Crippling Russia’s War Machine: Unraveling Sanctions and Evasion Tactics

At present, the United States is imposing sanctions on nearly 250 facilitators of Russia’s unlawful war against Ukraine. In this initiative, the Department of State is designating upwards of 150 individuals and organizations. Building on our January 10 measures against Russia’s energy sector, today’s actions seek to impede sanctions circumvention, especially by entities located in the People’s Republic of China (PRC), and to undermine Russia’s military industrial framework. Further designations focus on subsidiaries of the State Atomic Energy Corporation Rosatom (Rosatom).

Simultaneously, the Department of the Treasury is re-designating close to 100 previously sanctioned targets across Russia’s financial services, energy, and defense and related materials sectors. Treasury is also designating organizations implicated in various financial sanctions evasion operations. For details regarding Treasury’s measures, please refer to Treasury’s press release.

All targets of the Department of State are being designated under Executive Order (E.O.) 14024 which allows for sanctions related to specified harmful foreign activities of the Government of the Russian Federation.

The United States will utilize all available means to disrupt support for Russia’s military-industrial framework and limit the Kremlin’s capacity to exploit the international financial system and generate revenue in furtherance of its war against Ukraine. We stand with Ukraine as it protects its citizens and its sovereign territory against Russia’s aggressive actions.

COUNTERING SANCTIONS EVASION AND REPLACEMENT EFFORTS

The Department’s goal is to disrupt the networks and means through which Russia acquires technology and equipment from overseas to aid its military efforts. Today’s designations target manufacturers, exporters, and importers of items essential to Russia’s military-industrial base. These items encompass microelectronics and computer numerical control (CNC) items on the Common High Priority List (CHPL), cataloged by the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) in collaboration with the European Union (EU), Japan, and the United Kingdom. Entities operating in the PRC remain the primary sources of these goods for Russia. Additionally, entities in various other locations, notably Malaysia, Türkiye, and the United Arab Emirates (UAE), are also providing these items and other significant dual-use goods to Russia. These exports have included vital components that Russia depends upon to manufacture the weapon systems it deploys in its conflict against Ukraine.

PRC-Based Organizations Aiding Russia’s Military Industrial Framework

The United States continues to be profoundly troubled by the export of dual-use goods from the PRC to the Russian military-industrial complex. PRC organizations persist in trading these items, utilizing the sanctions evasion and circumventing networks that Russia has established to deliver CHPL microelectronics, CNC tools (machine tools), and other military-applicable components. Imports from the PRC close critical gaps in Russia’s defense production cycle, enabling its production of weapon systems, increase defense output, and strengthen its military-industrial sector.

Today, the Department is designating multiple entities and individuals located in the PRC that have supplied goods to Russian entities involved in the development, production, and supply of items crucial to Russia’s military industrial capability. These designations focus on manufacturers and exporters of CNC items vital to Russia’s military industrial base, including those that have supplied goods directly to U.S.-designated entities in Russia.

Moreover, the Department is designating PRC-based entities that are participating in the supply and production of Russian glide bombs and attack drones Lancet and Garpiya-A1, employed in Russia’s conflict against Ukraine.

Pursuant to section 1(a)(i) of E.O. 14024, the following entities are being designated for operating or having operated in the manufacturing sector of the Russian Federation economy:

