Russian military uses China in sourcing banned tech from 59 U.S. firms

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Russian military uses China in sourcing banned tech from 59 U.S. firms
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'What we see from this data is that Russia's military still relies mostly on Western components' for its weapons systems, an analyst told Newsweek.

Experts stressed that manufacturers can't be held solely responsible for Moscow's export control evasion.they did not know of any examples since the start of the war where a company based in the U.S. or in an allied nation knowingly sold critical technology directly to Russia for the express purpose of helping Moscow's war effort.

An AMD spokesperson said the company has a"robust export compliance program in which we conduct due diligence on all our potential customers and distributors and require our authorized distributors to comply with all U.S. and global export regulations." The spokesperson added that AMD"does not support the use of our products in Russian military equipment in the war against Ukraine or for applications in which they were not designed or intended.

Companies based in the United States are generally required to vet foreign trading partners such as manufacturers and distributors, as well as their intended final customers—known as"end-users," in industry parlance—to make sure that products don't fall into the wrong hands. "Corporate ownership structures are very hidden, especially in countries like Russia and China," said Trujillo."It's particularly difficult to do due diligence in China. You'll see a company pop up, do one or two transactions, and close the next day."

"We're seeing established American companies taking it very seriously. We're more concerned about smaller shops that may not be as sophisticated about compliance," said Torres, who runs a legal practice that specializes in trade law. The EU has taken steps to expand its authority to regulate trade, in order to bring its laws in line with the U.S. model. But gaps in the two systems remain, and some countries like China do not recognize America's extraterritorial claims.

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