US releases Russian defense firms sanctions list

Image
AFP Washington
Last Updated : Oct 28 2017 | 4:22 PM IST
Under pressure from an impatient Congress, President Donald Trump's administration belatedly published a list of Russian firms and agencies to comply with a new sanctions law.
Trump had opposed the law, which restricted his authority to loosen measures imposed to punish Russia for its meddling in Ukraine and alleged interference in US politics.
But he begrudgingly signed off on the "Countering America's Adversaries Through Sanctions Act" in August after lawmakers passed it with a veto-proof majority.
Under the act, the State Department was obliged to draw up within 60 days a list of contractors with ties to Russia's military and intelligence agencies.
On Thursday it finally sent the list to Congress, 25 days late, and yesterday it published it on its website.
The companies named include mainstays of Russia's export industry such as the huge military arms and vehicle supplier Rosoboronexport and iconic firearms pioneer Kalashnikov.
Appearing on the list does not mean that the firms themselves face sanctions, but measures may be taken against entities that conduct "significant transactions" with them.
Some of the firms and entities listed are already subject to direct US sanctions under separate laws or executive orders.
A senior State Department official said the administration shares Congress' intent to respond "to Russia's malign behavior with respect to the crisis in eastern Ukraine, cyber intrusions and attacks, and human rights abuses."
Speaking on condition of anonymity, he said that by banning transactions with the listed firms the US could limit "the sale of advanced Russian weaponry around the world."
Russia's arms export industry is a major plank of its economy and its clients include not only US foes like Iran and Syria, but important defence partners like India.
Some of Washington's allies in the Middle East have flirted with buying Russian air defense systems and some NATO allies in eastern Europe still use Russian-designed equipment.
The list of 39 entities includes Russia's main intelligence agencies -- the FSB, SVR and GRU -- and PO KSI, a tech company that the US has alleged trains Russian hackers.
Among the manufacturers and design bureaux listed for their ties to the military are state and para-statal agencies as well as nominally private companies.
These include aviation giants like Sukhoi and Tupolev and specialists in space research and missile technologies.
The list was published this week after complaints from both Republican and Democratic lawmakers that the administration appeared to be dragging its feet.
On Thursday, Senator Bob Corker, the Republican chairman of the Senate Foreign Relations Committee and in recent weeks a sharp critic of Trump, welcomed the delivery.
But he warned: "Congress will expect thorough and timely consultation until full implementation is complete."
The United States has already imposed a range of sanctions on Russia in response to human rights violations and its actions in Ukraine, but the new law goes further.
It will doubtless further chill already frosty US ties with President Vladimir Putin's Kremlin, which once hoped that Trump's election would hasten the end of such measures.
Any prospect of rapid detente has been wrecked by a diplomatic stand-off and by the ongoing investigation into Russia's alleged role in Trump's 2016 election victory.
The president himself has angrily dismissed suggestions that Putin weighed in by directing an army of hackers and internet trolls to smear Trump's rival Hillary Clinton.
But US intelligence agencies believe Moscow at least tried to influence the result, and a US special prosecutor is investigating whether the Trump campaign colluded in this.
Against this background, when Congress passed its act it included language to limit Trump's ability to ease sanctions on Russia unilaterally, angering the White House.
Nevertheless, the State Department officials who presented the list insisted the administration will cooperate with Congress in implementing the sanctions.
"On the question about interference in the election, I think it's very clear. The intelligence community has established very clearly what that issue is," one said.
"We will be implementing the sanctions legislation robustly in keeping with Congress' intent and the facts that precipitated that legislation, including interference in our election.

Disclaimer: No Business Standard Journalist was involved in creation of this content

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Oct 28 2017 | 4:22 PM IST

Next Story