• WAFANGDIAN BEARING COMPANY LIMITED (WAFANGDIAN BEARING) is a PRC-based firm that provided over $2.5 million worth of CHPL items to Russian entities between January 2023 and at least March 2024, including to U.S.-designated AKTSIONERNOE OBSHCHESTVO TASKOM.
• GANZHOU GUANGWEI INTERNATIONAL TRADE CO LTD (GUANGWEI INTERNATIONAL TRADE) is a PRC-based organization that has supplied in excess of $900,000 worth of CHPL items such as manufacturing components and aviation engines produced by U.S.-designated, PRC-based XIAMEN LIMBACH AIRCRAFT ENGINE CO LTD. GUANGWEI INTERNATIONAL TRADE provided these items to Russian entities from June 2023 to at least January 2024, including APEKSGRUP LIMITED LIABILITY COMPANY. In 2023, Russia initiated the production of a long-range attack drone, Garpiya-A1, utilizing engines from XIAMEN LIMBACH AIRCRAFT ENGINE CO LTD.
• APEKSGRUP LIMITED LIABILITY COMPANY (APEKSGRUP) is a Russia-based entity involved in manufacturing metal products that received aviation engines produced by U.S.-designated, PRC-based XIAMEN LIMBACH AIRCRAFT ENGINE CO LTD, from GUANGWEI INTERNATIONAL TRADE in 2023.
• REG AUTO SHANGHAI INDUSTRY LTD (REG AUTO SHANGHAI) is a PRC-based company that has provided over $1.5 million worth of CHPL items such as manufacturing components and aviation engines supplied by U.S.-designated, PRC-based XIAMEN LIMBACH AIRCRAFT ENGINE CO LTD. Between January 2023 and at least March 2024, REG AUTO SHANGHAI provided these items to Russian entities, including LIMITED LIABILITY COMPANY ANGAR 22.
• LIMITED LIABILITY COMPANY ANGAR 22 (ANGAR 22) is a Russia-based firm focused on the manufacture and assembly of aircraft. ANGAR 22 received aviation engines from REG AUTO SHANGHAI that were produced by U.S.-designated, PRC-based XIAMEN LIMBACH AIRCRAFT ENGINE CO LTD.
• ZHEJIANG KAIDA MACHINE TOOL CO LTD (KAIDA MACHINE TOOL) is a PRC-based entity that has supplied more than $3 million worth of CHPL items including manufacturing components, particularly CNC machine tools, to Russian entities from January 2023 up to at least April 2024. KAIDA MACHINE TOOL provided these products to various Russian entities, including U.S.-designated LIMITED LIABILITY COMPANY INKOR and LIMITED LIABILITY COMPANY ITA TECHNOLOGY.
• LIMITED LIABILITY COMPANY ITA TECHNOLOGY (ITA TECHNOLOGY LLC) is a Russia-based organization involved in the wholesale distribution of industrial machinery and equipment. ITA TECHNOLOGY LLC received over $2.7 million worth of CHPL items such as manufacturing components from KAIDA MACHINE TOOL starting in January 2023 continuing at least until April 2024.
• DONGGUAN JETLAND SUPPLIER CHAIN MANAGEMENT COMPANY LIMITED (DONGGUAN JETLAND) is a PRC-based entity that has supplied over $25 million worth of CHPL items such as manufacturing components, including CNC machine tools, to U.S.-designated, Russia-based
• LIMITED LIABILITY COMPANY I MACHINE TECHNOLOGY, from May 2023 until at least April 2024.
• ZHEJIANG MARQUIS INTERNATIONAL TRADING CO LTD (MARQUIS INTERNATIONAL TRADING) is a PRC-based organization that has delivered more than $5 million in CHPL products such as manufacturing parts, including CNC machine tools, to Russian companies from May 2023 to at least February 2024, including U.S.-identified, Russia-based HAITIAN PRECISION LLC and NEWTON ITM.
• DONGGUAN CITY BIGA GRATING MACHINERY CO LTD (DONGGUAN CITY BIGA) is a PRC-based organization that has provided over $12 million worth of CHPL goods like manufacturing components, including CNC machine tools, to U.S.-designated and Russia-based BALTIYSKAYA PROMISHLENNAYA KOMPANIYA and PUBLIC JOINT STOCK COMPANY SASTA, from June 2023 to at least April 2024.
• ZHEJIANG GFIR TECHNOLOGY AND INDUSTRIAL CO LTD (GFIR TECHNOLOGY) is a PRC-based organization that has furnished more than $7 million in CHPL items such as manufacturing components, including CNC machine tools, to U.S.-designated, Russia-based LIMITED LIABILITY COMPANY KMT and LLC MASHIMPORT from January 2023 to at least April 2024.
• SHANDONG WEIDA HEAVY INDUSTRIES CO LTD (WEIDA HEAVY INDUSTRIES) is a PRC-based entity that sent over $1.6 million worth of CHPL items such as manufacturing components, including CNC machine tools, to Russia-based JOINT STOCK COMPANY NOVY LIZING during the period from January 2024 to February 2024.
• JOINT STOCK COMPANY NOVY LIZING (NOVY LIZING) is a Russia-based entity involved in providing metal-cutting and industrial machinery. NOVY LIZING acquired over $1.6 million in CHPL items from WEIDA HEAVY INDUSTRIES during January 2024 to February 2024.
• DALIAN XINPENGHAI ELECTROMECHANICAL EQUIPMENT CO LTD (M&E EQUIPMENT) is a PRC-based entity that has exported over $24.7 million in CHPL items like manufacturing components, including CNC machine tools, to U.S.-designated, Russia-based BALTIYSKAYA PROMISHLENNAYA KOMPANIYA from March 2023 to at least April 2024.
• OKE PRECISION CUTTING TOOLS CO LTD (OKE) is a PRC-based company that has delivered over $7 million worth of manufacturing materials to Russia-based OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTYU DOMINIK from January 2023 to at least April 2024.
• OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTYU DOMINIK (DOMINIK) is a Russian supplier of industrial cutting machines that received over $7 million worth of manufacturing products from OKE spanning from January 2023 to at least April 2024. DOMINIK’s clientele and associates include various Russian industrial firms that have been sanctioned for their involvement in bolstering Russia’s military, including in the production of weapons and rocket launchers utilized against Ukraine.

In accordance with section 1(a)(i) of E.O. 14024, the following entities are designated for conducting or having conducted activities in the technology sector of the Russian Federation economy:

• TAIHUI ELECTRONICS SHENZHEN CO LTD (TAIHUI ELECTRONICS) is a PRC-based entity that provided more than $1.7 million of CHPL goods, including electronic components, in March 2024 to Russia-based LIMITED LIABILITY COMPANY FIRST LOGISTICS COMPANY.
• LIMITED LIABILITY COMPANY FIRST LOGISTICS COMPANY (FIRST LOGISTICS) is a Russia-based wholesaler of computer, office equipment, and software that received over $1.7 million worth of CHPL goods from TAIHUI ELECTRONICS in March 2024.
• ABINGO DISTRIBUTORS LIMITED (ABINGO) is an entity based in Hong Kong that has supplied $14.4 million value of CHPL items, such as electronic components, to Russia-based LIMITED LIABILITY COMPANY CHEYNCHIP from January 2023 to at least March 2024.
• LIMITED LIABILITY COMPANY CHEYNCHIP (LLC CHEYNCHIP) is a Russia-based entity engaged in the wholesale distribution of electronic equipment that received more than $14 million worth of CHPL items from ABINGO between January 2023 and at least March 2024.

According to section 1(a)(vi)(B) of E.O. 14024, the following entity is being designated for having significantly aided, sponsored, or offered financial, material, or technological support or goods or services to or in support of LIMITED LIABILITY COMPANY PRECISION LASER SYSTEMS, a person whose properties and interests are blocked under E.O. 14024:

• HAUCORE LTD is a state-owned enterprise based in PRC that has supplied laser diodes to U.S.-designated Russia-based entities, including LIMITED LIABILITY COMPANY PRECISION LASER SYSTEMS. These laser components are subsequently shipped to U.S.-designated, Belarus-based OPEN JOINT STOCK COMPANY ROGACHEVSKY ZAVOD DIAPROEKTOR, an organization engaged in Russia-Belarus defense collaboration, likely for integration into opto-electronic sights used in armored combat vehicles. LIMITED LIABILITY COMPANY PRECISION LASER SYSTEMS was designated by the Department of State on October 30, 2024, and OPEN JOINT STOCK COMPANY ROGACHEVSKY ZAVOD DIAPROEKTOR was designated by the Department of State on August 23, 2024, under section 1(a)(i) of E.O. 14024 for functioning or having functioned in the defense and related material sector of the Russian Federation economy.

