The Nikkei publication analyzed Russian customs statistics from February 24, 2022 to March 31, 2023, using data provided by Indian analytics agency Export Genius. The investigation focused on transactions valued at more than $50,000 related to the supply of Japanese semiconductor components to Russia.

Which countries supply the most electronics to Russia?

In the sample, more than 89 transactions, representing a total of 2 million products worth $11 million, met the specified criteria. Surprisingly, more than 70% of banned deliveries of Japanese electronics to Russia were made by companies registered in China, specifically Hong Kong. South Korea and Turkey, on the other hand, lagged behind them, taking the third place among the countries participating in these deliveries.

During the same period, direct exports of semiconductor products from Japan to Russia fell 85% to just 150,000 units.

It is noteworthy that in June of last year, the American authorities added the Chinese company King-Pai Technology to the sanctions list. In March, the company supplied Russia worth of semiconductor products. $150,000is subject to a ban by US export control regulations. European officials have also expressed their intention to strengthen export control legislation to close existing loopholes.

Why is this an important issue?

The steady flow of Japanese semiconductors to Russia through third countries indicates that the aggressor country is actively using all possible loopholes. There are also many companies that do not shy away from the bloody Russian ruble, despite the restrictions imposed due to the total occupation of Ukraine.

It remains to be seen how the governments concerned will react to these findings and whether further action will be taken to strengthen export control mechanisms, given the constant flow of banned Japanese electronics into the country. Weapons used against Ukraine