May 20, 2024

Why Rosatom still is not on the list of sanctioned companies? Here’s the trick

3 min read


In accordance to multiple reports, aside from his principal small business Rosatom also imports parts for tanks and missiles. Why is it continue to not under economic sanctions?

Exhibit from Rosatom illustrating the production of nuclear fuel.

Show from Rosatom illustrating the creation of nuclear gas. Graphic credit rating: IAEA Imagebank by means of Flickr, CC BY 2.

In their investigation, Bloomberg and the Royal Institute for Strategic Scientific studies (RUSI) located that in 2022, Rosatom’s profits and exports of nuclear gas enhanced by as significantly as 20%, achieving a 3-calendar year peak for the EU market place.

This number is rather a whole lot, looking at the actuality that nuclear sources sold to Jap Europe account for only 40% of all exports from Rosatom.

And not just EU countries invest in nuclear gasoline from the Russian Federation. In the United States, about 20% of present nuclear reactors work working with nuclear gas purchased from the similar source. Almost all gas made use of by American smaller modular nuclear reactors is also Russian.

The place does the solution lie?

It looks that the reply to this dilemma is quite uncomplicated. Even though the environment was striving to restrict new developments of nuclear electricity, together with ore extraction operations, Russia did not stop below and ongoing to devote in the advancement of the atomic electricity infrastructure all through the very last 30 several years.

And changing Rosatom as a major provider of nuclear gasoline is not a easy activity, and would acquire a very long time. According to Bloomberg, just Ukraine will require up to 4-5 years before it eventually switches more than to other companies of this significant resource.

This is also the rationale why the West are unable to impose rapid financial sanctions on Rosatom, irrespective of the reality that this business may be just one of the keystones in circumventing the trade constraints meant to limit the production and use of weapons in the invasion of Ukraine.


Source hyperlink As the US continues to impose tough economic sanctions on Russia, one major Russian organization, Rosatom, remains conspicuously absent from the list of sanctioned companies. Contrary to popular belief, Rosatom has not received some kind of preferential treatment from the US government. Rather, there is one simple factor that explains why Rosatom remains unscathed when other Russian organizations feel the full brunt of the US sanctions.

The reason why Rosatom has avoided being sanctioned is due to the fact that it operates outside the realms of politics and diplomacy. Unlike many of the companies that have been hit with sanctions, Rosatom’s activities primarily revolve around the development, construction, operation and maintenance of nuclear power plants and research reactors. In other words, Rosatom’s primary focus is solely on the science and technology of nuclear energy. While Rosatom performs tasks and activities that may impact geopolitical issues, its primary mission is based in science and engineering rather than politics and diplomacy.

Of course, this is not to say that Rosatom has not been affected by US sanctions in any way. Rosatom has seen the economic fallout of US and global economic sanctions, and the company has not been able to carry out some of its large and complicated international projects. However, the fact remains that Rosatom has been spared the full force of the US sanctions thus far.

The bottom line is that Rosatom has not been included in US sanctions because its activities are based firmly in science and engineering, rather than politics and diplomacy. This may change as geopolitical tensions continue to rise, but for the time being, Rosatom is safe from US sanctions and remains off the sanctions list.