According to the information of the Excise Department of Russia, about 1000 gold shipments from that country have been shipped to the United Arab Emirates after the ban of Western countries came down. During this period the import of Russian gold there increased rather than decreased The year before the ban, 74.3 tonnes of gold went from Russia to the UAE in 2021, gold imported there increased by 1.3 tonnes to 75.7 tonnes in 2022.
United Arab Emirates is now the largest buyer of Russian gold under the pressure of sanctions after attacking Ukraine It is followed by China and Türkiye From February 24, 2022 to March 3, 2023, Russia exported 20 tons of gold to these two countries
According to data recorded by Russia’s customs department, 99.8% of the world’s largest country’s gold exports since the ban began have gone to these three countries, namely the United Arab Emirates, China and Turkiye.
Before the sword of embargo came down, most of the Russian gold went to Britain But after Western countries imposed sanctions, many of the world’s multinational banks, metal refining and trading companies turned their backs on Moscow. On March 7, 2022, the London Bullion Market Association also completely stopped importing gold bars from Russia By August 2022, the European Union, Switzerland, the United States, Canada, and Japan also announced they would cut all trade ties with Russia.
Immediately after the sanctions began, Russia decided on a survival strategy; Vladimir Putin will not stop the attack, so the sanctions will remain In this situation, Russian producers started trying to export gold at a higher rate than before with the countries that did not ban it. They give the buyers an opportunity to purchase at 1% less than the actual market price
Many attempts have been made to nullify this Russian strategy, but it has not worked. The US directly threatened Türkiye and the United Arab Emirates. Washington said the two countries would lose access to markets in the G-7 region if they maintained trade relations with any country or entity that has US sanctions.
Louis Marechal, a gold expert at the Organization for Economic Cooperation and Development, thinks that the United States had a big worry at the time, the gold going from Russia to the United Arab Emirates, China and Turkey may be melted down and sent to Biden’s country in a new form!
The Gold Bullion Committee of the United Arab Emirates said that they always keep a watchful eye to ensure that not a single ounce of illegal gold is imported or exported. In a statement, they added, “The UAE will continue to conduct business with international partners openly and honestly in accordance with the principles declared by the United Nations.”
However, even if exports to the three countries can be maintained, it is not the case that Russia is able to sell all the gold it produces. Russia produced a total of 325 tons of gold in 2022 From there, only 116 have been exported so far. 3 tons