The US imposed sanctions on a Malaysian semiconductor company for dealings with Russia


A Malaysian semiconductor maker was sanctioned by the United States last month for allegedly sending parts and critical electronic components to Russia. Sources report that Kuala Lumpur-based Jatronics Sdn Bhd is among 300 entities on the US sanctions list for supplying components to the Russian military.

According to the US State Department, some of the materials sent by the company to Russia are Tier 1 items on the US Commerce Department's Common High Priority List. Level 1 items refer to items of greatest concern due to the critical role of these components in the production of advanced Russian precision-guided weapon systems.

For your information, the report states that US officials have not confirmed whether components produced by Jatronics are used in Russian military equipment. According to the Center for Advanced Defense Studies (C4ADS), Jatronics made more than 50 deliveries to companies in Russia worth more than US$3 million between April 2022 and September last year.

Additionally, the materials should include microchips, semiconductors and silicon wafers which are raw materials for making semiconductors. The C4ADS data also shows Jatronics making deliveries to eight different companies in Russia including OOO Planar which was sanctioned by the US in March 2022.

In December last year, the US sanctioned four Malaysian-based companies for allegedly providing components for Iran's weapons program specifically to aid in the production of drones. Prime Minister, Datuk Seri Anwar Ibrahim said recently that Malaysia is a neutral hub for the semiconductor supply chain amid the US-China technology war aimed at attracting US$100 billion in new investment.


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