Japan became the latest country to sanction an Indian technology company for allegedly helping Russia evade sanctions imposed over its war in Ukraine.
The sanction was part of trade restrictions, including an asset freeze, against 11 entities in five countries, including China, Kazakhstan, the UAE and Uzbekistan.
It is the first time Japan has sanctioned an Indian company since 1998, and the first time it has sanctioned China-based firms in connection with the war in Ukraine.
Japan’s Ministry of Foreign Affairs sanctioned Bengaluru-based Si2 Microsystems, which has a complex history, having been banned by the US in November 2023 and sanctioned by the European Union in February 2024.
Si2 Microsystems faced sanctions from the US and EU for allegedly transferring dual-use technology to Russia. The US Department of Commerce said the company was banned ‘for providing support to Russia’s military and/or defence industrial base’ by exporting unlicensed chips.
According to reports, the company partners with India’s Ministry of Electronics and Information Technology (MeitY) and India’s Madras Institute of Technology to research the production of chips with silicon photonic processor cores.
Among the sanctioned Chinese companies are Hong Kong-based Asia Pacific Links Ltd, which supplies microchips to Russian drones, and China-based Yilufa Electronics Limited.
