Ukrainian Foreign Minister Dmytro Kuleba attends a meeting with Secretary of State Antony Blinken, not pictured, July 9, 2024, at the State Department in Washington. Kuleba on Thursday, July 25, called on Hong Kong to prevent Russia and Russian businesses from using the region to circumvent sanctions. (AP Photo/Stephanie Scarbrough, File)Stephanie Scarbrough/The Associated Press
The Hong Kong government on Friday defended its sanctions regime against criticism Russian proxies were using the city to bypass international restrictions imposed against Moscow over the Ukraine war.
Hong Kong’s openness as a financial centre and the ease of setting up a business have long made the Chinese territory a hub for front companies and money laundering, according to anti-corruption activists.
During a visit to Hong Kong this week, Ukrainian Foreign Minister Dmytro Kuleba urged the city not to let “Russian machinations” tarnish its “reputation as a highly developed liberal economy based on unwavering respect for the rule of law.”
In a statement, Hong Kong leader John Lee said he had “explained the importance and respect for the rule of law in Hong Kong” to Mr. Kuleba, adding the Hong Kong government “implements and strictly enforces United Nations Security Council’s sanctions.”
No UNSC sanctions have been passed as a result of the Ukraine war, however, with permanent members Russia and China certain to block any that might be suggested. Instead, the United States, Canada, Japan and the European Union have all imposed unilateral sanctions, cutting Moscow off from much of the global economy and financial system, and seeking to limit Russia’s access to weapons and military technology.
Mr. Kuleba said such “restrictive measures are necessary to weaken Russia’s potential to wage war and kill people in Ukraine.”
The U.S. has sanctioned numerous entities in Hong Kong linked to Russia, along with others tied to Iranian proxies, including Hezbollah and Hamas, and North Korea. In January, The Globe and Mail reported on a web of front companies in Hong Kong allegedly being used by Iran to acquire unmanned aerial vehicle (UAV) components and other sensitive technologies in defiance of international sanctions.
This month, the Committee for Freedom in Hong Kong, a UK-based pressure group, released a report documenting the territory’s alleged “central role in facilitating the transfer of money and restricted technology to Russia.”
According to the report, in the second half of 2023, some US$750-million of shipments from Hong Kong to Russia comprised goods on the U.S. and E.U.’s list of Common High Priority Items, “prohibited dual-use goods and advanced technology items used in Russian military systems found on the battlefield in Ukraine.”
While officially neutral in the Ukraine conflict, China has faced criticism from the West that it enables Russia’s war effort, both by providing economic and political support to Moscow, and in enabling the acquisition of dual-use equipment and advanced tech. Beijing has consistently denied these claims.
At a summit in Washington this month, NATO leaders went further than ever before, saying Beijing has “become a decisive enabler of Russia’s war against Ukraine” and accusing China of providing “weapons components, equipment, and raw materials that serve as inputs for Russia’s defence sector.”
In response, Chinese foreign ministry spokesman Lin Jian said NATO was “spreading disinformation,” adding the alliance’s claim “that China is responsible for the Ukraine crisis is ill-motivated and has no basis.”
During his trip to China this week, the first by a Ukrainian foreign minister since the war began, Mr. Kuleba met with Chinese Foreign Minister Wang Yi, saying Kyiv was seeking “common ground” with Beijing on ending the conflict.
“I am convinced that a just peace in Ukraine is in China’s strategic interests, and China’s role as a global force for peace is important,” Mr. Kuleba said
A Chinese readout of the meeting quoted Mr. Wang saying that four principles previously outlined by Chinese President Xi Jinping provide important guidelines for resolving the crisis.
One of the principles says that “all countries deserve respect for their sovereignty and territorial integrity” but another says that “the legitimate security concerns of any party should be taken seriously” – a reference to Russia’s opposition to NATO expansion.
With files from the Associated Press