PRC-Origin Servo Motors Employed in Russian Glide Bombs Targeting Ukraine

The Department is identifying the following entities and individuals linked to a procurement network for PRC-origin servo motors utilized in Russia’s Unified Gliding and Correction Modules (UMPK). Russia employs UMPKs produced by U.S.-designated Tactical Missiles Corporation JSC (KTRV) to enhance the reach of its aerial bombs. This procurement network is accountable for the shipment of no less than 80,000 PRC-origin servo motors valued at approximately $200 million designated for Russian defense users. PRC-origin servo motors procured through this network have been discovered on the battlefield in Ukraine.

Throughout 2022 and 2023, a Russia-based entity, OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU SV POLIMER, received deliveries from PRC-based SHENZHEN UNISON BIO TECH CO LTD (UNISON), SHENZHEN BIOSEN BIO TECH CO (BIOSEN), and UNIHUI INTERNATIONAL LIMITED consisting of electronics and servo motors totaling at least $46.5 million. In April 2023, the Russia-based OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU OMNITREID (OMNITRADE) was formed and began receiving shipments throughout 2023 from PRC-based SHENZHEN YISHENGDA INTERNATIONAL TECHNOLOGY CO LTD (YSD), UNISON, and BIOSEN consisting of electronics and servo motors worth at least $75.5 million. Further shipments from these PRC-based organizations to Russian users have taken place.

Throughout 2024, OMNITRADE and its general director SERGEI NIKOLAEVICH VOVCHENKO entered into contracts with U.S.-designated TRV Engineering JSC to supply millions of dollars worth of PRC-origin servo motors to TRV Engineering JSC. TRV Engineering JSC serves as the authorized procurement agent for U.S.-designated, Russia-based KTRV and its subordinate firms. On August 23, 2024, the Department of the Treasury designated TRV Engineering JSC pursuant to section 1(a)(i) of E.O. 14024 for operating or engaging in the defense and related material sector of the Russian Federation economy.

In accordance with section 1(a)(i) of E.O. 14024, the following entity is being designated for operating or having operated in the technology sector of the Russian Federation economy:

• OBSHCHESTVO S OGRANICHENNOIOTVETSTVENNOSTIU OMNITREID (OMNITRADE) is a developer and producer located in Russia, specializing in advanced components utilized in the fabrication of unmanned aerial vehicles employed in the nation’s defense sector. OMNITRADE has acquired substantial quantities of servo motors, an essential element for the creation of glide bombs utilized by Russia’s military forces, from PRC-based firms such as SHENZHEN UNISON BIO TECH CO LTD, SHENZHEN BIOSEN BIO TECH CO, SHENZHEN YISHENGDA INTERNATIONAL TECHNOLOGY CO LTD, and UNIHUI INTERNATIONAL LIMITED, subsequently supplying them to defense manufacturing companies in Russia designated by the U.S.

In accordance with section 1(a)(i) of E.O. 14024, the following business is being designated for its operations within the manufacturing sector of the Russian economy:

• OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU SV POLIMER (SV POLIMER) represents a manufacturing entity in Russia producing polymer items, having procured significant amounts of servo motors, a critical component for glide bomb production employed by Russia’s armed forces, from PRC-established companies SHENZHEN UNISON BIO TECH CO LTD, SHENZHEN BIOSEN BIO TECH CO, SHENZHEN YISHENGDA INTERNATIONAL TECHNOLOGY CO LTD, and UNIHUI INTERNATIONAL LIMITED, and supplying them to U.S.-designated defense manufacturing firms in Russia.

In line with section 1(a)(iii)(C) of E.O. 14024, the subsequent individual is being designated for their role as a leader, official, senior executive officer, or board member of OMNITRADE, a person whose assets and interests in assets are obstructed per E.O. 14024:

• SERGEI NIKOLAEVICH VOVCHENKO (VOVCHENKO) serves as the founder and General Director of OMNITRADE. VOVCHENKO has facilitated the supply of servo motors worth millions originating from the PRC to U.S.-designated TRV Engineering JSC.

According to section 1(a)(iii)(C) of E.O. 14024, the following individual is being designated for being or having been a leader, official, or senior executive officer, or member of the board of directors of SV POLIMER, a person whose property and interests in property are blocked per E.O. 14024:

• DMITRII EVGENEVICH VOITIKHOV (VOITIKHOV) is the General Director of SV POLIMER.

Pursuant to section 1(a)(vi)(B) of E.O. 14024, the following entities are designated for having materially aided, endorsed, or provided financial, material, or technological support for, or goods or services to or in favor of OMNITRADE, a person whose property and interests in property are blocked in accordance with E.O. 14024:

• SHENZHEN UNISON BIO TECH CO LTD (UNISON) is a PRC-based corporation that dispatched servo motors valued at millions, crucial in fabricating glide bombs for Russia’s armed forces, to OMNITRADE.
• SHENZHEN BIOSEN BIO TECH CO LTD (BIOSEN) is a PRC-based corporation that sent servo motors worth millions, essential for the production of glide bombs utilized by Russia’s military forces, to OMNITRADE.
• SHENZHEN YISHENGDA INTERNATIONAL TECHNOLOGY CO LTD (YSD) is a PRC-based firm that forwarded millions worth of servo motors, an integral component for producing glide bombs used by Russia’s armed forces, to OMNITRADE.

Under section 1(a)(vi)(B) of E.O. 14024, the following entities are being designated for providing significant assistance, sponsorship, or financial, material, or technological support, or goods or services to or in support of SV POLIMER, a person whose property and interests in property are blocked pursuant to E.O. 14024:

• UNIHUI INTERNATIONAL LIMITED (UNIHUI) is a company based in Hong Kong that dispatched servo motors valued at millions, essential for glide bomb production for Russia’s armed forces, to SV POLIMER.

