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28-02-2023, 08:59 PM
EU vs Russia: a new package of sanctions
#Econgram_World
Facts:
1) After the imposition of the Western sanctions on Russia, the EU, the U.S. and UK exports to Moscow slumped by over 50% in May - July year-on-year*.
2) Instead, the West increased its exports to Armenia and Kyrgyzstan by >80%.
3) In contrast, Turkey reported a 97% surge in exports to Russia during May - July of 2022 year-on-year. In fact, there has been a general increase in trade between Central Asia (in particular Armenia, Kyrgyzstan, and Turkey) and Russia.
Analysis:
1) EU authorities have been investigating the increase in trade between Asia and Russia, as it might prevent restrictive measures from being effective. Moreover, such a rise in exports to Russia has cast doubt on whether the sanctioned products were entering Moscow legally.
2) According to the data of ERBD*, no sanctioned goods have been traded. However, China has stepped in to supply Russia with semiconductors and other strategic materials.
3) Since the current Western sanctions are not effective, the EU ambassadors plan to introduce a further sanctions package. It would ban the transit of goods that can be used for military purposes through Russia.
Inspired by FT
The Econgram
#Econgram_World
Facts:
1) After the imposition of the Western sanctions on Russia, the EU, the U.S. and UK exports to Moscow slumped by over 50% in May - July year-on-year*.
2) Instead, the West increased its exports to Armenia and Kyrgyzstan by >80%.
3) In contrast, Turkey reported a 97% surge in exports to Russia during May - July of 2022 year-on-year. In fact, there has been a general increase in trade between Central Asia (in particular Armenia, Kyrgyzstan, and Turkey) and Russia.
Analysis:
1) EU authorities have been investigating the increase in trade between Asia and Russia, as it might prevent restrictive measures from being effective. Moreover, such a rise in exports to Russia has cast doubt on whether the sanctioned products were entering Moscow legally.
2) According to the data of ERBD*, no sanctioned goods have been traded. However, China has stepped in to supply Russia with semiconductors and other strategic materials.
3) Since the current Western sanctions are not effective, the EU ambassadors plan to introduce a further sanctions package. It would ban the transit of goods that can be used for military purposes through Russia.
Inspired by FT
The Econgram
