EU imposes tougher sanctions against Kazakhstani companies linked with Russia

The European Union has imposed new sanctions against a set of companies, including several from Kazakhstan, for their «support of the Russian military and industrial complex.» No details about what companies have been sanctioned were provided.

The EU has imposed the 13th package of individual and economic sanctions against Russia for its full-scale invasion of Ukraine. According to the EU’s press release, some of these sanctioned organizations are located in third-party countries such as Kazakhstan, India, Sri Lanka, China, Serbia, Thailand and Turkey.

«They will be subject to tighter export restrictions concerning dual-use goods and technologies, as well as goods and technology which might contribute to the technological enhancement of Russia’s defense and security sector,» the EU said in a press release.

All these companies have been accused of being involved in «the circumvention of trade restrictions.»

Also, the European Council has decided to impose restrictive measures on an additional 106 individuals and 88 entities responsible for «actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine.»

Earlier this week, a Kazakhstani media outlet named Vlast worked in conjunction with partners from Bureau Media, Verstka and OCCRP to publish an investigation that found out that the «Russian military continues to obtain equipment they need via Kazakhstani companies and warehouses in Belarus.» In particular, the investigation mentioned KBR-Technologii, a company from Kazakhstan.

This company allegedly ordered high-end equipment for the production of semiconductors and other goods from Europe and then shipped this cargo to Belarus. In some cases, it delivered the equipment directly to Russia.

In July 2023, Ukraine added two companies from Kazakhstan ITS-Astana, LLC and Tynys, JSC to its sanction list.

In August 2023, the U.S. imposed sanctions against Defense Engineering, another company registered in Kazakhstan. The company was owned and headed by Ashot Mkrtycheev, a citizen of Slovakia who was personally sanctioned in March 2023. U.S. authorities accused the company of facilitating Russia in its attempt to import weapons from North Korea. In turn, the Ministry of National Economy of Kazakhstan said that the company was closed back in 2021.

According to Kazakhstan’s Foreign Ministry, the country has been taking all necessary actions to avoid secondary sanctions. For instance, Kazakhstan has banned exports of military goods to Russia, while exports of dual-use goods must be certified.