Procurement Network of Limited Liability Company Zala Aero

Supporting Production of the Lancet Drone

The Department is designating multiple entities necessary for supplying microelectronic components, machine tools, electric motors, and engines to the Russia-based and U.S.-designated LIMITED LIABILITY COMPANY ZALA AERO (ZALA). ZALA is accountable for producing prominent battlefield drones deployed by the Russian military in Ukraine, including the Lancet-3 and Lancet-3M drones. ZALA employs a network of exporters and intermediaries located in the PRC and Türkiye operating from Russia to circumvent sanctions and acquire foreign-made components for its Lancet drones and other sophisticated weapon systems provided to the Russian Ministry of Defense. This measure is part of the Department’s continuous effort to diminish Russia’s military capabilities in Ukraine, following the November 2, 2023, designation of entities and individuals complicit in obtaining items for the production of ZALA’s KUB-BLA and Lancet suicide drones, which are deployed by the Russian military in Ukraine.

In accordance with section 1(a)(i) of E.O. 14024, the following entities are designated for operating or having operated in the manufacturing sector of the Russian economy:

• STAR RAPID MANUFACTURING CO LTD (STAR RAPID) is a PRC-based entity that delivered numerous shipments exceeding $16 million to Russia-based firms, including U.S.-designated LIMITED LIABILITY COMPANY OMP and LIMITED LIABILITY COMPANY POLYEZNY ELEMENT 5, between January 2023 and at least March 2024.
• SAHINLER METAL MAKINA ENDUSTRI ANONIM SIRKETI (SAHINLER METAL) is a Türkiye-based entity that sent around $1.4 million worth of goods to Russia-based companies, including LIMITED LIABILITY COMPANY KM GROUP and U.S.-designated PG VEKPROM LLC, between January 2023 and at least April 2024. These shipments incorporated items like machine tools.
• LIMITED LIABILITY COMPANY KM GROUP (KM GROUP) is a manufacturing entity situated in Russia that received machine tools, including CNC machine tools, as well as engines and motors from SAHINLER METAL. KM GROUP is crucial in sourcing and transferring foreign-made items to ZALA.
• LIMITED LIABILITY COMPANY POLYEZNY ELEMENT 5 (PE 5) is another Russian-based manufacturing entity that obtains ferrous metals and aluminum products necessary to support ZALA. PE 5 plays a vital role in the procurement and transfer of foreign-made items to ZALA.
• OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTYU SEB (SEB) is a Russian enterprise engaged in the wholesale trading of machinery, industrial equipment, vessels, and aircraft. SEB performs a critical role in transferring items to ZALA.
• LIMITED LIABILITY COMPANY AIDRONEKS (AIDRONEKS) is a Russia-based manufacturing entity that receives carbon fiber products from entities based in the PRC. AIDRONEKS is key in acquiring and transferring foreign-made items to ZALA.
• LIMITED LIABILITY COMPANY LITHIUMION (LITHIUMION) is a Russia-based company involved in manufacturing batteries and electrical accumulators. LITHIUMION is essential in sourcing and transferring foreign-made items to ZALA.

According to section 1(a)(i) of E.O. 14024, the following entities are being designated for operating or having operated in the technology sector of the Russian Federation economy:

• ARMIDA MAKINA IC VE DIS TICARET LIMITED SIRKETI is a company from Türkiye that sent items worth over $6 million to entities based in Russia, including those designated by the U.S.-
• LIMITED LIABILITY COMPANY ENTEP, between January 2023 and at least April 2024, conducted shipments encompassing a diverse array of CHPL products, including electrical motors, static converters, and fiber optic communication systems.
• JIANGXI XINTUO ENTERPRISE CO LTD is a drone manufacturer located in the PRC that dispatched more than $9 million in goods to companies in Russia, including the U.S.-designated LIMITED LIABILITY ENTITY OMP and LLC ALTRABETA, from January 2023 through at least February 2024. The majority of these shipments pertained to carbon fiber items as well as electrical motors and generators.
• LIMITED LIABILITY COMPANY TIMECHIPS (TIMECHIPS) operates from Russia and is engaged in the wholesale trading of computers and their peripheral devices and software. TIMECHIPS provides imported military and dual-use products to firms within the Russian military-industrial complex and aerospace sector, playing a vital role in acquiring and transferring foreign-made goods to ZALA.
• LIMITED LIABILITY COMPANY LOGIK AY SI (LOGIK AY SI) is a technology firm based in Russia that received shipments valued at over $3 million from the Hong Kong-based, U.S.-designated ALIGN TRADING LIMITED between July 2023 and at least February 2024. The items shipped included monolithic integrated circuits and electrical components for machinery and other devices. LOGIK plays a crucial role in sourcing and moving foreign-made goods to ZALA.

Procurement Network for PRC-Origin Components Utilized in Russian Defense Manufacturing

Based in Russia, OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU ROKEM SERVIS (ROKEM SERVICE) has collaborated with U.S.-designated entities such as JOINT STOCK COMPANY PRODUCTION ASSOCIATION NORTHERN MACHINE-BUILDING ENTERPRISE (JOINT STOCK COMPANY PO SEVMASH) to supply equipment for Russian naval and MAIN DIRECTORATE OF DEEP SEA RESEARCH vessels, encompassing submarines, support vessels, frigates, corvettes, and tank landing crafts. Proprietor OLEG NIKOLAYEVICH KIRYUSHKIN and general director IRINA NIKOLAYEVNA MELNIK have participated in these procurements. ROKEM SERVICE has enabled collaboration between FANGYUE LI and PRC-based firms JIANGSU KUNYEE ENVIRONMENTAL TECHNOLOGIES COMPANY LTD and SHAANXI JIAJUNAO CONSTRUCTION ENGINEERING COMPANY LTD to acquire foreign-manufactured components necessary for water treatment and filtration apparatuses designed for use on Russian naval vessels.

