Russia has earned over €1.5 billion from timber exports to the EU, circumventing sanctions.
Russian companies are utilizing third countries to bypass restrictions while exporting timber to European nations. This is highlighted in an investigation by the British non-profit organization Earthsight, which was published on Tuesday, January 28.
Over a span of 9 months, investigators posed as buyers and recorded testimonies from traders who openly acknowledged the illegality of their operations. According to Earthsight, 7 out of the 10 largest Russian exporters of birch plywood continue to supply products to the EU, despite sanctions that were supposed to take effect from July 2022. The organization estimates that Russians may have sold 500,000 m3 of timber worth over 1.5 billion euros to the EU through third countries, including China, Kazakhstan, and Turkey.
“Import volumes have recently reached a record high of over 700 m3 of timber arriving daily at EU ports. Moreover, all 27 EU member states are likely receiving illegal plywood,” the report adds.
Investigators also noted that the highest volumes of supply are directed to Poland, Germany, Spain, Portugal, Italy, and Estonia.
Among the buyers of Russian timber are:
- Bulgarian company Walltopia, which supplied climbing walls for the 2024 Olympics,
- Estonian Technomar & Adrem, which collaborates with Hilton and Marriott chains,
- Polish Werxal, which supplies furniture for Black Red White,
- Bulgarian toy manufacturer Komfort.
It was previously reported that nine manufacturers of industrial equipment from the Czech Republic, Switzerland, Sweden, and Poland continued to operate in Russia, despite the full-scale war it has waged in Ukraine.