Kazakhstan refused to “blindly follow” sanctions against Russia

Kazakhstan will not “blindly follow” anti-Russian sanctions, especially if they affect the interests of Kazakh companies. Deputy Prime Minister of Kazakhstan Serik Zhumangarin stated this in an interview with BLOOMBERG .

In particular, according to the official, Kazakhstan has not joined the ban on the sale of ball bearings, which may have dual purposes. He explained that the local plant produces them to a specification that is traditionally used only in Eastern Europe and the former Soviet Union. “We will not allow our producers to be banned from trading,” Zhumangarin said.

However, he added that the country will still continue to comply with the main restrictions, since it “will not withstand” direct Western sanctions. According to the Deputy Prime Minister, Kazakh companies previously added to the US sanctions list are already in the process of being closed. He did not provide any other details.

Bloomberg writes that previously Kazakhstan had not publicly challenged Western restrictions, and the country itself, although it did not join the anti-Russian sanctions, tried to comply with all trade restrictions. Zhumangarin explained that some of the measures aimed at limiting Russia's access to goods have instead disproportionately harmed Kazakhstan. Western governments, meanwhile, have done little to offset the costs, he said.

As an example, Zhumangarin cited the mining Eurasian Resources Group, which is 40% owned by Kazakhstan: after a ban on the supply of certain types of ore to Russia, the company began to suffer huge losses. At the same time, its former largest client in Russia switched to domestic suppliers, which in turn increased profits. “If there were no restrictions, the profit would remain in Kazakhstan. Instead, it now goes to those against whom you imposed sanctions,” Zhumangarin said.

Western countries imposed tough sanctions against Russia after the start of military operations in Ukraine . In addition to EXPORT restrictions and sanctions against the largest banks and companies, the West froze the assets of the Bank of Russia for $300 billion. Moscow considers the sanctions imposed by Western countries illegal and notes that they will not affect the course of the military operation in Ukraine.

Kazakhstan did not join the restrictions, but the President of the Republic, Kassym-Jomart Tokayev, has repeatedly stated that his country “will definitely follow” the sanctions regime against Russia. Thus, since April last year, Kazakhstan began to require the issuance of accompanying invoices for goods when trading with the countries of the EAEU . As the Financial Times reported, the measure was taken to prevent circumvention of anti-Russian sanctions and limit parallel imports.