On April 7, 2022, the Department of State designated JOINT STOCK COMPANY PO SEVMASH in accordance with section 1(a)(vii) of E.O. 14024. JOINT STOCK COMPANY PO SEVMASH is a subsidiary of the United Shipbuilding Corporation that constructs submarines for the Russian Navy. Subsequently, on February 24, 2023, the Department of State designated MAIN DIRECTORATE OF DEEP SEA RESEARCH (GUGI) under section 1(a)(i) of E.O. 14024. GUGI operates under the Ministry of Defense and functions as the maritime counterpart of a Russian military intelligence agency, overseeing Russia’s unconventional warfare submarines and managing the deployment and upkeep of underwater military apparatus.

In accordance with section 1(a)(i) of E.O. 14024, the following entity and individuals have been designated for their involvement or past involvement in the defense and related materiel sector of the Russian Federation’s economy:

• OBSHCHESTVO S OGRANICHENNOI OTVETSTVENNOSTIU ROKEM SERVIS (ROKEM SERVICE) is a Russian entity concerned with the production and distribution of water treatment and filtration apparatus. Furthermore, ROKEM SERVICE has coordinated with U.S.-designated entities like JOINT STOCK COMPANY PO SEVMASH to provide equipment for Russian naval and GUGI vessels, including submarines, support ships, frigates, corvettes, and tank landing vessels.
• OLEG NIKOLAYEVICH KIRYUSHKIN (KIRYUSHKIN) is a dual national of Russia and Germany and serves as the owner and former General Director of ROKEM SERVICE. Additionally, KIRYUSHKIN has facilitated collaboration between ROKEM SERVICE and FANGYUE LI for the procurement of foreign-manufactured components needed for water treatment and filtration systems.
• IRINA NIKOLAEVNA MELNIK (MELNIK) is a Russian national serving as the General Director of ROKEM SERVICE. Moreover, MELNIK has engaged with officials from JOINT STOCK COMPANY PO SEVMASH to acquire foreign-manufactured components for Russian naval vessels.

In accordance with section 1(a)(vi)(B) of E.O. 14024, the following entities and individual are being designated for their material assistance, sponsorship, or provision of financial, material, or technological support, as well as goods or services to or in support of ROKEM SERVICE:

• FANGYUE LI is a PRC and German national serving as a board member and Chief Technology Officer of JIANGSU KUNYEE ENVIRONMENTAL TECHNOLOGIES COMPANY LTD. Furthermore, LI has collaborated with ROKEM SERVICE to provide foreign-manufactured components intended for Russian naval vessels.
• JIANGSU KUNYEE ENVIRONMENTAL TECHNOLOGIES COMPANY LTD is a company based in the PRC that specializes in water filtration systems and services. Additionally, it has acted under the direction of FANGYUE LI to supply foreign-manufactured components to ROKEM SERVICE for use on Russian naval ships.
• SHAANXI JIAJUNAO CONSTRUCTION ENGINEERING COMPANY LTD is a PRC-based firm providing environmental and engineering products. SHAANXI JIAJUNAO CONSTRUCTION ENGINEERING COMPANY LTD has operated under the direction of FANGYUE LI to supply foreign-manufactured components to ROKEM SERVICE for utilization on Russian naval vessels.

Additional Third-Country Entities Supporting Russia’s Military-Industrial Complex

The Department is also designating various third-country firms that have provided goods or services to components of Russia’s military-industrial base as well as to Russian military end-users and the entities that have engaged in business transactions with them.

Under section 1(a)(i) of E.O. 14024, the following entities are being designated for their operations or past operations in the manufacturing sector of the Russian Federation’s economy:

• FARTON MITEX SDN BHD (FARTON) is a company based in Malaysia that has shipped over $11 million worth of CHPL items from January 2023 to at least March 2024 to Russia-based entities, including LIMITED LIABILITY COMPANY BRIDZH BEAR. These shipments comprised products like ball bearings, spherical ball bearings, tapered ball bearings, and cylindrical ball bearings.
• LIMITED LIABILITY COMPANY BRIDZH BEAR (BRIDZH BEAR) operates as a wholesale distributor of industrial machinery in Russia and received CHPL items from FARTON.
• FOBEARINGS SDN BHD (FOBEARINGS) is a Malaysia-based firm that dispatched approximately $5 million worth of CHPL products to companies in Russia, including LIMITED LIABILITY COMPANY TORGOVYY DOM AGROAKHTUBA, from January 2023 to at least March 2024. Shipments comprised ball bearings and roller bearings.
• LIMITED LIABILITY COMPANY TORGOVYY DOM AGROAKHTUBA (AGROAKHTUBA) is a Russia-based entity that received around $900,000 worth of CHPL items between January 2023 and at least March 2024 from companies, including FOBEARINGS.
• GLOWY PREMIER TREND SDN BHD (GLOWY) is a Malaysia-based enterprise that has shipped over $7.5 million worth of CHPL merchandise from January 2023 to at least March 2024.

to Russia-based businesses, including LIMITED LIABILITY COMPANY PROMELEKTROSERVIS. These deliveries encompassed items such as ball bearings, spherical ball bearings, tapered ball bearings, and cylindrical ball bearings.

