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New sanctions against Russia strengthened again: U.S. Department of State orders to terminate all contracts with Russian defense enterprises

The U.S. Department of State imposed new sanctions against Russia, which affected the defense enterprises of the Russian Federation carrying on trade with a number of countries and companies that are hostile to the whole civilized society.
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A number of Russian companies working in the field of defense industry and involved in arms supply has fallen into disfavor of the West. The U.S. Department of State imposed new sanctions against Russia, affecting these particular companies. The reason for this step was the suspicion that Russia has launched the activity that is contrary to the U.S. law on non-proliferation in Iran, North Korea and Syria, Joinfo.ua reports referring to the U.S. government publication Federal Register.

At the same time, the Russian newspaper Kommersant reported that the new list of sanctions includes such companies as Rosoboronexport, Aircraft Corporation MiG, KBP Instrument Design Bureau in Tula, Katod Company, NPO Mashinostroyeniya, as well as all subsidiaries of the above companies. But the Department of State did not limit itself to these companies. The sanctions hit the companies cooperating with the aforementioned Russian organizations. Namely, it is companies from Iran, China, North Korea, the United Arab Emirates, Syria, Sudan and Turkey.

Parallel to this, the ministries and departments of the U.S. received a ban on concluding any contracts with companies located in the published list, as well as the prohibition on providing them with any financial support. In addition, American companies are banned to sell goods that somehow can be involved in military applications to the organizations mentioned above.

But most importantly – all transactions with these companies, which have been concluded earlier, subject to termination. Moreover, there will be issued a ban on the issuance of licenses for conclusion of such transactions. As an exception, authorization to enter into such transactions can be given only after a personal approval of the U.S. Secretary of State. New sanctions against Russia were imposed for a two-year period if the decision is not changed by the Secretary of State.

At the same time, the U.S. Department of Commerce has made a list of new Russian companies in the sanctions list because of the Russian aggression against Ukraine.

Today, the Federal Register of the U.S. Department of State will complete the ‘black list’ with 29 more companies.

“The Bureau of Industry and Security (BIS) is taking this action to ensure the efficacy of existing sanctions on the Russian Federation (Russia) for violating international law and fueling the conflict in eastern Ukraine,” the website says.

All these companies are already under sanctions after the decision by the U.S. Treasury.

It should be recalled that the U.S. expanded sanctions against Russia entered into force on August 11.