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Aug. 05, 2006
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Sanctions Imposed on Russian Companies Linked with Iran
The U.S. Department of State has imposed sanctions on Rosoboronexport and Sukhoi, Russian state-run companies. The ban applies only to contracts with U.S. state companies and military products but the Russian firms fear that the sanctions may jeopardize their civilian contracts with U.S. partners.
The U.S. Department of State accused Rosoboronexport and Sukhoi of violating the Iran Non-Proliferation Act of 2000 which outlawed cooperation with Iran connected with weapons of mass destruction. The statement reads that all U.S. state agencies are prohibited to buy or sell any goods, use services or provide services to the two Russian companies. Private firms are banned from exporting military products to Russia.

Sources of Kommersant in Russian military business think that Washington took the decision after Rosoboronexport contracted with Iran late July to modernize 30 Su-24 front bombers which may bear tactic nuclear weapons. The contract is to be executed by Sukhoi.

The Russian Foreign Minister called the actions of the United States unacceptable.

Rosoboronexport and Sukhoi do not have any military deals in the United States, but the both are engaged in major civilian projects. Sukhoi, for example, has U.S partners such as Hamilton Sundstrand and Honeywell to make supplies for its new SuperJet 100 regional jet.

Lawers of Sukhoi and Rosoboronexport are now assessing a possible impact of the sanctions on their civilian contracts.

Alexandra Gritskova, Ivan Safronov and Dmitry Sidorov

All the Article in Russian as of Aug. 05, 2006

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