Russia bypasses sanctions, boosts explosive production for war
Russia continues to supply pivotal chemical components for the production of explosives, ordered by fertiliser companies EuroChem and UralChem, which, despite sanctions, have circumvented restrictions imposed by the US and the EU. These supplies bolster the Russian war effort amidst the conflict with Ukraine, Bloomberg emphasises.
According to Bloomberg, Russia is still receiving shipments of chemical components crucial for the production of explosives, despite international sanctions. Thousands of tonnes of nitric acid and a mixture of nitric and sulphuric acid, vital in the manufacture of explosives, have been ordered by companies and plants associated with JSC Spetskhimiya, one of the largest producers of explosives in Russia.
Documents disclosed by Bloomberg indicate that these plants, which are responsible for the production of military materials, will receive deliveries of this raw material - we read.
These orders were placed by subsidiaries of major fertiliser manufacturers – EuroChem and UralChem, which, in spite of international sanctions, remain key players in the fertiliser market. EuroChem and UralChem have avoided stricter sanctions because their products, including nitrogen fertilisers, are essential for agriculture and global food supplies. This, as Bloomberg points out, makes it challenging to impose full restrictions on these companies. Nevertheless, some of their factories, which produce explosives, have been sanctioned by Ukraine's allied states, highlighting their connection with the Russian war machine.
Nitric acid is a core component in the production of gunpowder and other explosives, including TNT, which Russia uses in warfare. Documents show that based on planned deliveries, Russia will be able to produce about 6,500 artillery shells per day this year. The use of these components is not limited to military purposes - nitric acid is also crucial in the production of nitrogen fertilisers. This, in turn, underscores the difficulty in restricting trade in these materials - we read.
Billionaires explain
EuroChem, which is controlled by billionaire Andrei Melnichenko, and UralChem, led by oligarch Dmitry Mazepin, are difficult targets for sanctions due to their importance to the global agricultural industry. Representatives of both companies, although sanctioned, emphasise that their activities focus on fertiliser production, not supporting Russian militarism.
The increase in turnover from Russian fertilisers in the European market, which still supplies about a quarter of Europe's fertiliser needs, raises questions about the effectiveness of sanctions. Representatives of research institutes, such as Mark Bromley from the Stockholm Peace Research Institute, point out that sanctions should also cover companies dependent on state-owned conglomerates like Rostec, which controls Spetskhimiya. However, due to the global nature of the fertiliser market, completely blocking these supplies is extremely difficult.
Russian plants, such as factories in Dzerzhinsk and Biysk, which are to receive acid supplies this year, are on the list of sanctioned entities. Despite this, further deliveries of fertilisers and components for the production of explosives will be conducted.