Reported by Alan Rappeport

The United States and Europe have imposed strict sanctions on Russia over the past two years. But an illicit network of traders and smugglers, working with the assistance of shadowy financial firms, has been helping Russia gain access to banned products that it needs to restock its military arsenal.

Treasury Secretary Janet L. Yellen on Friday warned financial institutions not to help supply Russia’s war machine.

“No one should doubt the resolve of the United States and our partners when weighing the real risks associated with support for Russian evasion,” Ms. Yellen said in a statement. “We expect financial institutions will undertake every effort to ensure that they are not witting or unwitting facilitators of circumvention and evasion.”

Moscow’s intelligence services and Ministry of Defense have turned to networks that are facilitating Russia’s access to banned materials by exporting them to other countries from which they can be shipped to Russia more easily. That has allowed Russia to gain access to critical technology that can aid its military.

Finding new ways to constrain Russia’s ability to restock its military supplies is increasingly important as Western aid to Ukraine is drying up.

Read full report: https://www.nytimes.com/2023/12/22/business/us-russia-ukraine-sanctions.html