• LIMITED LIABILITY COMPANY PROMELEKTROSERVIS (PROMELEKTROSERVIS) is a Russia-based wholesale supplier of industrial machinery and equipment that received deliveries of CHPL products from GLOWY.
• SERMAX LOJISTIK SANAYI VE DIS TICARET LIMITED SIRKETI (SERMAX) is a Türkiye-based firm that exported over $685,000 worth of CHPL items from January 2023 to at least March 2024 to Russia-based businesses, including LIMITED LIABILITY COMPANY DZHET SNAB and U.S.-designated LIMITED LIABILITY COMPANY GALIKA SERVIS. These deliveries included U.S., UK, and EU-origin products such as ball bearings and machine tool components.
• LIMITED LIABILITY COMPANY DZHET SNAB (DZHET SNAB) is a Russia-based manufacturing firm that received more than $200,000 worth of CHPL items from SERMAX from April 2023 to at least March 2024.
• BIMAKSAN TAKIM TEZGAHLARI SANAYI VE DIS TICARET MUHLIS KOKSAL VE ORTAGI KOLLEKTIF SIRKETI (BIMAKSAN) is a Türkiye-based entity that delivered over $6.1 million worth of CHPL goods from January 2023 to at least March 2024 to entities including LIMITED LIABILITY COMPANY PROMLOGISTIKA, U.S.-designated LIMITED LIABILITY COMPANY INKOR, and U.S.-designated PROMOIL LIMITED LIABILITY COMPANY. These deliveries included items such as metalworking lathes and CNC machinery.
• LIMITED LIABILITY COMPANY PROMLOGISTIKA (PROMLOGISTIKA) is a Russia-based manufacturing organization that received over $2.6 million worth of CHPL products, including from BIMAKSAN TAKIM TEZGAHLARI SANAYI VE DIS TICARET MUHLIS KOKSAL VE ORTAGI KOLLEKTIF SIRKETI, between January 2023 and at least April 2024. These items included products such as metal-cutting lathes and metalworking machines.

In accordance with section 1(a)(i) of E.O. 14024, the following organizations are being designated for their operations or previous operations in the technology sector of the Russian Federation economy:

• AROHI SYSTEMS TRADING LIMITED LIABILITY COMPANY (AROHI) is a UAE-based firm that delivered over $1.4 million worth of CHPL products to Russia-based entities, including LIMITED LIABILITY COMPANY ITK SISTEMA, between August 2023 and at least March 2024. These shipments featured microelectronic items with U.S.-brands and EU origin, such as equipment for wire communication systems, static converters, and fiber optic communication systems.
• LIMITED LIABILITY COMPANY ITK SISTEMA (ITK) is a Russia-based software programming service entity that received shipments of CHPL items from AROHI between August 2023 and at least March 2024.
• LIMITED LIABILITY COMPANY TELECOM AND MICROELECTRONICS INDUSTRIES (TMI) is a Russia-based electronics manufacturer that received approximately $51 million worth of shipments that included U.S., EU, and other G7-origin CHPL items from U.S.-designated companies ASAY IC VE DIS TICARET LIMITED SIRKETI and LETT TRONIC GROUP LIMITED between July 2023 and at least March 2024. The deliveries included microelectronic items such as connectors and sockets for printed circuit boards and integrated monolithic circuits.
• CS YONETIM VE DESTEK HIZMETLERI LIMITED SIRKETI (CS YONETIM) is a Türkiye-based entity that exported over $1.9 million of CHPL items from May 2023 to at least March 2024 to Russia-based, U.S.-designated LIMITED LIABILITY COMPANY GAAN CORPORATION. These shipments featured products of EU origin such as digital oscilloscopes and signal generators.
• PROFFPCB FZCO (PROFFPCB) is a UAE-based organization that shipped more than $4.9 million worth of CHPL products to Russia-based entities, including LIMITED LIABILITY COMPANY TELP and LIMITED LIABILITY COMPANY NAUCHNO PROIZVODSTVENNOE PREDPRIYATIE NEVAAPPARAT, between December 2023 and at least March 2024. These products included multilayer printed circuit boards.
• LIMITED LIABILITY COMPANY TELP (TELP) is a Russia-based firm that received over $3.7 million worth of CHPL items, including from PROFFPCB, between January 2024 and at least April 2024. These deliveries contained U.S.-origin products such as multilayer printed circuit boards.
• ACE BEARINGS FZE (ACE BEARINGS) is a UAE-based organization that shipped over $1 million of CHPL items to Russia-based companies, including LIMITED LIABILITY COMPANY ARMEKS and U.S.-designated OOO TD PODSHIPNIK TRADE, from April 2023 to at least February 2024. These deliveries encompassed U.S., EU, UK, and other G7-origin products such as ball bearings and spherical roller bearings.
• LIMITED LIABILITY COMPANY ARMEKS (ARMEKS) is a Russia-based entity that received over $170,000 worth of CHPL items from ACE BEARINGS in February 2024 alone.
• LIMITED LIABILITY COMPANY NAUCHNO PROIZVODSTVENNOE PREDPRIYATIE NEVAAPPARAT (NEVAAPPARAT) is a Russia-based firm that accepted more than $1.4 million worth of CHPL items, including from PROFFCB, between December 2023 and at least January 2024. These shipments included multilayer printed circuit boards.
• VICTORY EXPERT TRADING FZ LLC (VICTORY EXPERT) is a UAE-based organization that shipped over $1 million of CHPL items to Russia-based LIMITED LIABILITY COMPANY TAMARIKS from July 2023 to at least March 2024. These shipments included U.S.-origin products such as commutation panels and static converters.
• LIMITED LIABILITY COMPANY TAMARIKS (TAMARIKS) is a Russia-based firm that received more than $1 million worth of CHPL items from VICTORY EXPERT between July 2023 and at least March 2024.
• NAZMIH TRADING FZE LLC (NAZMIH TRADING) is a UAE-based organization that dispatched over $575,000 worth of CHPL items to Russia-based businesses, including LIMITED LIABILITY COMPANY VELOKS and U.S.-designated S 7 ENGINEERING LLC from October 2023 to at least March 2024. These deliveries featured products of U.S., UK, EU, and other G7 origin, such as power units, commutators, and integrated circuits.
• LIMITED LIABILITY COMPANY VELOKS (VELOKS) is a Russia-based entity that received over $500,000 worth of CHPL items from NAZMIH TRADING between November 2023 and at least March 2024. These shipments included products of G7 origin such as power units, commutators, and integrated circuits.

