying to facilitate large-scale production of attack drones in Russia.

Taiwan is a strategic partner of the US and has implemented restrictions on exports to Russia since the beginning of Russia's full-scale invasion of Ukraine in 2022.

Kevin Wolf, a former senior official at the US Department of Commerce who once headed the agency that implements US export controls, said the shipments identified by WP probably violated prohibitions Taiwan and the West imposed in January 2023 on the sale of technology to Russia in response to the war.

He added that these shipments must "absolutely" be a priority for investigative bodies in Taiwan.

"You’ve got tools that are very important for making military items. You’ve got a lot of connections to military end uses and users. You have connections to drones (manufacturers). You’ve got a large dollar amount. This is why export controls against Russia were imposed. This is a classic enforcement priority issue," Wolf said.

These supplies demonstrate how, despite the global restriction regime, the Russian defence industry remains powerful thanks to loopholes in the sanctions.

Critically important goods continue to flow directly to Russia, as well as through China and other countries that are not participating in the restrictions.

"On the one hand, we appreciate the efforts taken by our partners so far to disrupt Russian supply chains," said Vladyslav Vlasiuk, a sanctions expert and adviser to Ukrainian President Volodymyr Zelenskyy. "At the same time, it is clearly not enough."

The machines were sent in 63 separate shipments, according to data obtained by WP.

The first batches, worth US$4.47 million, were sent directly to Bredikhin’s firm from a Taiwanese trading company, I Machine Tools.

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