Reports from international watchdogs or official government releases

Russian Billionaires Supply 75% of Chemicals for Explosives, Including RDX for 500,000 Shells

Dec 30, 2024, 04:50 PM

A Reuters investigation has revealed that chemical factories linked to some of Russia's wealthiest billionaires are supplying over 75% of the key chemicals used in explosives production for Moscow's military operations in Ukraine. These factories, owned or partially controlled by sanctioned billionaires such as Roman Abramovich, Vagit Alekperov, Andrey Melnichenko, Dmitry Mazepin, and Iskander Makhmudov, have been identified as critical suppliers to Russian munitions plants. The plants, including the Sverdlov facility in Dzerzhinsk, are subsidiaries of Rostec, a state-owned arms manufacturer. Chemicals supplied include RDX and HMX, with 5,000 tons of nitric acid alone sufficient to produce RDX for 500,000 artillery shells. Eurochem has sent at least 38,000 tons of acetic acid, while Uralchem provided 27,000 tons of ammonium nitrate to these facilities. Despite Western sanctions on the billionaires, their companies continue to operate largely unimpeded, with many claiming their products are for civilian use only. Abramovich, for instance, holds a 28% stake in Evraz, which supplied toluene for explosives. The investigation highlights the failure of Western sanctions to curb Russia's military production. Additionally, the companies earn significant revenue from exports of fertilizers and other civilian products, which are exempt from sanctions to avoid global food security issues. Experts suggest revisiting these exemptions to prevent further contributions to Russia's war efforts.