According to documents viewed by Bloomberg, Russia is set to receive shipments of chemical components crucial for producing explosives, purchased from fertilizer companies that have not been significantly impacted by international sanctions.
The documents reveal that significant quantities of nitric acid and a nitric-sulphuric-acid mixture have been ordered for entities and facilities controlled by JSC Spetskhimiya, a major explosives manufacturer in Russia. These contracts play a role in sustaining the country's military capabilities in the face of stringent economic sanctions.
The orders for the Spetskhimiya-controlled plants were placed with subsidiaries of fertilizer producers EuroChem Group AG and UralChem JSC, both of which have managed to avoid the harshest sanctions imposed by the US and Europe. These acids are essential in the production of TNT, gunpowder, and other vital propellants used in Russia's conflict with Ukraine. However, the fertilizers these companies supply are crucial for agriculture and global food security.
While many of the 11 factories identified in the documents are under sanctions from Ukraine's allies due to their involvement in Russia's military activities, it is unclear how much of their operations are dedicated to civilian purposes.
The planning documents, which contain order details, indicate that the acid supplies are confirmed for delivery throughout the year.
EuroChem stated in an email that it is a significant contributor to global food security, emphasizing that its products are intended for agricultural and civilian use rather than military purposes. UralChem did not provide any comments in response to requests for input. Rostec State Corp, the sanctioned entity that controls Spetskhimiya, and Spetskhimiya itself, which was sanctioned by the EU in June, did not respond to requests for comment.
Russia is a major supplier of fertilizers to Europe, a sector valued at over 5 billion euros ($5.4 billion) since the beginning of Moscow's conflict with Ukraine in February 2022. The European Commission has disclosed that the EU is considering imposing punitive tariffs on certain fertilizers from Russia and Belarus, although it faces challenges in further restricting trade to ensure food supplies remain uninterrupted.