In accordance with section 1(a)(vi)(B) of E.O. 14024, the following entities are being designated for having materially supported, sponsored, or provided financial, material, or technological assistance for, or goods or services to or in endorsement of, GUGI, a person whose assets and interests in assets are blocked under E.O. 14024:

• ATLASNOBLE GAYRIMENKUL DANISMANLIK ANONIM SIRKETI is a Türkiye-based entity that facilitated transactions for sensitive equipment ultimately intended for U.S.-designated Russian military end-user GUGI.
• YMV KREYN VE MAKINA SISTEMLERI SANAYI TICARET ANONIM SIRKETI is a Türkiye-based company that produces marine cranes, winches, and propulsion systems. Furthermore, YMV KREYN VE MAKINA SISTEMLERI SANAYI TICARET ANONIM SIRKETI manufactured sensitive equipment intended for U.S.-designated Russian military end-user GUGI.

In accordance with section 1(a)(iii)(C) of E.O. 14024, the following individual is being designated for being or having been a leader, official, senior executive, or board member of YMV KREYN VE MAKINA SISTEMLERI SANAYI TICARET ANONIM SIRKETI, a person whose propertyand assets in property are restricted in accordance with E.O. 14024:

• AHMET YUKSEL is a citizen of Turkey and the proprietor and executive of YMV KREYN VE MAKINA SISTEMLERI SANAYI TICARET ANONIM SIRKETI, which produced sensitive devices ultimately designated for U.S.-sanctioned Russian military user GUGI.

According to section 1(a)(i) of E.O. 14024, the subsequent individual and entity are being recognized for their operations or involvement in the aerospace sector of the Russian Federation economy:

• JOINT STOCK COMPANY BERDSK ELECTROMECHANICAL PLANT (BEMZ) is a machine-building organization based in Russia that has been sourcing aviation components for U.S.-designated S 7 ENGINEERING LLC.
• VASILI ALEKSEEVICH YURCHENKO (YURCHENKO) holds the position of Director-General at BEMZ.

In accordance with section 1(a)(iii)(C) of E.O. 14024, the following individual is being recognized for being or having served as a leader, senior executive officer, or a board member at BEMZ:

• SERGEI PAVLOVICH SAVCHENKOV (SAVCHENKOV) holds the majority share and is a member of the Board of Directors at BEMZ.

UNDERMINING RUSSIA’S MILITARY INDUSTRIAL CAPACITY

The Department is naming various entities and individuals involved in the creation, manufacturing, and distribution of munitions, artillery systems, missiles, armored vehicles, military radio-electronics, and other defense-related equipment. These designations target essential battlefield supplies and weapon systems that enable the Kremlin to conduct warfare against Ukraine.

Moreover, we are identifying two entities connected to Russia’s leading arms fair, the International Military-Technical Forum ‘ARMY’. This annual exhibition is organized by the Russian Ministry of Defense. This event represents a principal opportunity for Russia’s defense sector to boost its sales, reach, and influence with international partners and defense industries. These actions further isolate Russia’s defense industrial sector from global markets and

In accordance with section 1(a)(i) of E.O. 14024, the following entities and individuals are being named for operating or having operated in the defense and related material sector of the Russian Federation economy:

• JOINT STOCK COMPANY MOTOVILICHA PLANTS is a manufacturer of artillery systems and multiple launch rocket systems based in Russia, which are delivered to the Russian Ministry of Defense.
• JOINT STOCK COMPANY SEROV MECHANICAL PLANT (JSC SMZ) is an ammunition manufacturer located in Russia.
• JOINT STOCK COMPANY NIZHNY NOVGOROD RESEARCH AND PRODUCTION ASSOCIATION NAMED AFTER MV FRUNZE is situated in Russia and has designed and created military radio-electronic devices.
• SCIENTIFIC RESEARCH INSTITUTE OF COMMAND DEVICES is a state-owned enterprise in Russia that manufactures command and navigation instruments for rockets, spacecraft, and various defense applications.
• JOINT STOCK COMPANY AEROELEKTROMASH is a Russia-based firm that has produced components for helicopters utilized by the Russian military in Ukraine.
• LIMITED LIABILITY COMPANY RESEARCH AND PRODUCTION ENTERPRISE ANTARES is a firm in Russia that has designed and created movement, orientation, and guidance systems for satellites and holds a license to produce military equipment to fulfill Russian state defense orders.
• JOINT STOCK COMPANY ANTARES is based in Russia and has provided electrical connectors to defense entities in Russia to meet state defense orders.
• JOINT STOCK COMPANY AVTOAGREGAT is based in Russia and has supplied repair equipment for armored vehicles to the Russian Ministry of Defense.
• LIMITED LIABILITY COMPANY SPETSTEKHNIKA operates in Russia and has secured contracts with the Russian Ministry of Defense.
• JOINT STOCK COMPANY LUCH PLANT is a Russian entity supplying tank helmets to local defense entities to fulfill state defense obligations.
• PUBLIC JOINT STOCK COMPANY SARANSK INSTRUMENT WORKS produces defense sector equipment in Russia, including items for armored vehicles intended for the Russian Ministry of Defense.
• JOINT STOCK COMPANY LYTKARINO OPTICAL GLASS PLANT engages in manufacturing optical sights for armored vehicles for the Russian Ministry of Defense.
• POPOV COMMUNICATIONS EQUIPMENT PLANT manufactures communications gear for Russian armored vehicles in Russia.
• JOINT STOCK HOLDING COMPANY BARNAULTRANSMASH is a company in Russia producing engines for the BMP-2 and BMP-3 infantry fighting vehicles.
• JOINT STOCK COMPANY RYAZAN RADIO PLANT produces communication apparatus for Russia’s National Guard.
• JOINT STOCK COMPANY VOENTORG serves as a contractor for the Russian Ministry of Defense and has been the official supplier for military uniforms.
• LIMITED LIABILITY COMPANY INTERNATIONAL CONGRESSES AND EXHIBITIONS operates the annual military equipment exhibition, International Military-Technical Forum ‘ARMY’ based in Russia.
• FEDERAL STATE AUTONOMOUS INSTITUTION CONGRESS AND EXHIBITION CENTER PATRIOT owns the venue for the annual Russian military equipment exhibition, International Military-Technical Forum ‘ARMY’, and serves as the primary exhibition space for the Russian Ministry of Defense.

