When the war started it was seizure-this and sanction-that. I’ve read that $350B in Russian assets were seized and held, while major companies exited the Russian market, the ruble crashed, and inflation rocketed.
Meanwhile the cost of the Russian war must be astronomical to maintain, imports/exports have halted with Europe, there’s no financial aid to Russia (that I’m aware of) and multi-billion dollar resource supplies were cancelled.
All this, and Russia seems to still be having a good old time. Russians are on holidays en mass, the country is buying up arms and fossil fuels like its church Sunday, and their war machine still powers away and is prepared to keep fighting for a decade if it has to.
How? How does a country take that much of a financial beating and still be thriving? Where is the point of being broke and not being able to fund a war anymore?
Russia lived with sanctions for 70 some years as the Soviet Union, and has always been prepared to endure more. They are an economy built around raw, natural resources and can be largely self-sustaining…
And it has been pointed out, that Iran has been fighting off sanctions very successfully over the last twenty, thirty yeas…
Their secret then is Russia’ secret now, more or less:
India will trade with anybody and be neutral, and it isn’t a large task to create a shell company in India that peddles your wares throughout the whole of the world, repackaged and rebranded. At the height of Trump’s reintroduced sanctions on Iran, I was able to eat Iranian dates in South Korea - a country that followed US protcols and actually made it impossible for Iranians to start new private bank accounts unless in specific circumstances and did everything they could to place barriers on trade.
Heed you, these shell companies used to exist in places like Macao, Hong Kong, Singapore, etc., but US sanctions shut this down. It all moved to India…
Which is likely where a lot of Russian exports head when they aren’t just being imported completely independent of the Western world to places like Iran and China… China, of course, is another factor, as trade between RU and CN have increased exponentially over the last few years since the war started…
I could go on but, already, I am rambling… Suffice it to say, there’s a mssive block of countries that hate Western imperialism and/or are neutral and/or already face sanctions, and this network continues to trade with one another, and they also have begun to help facilitate one another trading with the West, either knowingly or just because they lack the will or robust enough resources to police it up.
Globalization is its own enemy when it comes to the West trying to impose sanctions, IMO.
