Sanctions across your supply chain
Increasing corporate risks
Following Western sanctions of Russia, many companies have abandoned investments and trade with Russia. But there is still high risk of involuntary trade via suppliers, daugther companies, Internet trade, parallel imports, or third countries. Many European countries have tightened legal liabilities and penalties for violations of sanctions, including via third countries. In addition, violations of sanctions may involve a substantial risk to reputation.
Corisk tracks in detail all Western trade with Russia and the Eurasian Economic Union. On a monthly basis, Western companies have increased exports to certain third countries by 700-800 million EUR / USD. This volume is increasing, and represents goods that may be re-exported to Russia with or without the will and knowledge of the Western exporter. Similar risks relate to direct and indirect imports. This takes place within virtually all industries.
Even trade in goods that are not the object of sanctions, involve risk that suppliers, agents, importers, or partner companies include sanctioned individuals, or that trade is actually being conducted with a shell company for military or dual-use value chains. As late as November, US authorities black-listed companies in Taiwan, Armenia, France and Switzerland, who had sold electronics to a shell company of Russian military industry.
Our complete insight helps your company assure sanction compliance, avoid involuntary trade with Russia, and protect your reputation.
Corisk helps reduce risk
Corisk is the only company offering complete understanding of sanctions, Russian regulation of parallel imports, and the detailed Western legal and illegal trade with Russia – at industry and commodity level. With these unique tools, we can offer full-spectre risk reduction services:
– How are sanctions followed across the various European countries?
– Do your competitors or suppliers violate or circumvent sanctions?
– Which third countries and goods invoke risks of parallel trade?
– How ardently do Western countries enforce sanctions?
– Is your company the object of legalized parallel imports?
We support your risk mitigation, and the Risk Assessment Memo.
We may illuminate sanction risks to Management, Board, etc.
We deliver tailor-made research at industry or commodity level.
We assist you along the way to targeted risk mitigations.
For which countries can we identify trade at commodity level?
Trade data at industry and commodity level can be retrieved and analysed for:
USA, UK, Japan, Germany, France, Netherlands, Belgium, Norway, Sweden, Denmark, Finland, Poland, Czech Republic, Canada, Estonia, Latvia, Lithuania.
Example: National exports of particular chemicals to Russia neighbour
The graphics below reveal exports of 3 sanctioned, dual-use chemicals develop from the Czech Republic to a particular non-Western trading partner of Russia. We see clearly how Czech exporters have no recent history of exporting the chemicals to the particular county, until sanctions of Russia enter into force and the exports sky-rocket. This gives indication of parallel exports to Russia via the relevant country. Similar export and import data can be identified for 17 Western countries, across thousands of commodities.
Preview: Global monthly exports to Russia, 2019-2022
The graphics below indicate the depth and detail of underlying trade data, all the way from total trade down to actual trade with Russia at industry or commodity level. These unique data provide the necessary tools to understand and respond to sanction dynamics and concealed competition inside your industry. It also helps you to uncover the risks points confronting your industry or company via-a-vis Russia and other EEU markets.
Our openly accessible research on sanctions