In line with section 1(a)(i) of E.O. 14024, the following entities are being recognized for their operations in the manufacturing sector of the Russian Federation economy:

• JOINT STOCK COMPANY SCIENTIFIC PRODUCTION ENTERPRISE RUSBAL is a manufacturer located in Russia of inflatable replicas of military equipment, including tanks and fighter jets, which are utilized by Russia’s armed forces.
• LIMITED LIABILITY COMPANY MANAGEMENT METALLURGICAL COMPANY STEEL (MMC STEEL) operates in Russia as a steel products manufacturer and is the parent company of PUBLIC JOINT STOCK COMPANY NADEZHDINSKIY METALLURGICHESKIY ZAVOD.
• PUBLIC JOINT STOCK COMPANY NADEZHDINSKIY METALLURGICHESKIY ZAVOD is a steel products manufacturer situated in Russia and is a key supplier of raw materials to Russia’s artillery ammunition industry.

According to section 1(a)(i) of E.O. 14024, the following entity is being designated for conducting or having conducted operations within the transportation sector of the Russian Federation economy:

• JOINT STOCK COMPANY RT LOGISTICS is a subsidiary of U.S.-designated Russian state-owned enterprise STATE CORPORATION ROSTEC that manages transportation for the government and possesses the capability to transport hazardous materials for defense applications.

In accordance with section 1(a)(vi)(B) of E.O. 14024, the following entity is being designated for having significantly aided, funded, or provided financial, material, or technological support for, or goods or services to or in favor of AUTOMOBILE PLANT URAL JOINT STOCK COMPANY:

• JOINT STOCK COMPANY TENTH BEARING PLANT is a Russia-based entity that has manufactured rolling bearings and automotive parts for the U.S.-designated Russia-based entity AUTOMOBILE PLANT URAL JOINT STOCK COMPANY. AUTOMOBILE PLANT URAL JOINT STOCK COMPANY

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was assigned by the Department of State on May 1, 2024, in accordance with section 1(a)(i) of E.O. 14024 for functioning or having functioned in the defense and associated materials sector of the Russian Federation economy.

In accordance with section 1(a)(i) of E.O. 14024, the subsequent entities and individual are being assigned for functioning or having functioned in the aerospace sector of the Russian Federation economy:

• CENTRAL RESEARCH INSTITUTE FOR SPECIAL MACHINERY is a Russia-based organization that has conceived and manufactured cutting-edge polymer composite materials for rocket and space engineering, including for Russian defense objectives.
• JOINT STOCK COMPANY RESEARCH INSTITUTE OF PHYSICAL MEASUREMENTS (AO NIIFI) is a Russia-based organization that has devised, manufactured, and supplied electronic equipment for the Russian rocket and aerospace sector.
• ALEKSEI GENNADIEVICH DMITRIENKO is the Chief Executive Officer of AO NIIFI.

In accordance with section 1(a)(i) of E.O. 14024, the following entity is being assigned for functioning or having functioned in the technology sector of the Russian Federation economy:

• LIMITED LIABILITY COMPANY SCIENTIFIC AND PRODUCTION CENTER SKADA is a Russia-based organization that developed and provided automation systems and software for industrial applications.

TARGETING ROSATOM SUBSIDIARIES AND ENTITIES SUPPORTING ROSATOM

Today, the Department is assigning several Rosatom subsidiaries alongside related entities and individuals in an ongoing attempt to disrupt Rosatom’s support for Russia’s military sector. This marks the twelfth sanctions action concerning Russia, which includes Rosatom-related assignments.

The Department continues to assign Rosatom entities and individuals involved in Russia’s nuclear weapons complex and defense sector, nuclear power plant construction exports, development of advanced technologies and materials, non-uranium extraction industries, and associated businesses, as well as nefarious activities including the occupation of the Zaporizhzhia Nuclear Power Plant in Ukraine.

The Department is also taking measures against entities and individuals supporting or associated with Rosatom subsidiaries, including KUZEY STAR SHIPYARD DENIZCILIK SANAYI VE TICARET ANONIM SIRKETI, a Türkiye-based shipyard that constructed a floating long-dock for U.S.-designated FEDERAL STATE UNITARY ENTERPRISE ATOMFLOT (ATOMFLOT), and YAKOV MIKHAILOVICH ANTONOV, the interim General Director of ATOMFLOT.

According to section 1(a)(vi)(B) of E.O. 14024, the following entity is being assigned for having materially assisted, sponsored, or provided financial, material, or technological aid to, or goods or services in support of FEDERAL STATE UNITARY ENTERPRISE ATOMFLOT, a person whose property and interests in property are blocked pursuant to E.O. 14024:

• KUZEY STAR SHIPYARD DENIZCILIK SANAYI VE TICARET ANONIM SIRKETI (KUZEY) is a Türkiye-based shipbuilding company that built a floating long-dock, estimated at around $50 million, for U.S.-designated FEDERAL STATE UNITARY ENTERPRISE ATOMFLOT (ATOMFLOT) to service and maintain its nuclear icebreakers. The dock constructed by KUZEY was delivered to ATOMFLOT following its designation.

In accordance with section 1(a)(iii)(C) of E.O. 14024, the following individual is being assigned for being or having been a leader, high-ranking executive, or board member of FEDERAL STATE UNITARY ENTERPRISE ATOMFLOT, a person whose property and interests in property are blocked pursuant to E.O. 14024:

• YAKOV MIKHAILOVICH ANTONOV is the interim General Director of ATOMFLOT. ATOMFLOT was assigned by the Department of State on May 19, 2023, in accordance with section 1(a)(vii) of E.O. 14024, for being owned or controlled by, or having acted or claimed to act for or on behalf of, directly or indirectly, the Government of the Russian Federation.