Despite sanctions, russia doubles imports of raw materials for gunpowder thanks to Western companies - WSJ

Despite sanctions, russia doubles imports of raw materials for gunpowder thanks to Western companies - WSJ

Kyiv  •  UNN

March 29 2024, 04:45 PM • 31938 views

Despite Western sanctions, russia increased its imports of nitrocellulose, a key ingredient for gunpowder production, by 70% in 2022 from companies in the US, Germany, Taiwan, and other countries.

Despite Western sanctions, russia has managed to increase imports of nitrocellulose, which is used, among other things, to produce gunpowder for artillery shells. The Wall Street Journalreports  and UNN .

Details

The publication noted that among the producers of nitrocellulose supplied to russia in the last two years are also companies from the United States, Germany and Taiwan.

Trade data cited by the WSJ shows that russia's imports of nitrocellulose increased by 70% in 2022, the first year of the full-scale invasion of Ukraine. By mid-2023, 3039 tons had been imported - almost double the amount in 2021.

It is noted that  only a few countries in the world produce nitrocellulose, as its main use is the production of ammunition and it is subject to international trade restrictions.

Nitrocellulose is also used for civilian purposes, but analysts believe that the growing imports are intended for weapons, given that the russian economy is reoriented to wartime production.

The journalists explained that russia itself produces little nitrocellulose. After the European Union and the United States imposed sanctions on Moscow, China increased its supplies of this substance to russia.

However, Liu Pengyu, spokesperson for the Chinese Embassy in Washington, said that Beijing "does not sell weapons to parties involved in the Ukrainian crisis and is prudent in its approach to exporting dual-use goods.

However, there are other suppliers. In particular, according to trade data, one small company in Turkey, Noy, has been responsible for almost half of the nitrocellulose imports to russia since the beginning of the war. Through it, Moscow buys nitrocellulose produced in the United States, Germany and Taiwan.

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For example, the German branches of the New York-based International Flavors & Fragrances sold at least 80 tons of nitrocellulose to Noy, which then shipped the products to russia.

Instead, Taiwan's TNC Industrial produced more than 500 tons of nitrocellulose, which Noy shipped to russia last year. 

Over the past two years, the company has purchased a similar volume of products from the German manufacturer Hagedorn-NC and shipped them to russia.

In addition, the russian importer Analytical Marketing Chemical Group has received nitrocellulose from Taiwan over the past two years worth almost $700,000.

The organization's website states that the company is a regular partner of the Kazan State Powder Plant. The organization told reporters that the company imports nitrocellulose for civilian purposes.

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According to journalists, representatives of International Flavors & Fragrances were "surprised" to learn that their product was being supplied to a third country. They assured that they would review the terms of this sale and further relations with the Turkish company Noy.

Addendum

The WSJ also emphasizes that Western companies' exports of this substance to russia are slowing down NATO's production of artillery weapons for Ukraine.

At the same time, U.S. analysts say that to be more effective, sanctions should be imposed on companies that supply this substance.

Meanwhile , the US Department of Commerce has added nitrocellulose to its list of high-priority controlled goods, which restricts its exports.

In turn, the US Treasury Department has warned that it will impose sanctions on banks and other institutions found to be financing such trade

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