India emerges as key player in tech exports to Russia
According to Bloomberg reports, India has taken second place in the ranking of suppliers of sanctioned technologies to Russia. China holds the first position.
10:49 AM EDT, October 12, 2024
India has significantly increased its exports of controlled technologies, such as microchips. In April and May, the value of such exports exceeded $60 million, representing nearly a twofold increase compared to the previous months of this year. In July, this value rose to $95 million. India ranks only behind China in terms of supply volume.
Significant involvement in the Russian military industry
Data shows that nearly 20% of the sensitive technology used in the Russian military industry reached there through India, according to Bloomberg's sources.
India, Malaysia, and Thailand have joined the group of countries like Turkey and the United Arab Emirates, which have long functioned as transshipment hubs for goods sent to Russia.
“India's role in the shipment of such goods poses a serious challenge as policymakers from the USA and the EU want to nurture a partnership 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 curb its sale,” wrote Bloomberg.
Key economic factors
According to officials, a crucial factor in this change is the massive reserves of Indian currency that Russia accumulated due to oil sales.
In July, U.S. Deputy Secretary of the Treasury Wally Adeyemo sent a letter to the Confederation of Indian Industry, warning Indian companies and banks about the risk of sanctions posed by cooperation with the Russian defense sector, according to a copy of the letter obtained by Bloomberg.
As a reminder, according to unofficial information, India was reportedly helping Russia circumvent sanctions, including those concerning sensitive goods.
