Sanctions are working: what is now becoming scarce in Russia

Created: 2022-08-24 05:27

By: Lisa Mayerhofer

The West's sanctions against Russia are showing ever clearer traces.

Experts expect the effects to really hit the giant empire by autumn at the latest.

Berlin – forcing Russia to its knees economically – this is more difficult for the West than some politicians had hoped.

Despite severe sanctions from the West, Putin just keeps going and the Russian economy also looks robust.

But this appearance is deceptive, according to experts.

Federal government: "Sanctions hit the Russian economy hard"

The federal government is also expecting an economic slump of up to 15 percent in Russia this year.

This emerges from a response from the Federal Ministry of Economics to the Left MP Sören Pellmann, which is available to the German Press Agency.

The ministry's response said: "The sanctions hit the Russian economy hard and will continue to have an impact.

Reliable calculations predict a recession in Russia, which means a reduction in Russian gross domestic product in a range of six to 15 percent for the year 2022.” The Council of the EU assumes a decline in Russian gross domestic product by “more than eleven percent”.

After the Russian attack on Ukraine, Germany and the other EU countries jointly agreed on six sanctions packages, including a coal and an oil embargo.

The ministry's response said the punitive measures against Moscow were aimed at those responsible for the Ukraine war and at the Russian state's ability to finance it.

"Among other things, the sanctions have an impact on the course of the war, since they weaken military capabilities and the industrial base in the long term."

Expert: "The effect of the sanctions will become clear in the autumn"

It should soon become clear what influence the restrictions imposed by the West will have on the Russian economy: The effect of the sanctions will become clear in the autumn, says Andrei Alexandrovich Jakovlev, professor of economics, to

"It will then affect industrial sectors that are strong dependent on imported technology,” he said.

Many industrial sectors - with the exception of the auto industry - have so far been able to continue working despite sanctions.

However, according to Yakovlev, sooner or later the Russian companies will be dependent on Western components.

The problem affects almost all sectors that had modernized in recent years, including oil production, microelectronics and agriculture.

For example, Russia's - very successful - agricultural sector has developed so well because of imported seeds, machinery from abroad and Western technology.

“Now there is no access to foreign technology and spare parts needed for repairs.

It doesn't take effect after two or three months, but rather after half a year or a whole year," concludes Jakowlew in

.

also read

Gas crisis in Germany: New law could now give consumers a nasty surprise

Habeck plans: Cold rooms and no warm water for washing hands - Germany will soon have to save money

Sanctions already noticeable in Russian electronics markets

In addition, the sanctions affect Russia's economy not only in machines and preliminary products.

“Russian mobile operators essentially work with programs from the USA and the EU.

The license agreements for use do not run for more than two years, but there is no chance of an extension.

There is no equivalent Russian software,” says Jakovlev, explaining the problems that Russian companies and consumers are still facing.

The effects of sanctions can already be seen in the Russian electronics markets: Western and Korean smartphones are now in short supply and are being replaced by Chinese devices.

A car dealer from Moscow told the

that his car showroom is selling almost no more cars.

"In five years, we will all drive around only in Russian brands," he told the newspaper.