U.S. official says export curbs on Russia hit car production and tank building -Breaking
[ad_1]
© Reuters. Taiwan Semiconductor Manufacturing Company Fab 15B is a photo of one the four giga semiconductor manufacturing plants. It was taken in Taichung on September 2, 2021. REUTERS/Yimou T2/3
By Karen Freifeld
(Reuters) – Global sanctions on Russia’s exports in reaction to the invasion of Ukraine resulted in the shutdown of a Russian car manufacturer, halting work on tanks, and cutting off access for a Russian computer maker to communications equipment circuits, a U.S. official stated on Wednesday.
Thea Kendler is assistant secretary to the Commerce Department for export administration. She stated, “Thirtythree countries have joined hands with one export controls strategy.”
“Necessity brought about this extraordinary collaboration in export controls and other actions that have a significant impact on Putin’s war.”
Kendler stated that only 5% of Russia’s imports were from the United States. However, Kendler added the European Union, and other countries in the coalition, accounts for approximately 50% of Russia’s imports.
She said that although export controls weren’t expected to immediately have an impact, the Ukrainian government had reported that Russia’s major tank plant stopped work due to a shortage of foreign parts. Baikal Electronics was a Russian computer company, as well as a semiconductor manufacturer. It was disconnected from the integrated circuits necessary to provide support for its surveillance and servers.
TSMC of Taiwan, the largest contract chipmaker in the world, has exited Russia. This cut off access for the Moscow Center to SPARC Technologies to Elbrus chips which are used extensively by Russian intelligence systems and military forces, she stated. She said that export restrictions had forced Lada to stop auto production.
Renault (PA):, which owns Lada’s producer, announced that the plant would be closed while the majority stake of Avtovaz AVAZI_p.MM is evaluated. 1 carmaker.
Renault has not yet responded to my request for comment. Nor did TSMC. Baikal Electronics and the Moscow Center of SPARC Technologies were unable to be reached immediately for comment.
Kendler stated that she and U.S. Treasury Department and Commerce representatives traveled to London and Paris, Brussels, Paris, and Berlin in order to build the coalition. In addition, extensive discussions are ongoing with Japan, South Korea and Australia.
She said, “I am confident that I will soon be able announce other countries similar to my export controls.”
Fusion MediaFusion Media or any other person involved in the website will not be held responsible for any loss or damage resulting from reliance on this information, including charts, buy/sell signals, and data. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.
[ad_2]
