War in Ukraine, “this is how Russia sanctions are circumvented”

“Through trade,” says Gentiloni. “From some data there are clearly increases in exports to and from some Central Asian countries”

“What is clear is that there is a way of circumventing the sanctions” adopted by the EU against Russia for the war in Ukraine “through trade”. This was underlined by the European Commissioner for the Economy, Paolo Gentiloni, at a press conference in Brussels. “We gave some data to the ministers yesterday at Ecofin – says Gentiloni – there are clearly increases in exports to some Central Asian countries, such as Armenia, Kazakhstan, Kyrgyzstan, and at the same time there are similar or comparable increases in exports from these Countries to Russia”.

“For example – he explains – in Kazakhstan, there was an increase of 185 million in exports from the EU, and 186 million in increased exports from Kazakhstan to Russia. I’m not pointing the finger at anyone, but… of course this is one of the challenges. Maybe we didn’t expect such a big challenge, but we can only face it if we increase our knowledge of customs” data.

“It is one of the recent challenges for our Customs Union”, continues Gentiloni. “I think this indicates” that “having different systems country by country allows those who engage in fraudulent conduct or those who want to circumvent the sanctions to do so through ‘customs shopping’ mechanisms. A customs entry or exit point is used less efficient or easier to use,” he concludes.