Japan says Russian military obtained banned machine tools via Chinese firms
Japan's Economy Ministry has uncovered a sanctions-evasion scheme in which high-precision manufacturing equipment was sold to Russia via Chinese companies, Ukrainian sanctions coordinator Vladyslav Vlasiuk said on Aug. 14.
Russian defense manufacturers rely heavily on foreign components from U.S., European, and Asian producers, which they acquire through a network of Chinese and Hong Kong suppliers to circumvent Western restrictions.
In July, President Volodymyr Zelensky sanctioned five Chinese firms for supplying components used in Russian Shahed-type drones that have been used to attack Ukraine.
Japanese authorities launched an investigation earlier this year after Ukraine warned that Russian forces were using Japanese-made machine tools, the Economy Ministry said.
The probe found that over 300 precision machine tools produced by Japan’s Tsugami Corp. had gone missing after being sold to seven Chinese companies. The equipment is critical for manufacturing weapons components.
Approximately 30 units have already been traced to Russian territory, according to Vlasiuk, Ukraine's sanctions сommissioner.
Japan has ordered Tsugami to terminate contracts with the implicated intermediaries and cease support for previously sold equipment operating in Russia, as they cannot be remotely disabled.
"The rest of the 'missing' machine tools are being located, and I think they will surface in the same place, after which cooperation with other Chinese 'partners' will also be terminated," Vlasiuk wrote on his Facebook page.
Vlasiuk said a parallel investigation targeted Japan’s Ferrotec Holdings Corp., a supplier of chemicals and tools whose CEO is a Chinese citizen.
Authorities confirmed that Ferrotec products had reached Russian defense contractors, including Epiel, Mikron, and Vympel. The company suspended several contracts in April and agreed to step up monitoring of future shipments, he added.
"Sanctions compliance requires constant vigilance and resources, even from our closest partners," he said.
