*

US imposes sanctions on nearly 400 entities and

individuals

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Action sends serious message that the US committed to

countering

evasion, official says

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Sanctions target entities, individuals in China, India,

Turkey

and elsewhere

By Daphne Psaledakis and Simon Lewis

WASHINGTON, Oct 30 (Reuters) - The United States on

Wednesday imposed curbs on hundreds of targets in fresh action

against Russia, taking aim at sanctions circumvention in a

signal that the U.S. is committed to countering evasion.

The action, taken by the U.S. Treasury and State

departments, imposed sanctions on nearly 400 entities and

individuals from over a dozen different countries, according to

statements from the Treasury and State departments.

The action was the most concerted push so far against

third country evasion, a State Department official told Reuters.

It included sanctions on dozens of Chinese, Hong Kong and Indian

companies, the most from those countries to be hit in one

package so far, according to the official.

Also hit with sanctions were targets in Russia, the United

Arab Emirates, Turkey, Thailand, Malaysia, Switzerland and

elsewhere.

The action comes as Washington has sought to curb Russia's

evasion of the sanctions imposed after its 2022 invasion of

Ukraine, which has killed or wounded thousands and reduced

cities to rubble.

The U.S. has repeatedly warned against supplying Russia with

Common High Priority Items - advanced components including

microelectronics deemed by the U.S. and European Union as likely

to be used for Russia's war in Ukraine.

"This should send a serious message to both the governments

and the private sectors of these countries that the U.S.

government is committed to countering the evasion of our

sanctions against Russia and to continue putting pressure on

Russia to end its war in Ukraine," the official, speaking on

condition of anonymity, said.

The U.S. Treasury Department imposed sanctions on 274

targets, while the State Department designated more than 120 and

the Commerce Department added 40 companies and research

institutions to a trade restriction list over their alleged

support of the Russian military.

"The United States and our allies will continue to take

decisive action across the globe to stop the flow of critical

tools and technologies that Russia needs to wage its illegal and

immoral war against Ukraine," Deputy Treasury Secretary Wally

Adeyemo said in the statement.

A senior administration official said Wednesday's action was

designed to signal the U.S. would take action against Indian

companies if progress is not made through communication.

"With India, we have been very direct and blunt with them

about the concerns we have about what we see as sort of emerging

trends in that country that we want to stop before they get too

far down the road," the official, speaking on condition of

anonymity, said.

India-based Futrevo was among the companies targeted by the

State Department, which accused it of being involved in the

supply of high-priority items to the Russia-based manufacturer

of Orlan drones.

The Treasury also targeted Shreya Life Sciences Private

Limited, which it said since 2023 has sent hundreds of shipments

of U.S.-trademarked technology to Russia, totaling tens of

millions of dollars.

CHINA

A second senior State Department official told Reuters

in an interview on Tuesday that more than 70% of the

high-priority goods getting to Russia was from China, more than

an estimated $22 billion worth since the start of the war.

"That's over 13 times the next largest supplier," the

official said, which as of the end of 2023 was Turkey.

Among those targeted Wednesday were Hong Kong and

China-based companies involved in the shipment of tens of

millions of dollars worth of high-priority items to Russia-based

companies or end-users, the State and Treasury departments said.

The U.S. also took actions on a variety of entities

supporting Russia's Arctic LNG 2 project, which is 60% owned by

Russia's Novatek, and was to become Russia's largest

liquefied natural gas plant.

Novatek has been forced to scale back Arctic LNG 2, which

had been planned to reach an eventual output of 19.8 million

metric tons per year, following a raft of U.S. sanctions

starting in 2023 with additional measures in August and

September.

But the U.S. held back from using an executive order signed

by President Joe Biden last year that threatened penalties for

financial institutions that help Russia circumvent sanctions.

The senior administration official said banking sectors had

taken notice of the authority and sort of moved into compliance.