Russia is preparing to retaliate against newly imposed sanctions by the United States over Russian companies and personnel with regard to dealings with North Korea. Yesterday, U.S. treasury department announced that it is imposing sanctions against 10 foreign entities largely Chinese and Russian and against 6 individuals for dealings with North Korea in violation of existing UN resolution.

In an official statement, the Treasury Secretary Steven Mnuchin said, ““Treasury will continue to increase pressure on North Korea by targeting those who support the advancement of nuclear and ballistic missile programs, and isolating them from the American financial system…….It is unacceptable for individuals and companies in China, Russia, and elsewhere to enable North Korea to generate income used to develop weapons of mass destruction and destabilize the region. We are taking actions consistent with UN sanctions to show that there are consequences for defying sanctions and providing support to North Korea, and to deter this activity in the future.”

Here are details of the sanctions on Russian companies and individuals,

• OFAC designated Gefest-M LLC and its director, Russian national Ruben Kirakosyan, for support to the UN- and U.S.-designated Korea Tangun Trading Corporation, also known as Korea Kuryonggang Trading Corporation.
• OFAC designated three Russian individuals; Mikhail Pisklin, Irina Huish, and Andrey Serbin

In response to the newly imposed sanctions, Russian deputy foreign minister Sergey Ryabkov issued an official statement accusing Washington of pursuing the same policies of the previous administration and warned retaliation in response. Here is the full statement from Mr. Ryabkov,

“Washington once again "stepped on the same rake": the US Finance Ministry decided on August 22 to expand anti-Russian sanctions lists - this time on the North Korean plot. Four Russians and one domestic company are subject to restrictions.

The "trend" set by the Barack Obama administration to continue the disintegration of bilateral relations. Since the arrival of the new team in the White House, this is the fourth such kurtosis.

On such a depressing background, the arguments of the American representatives on the desire to stabilize bilateral relations sound extremely unconvincing. However, earlier these figures and the adoption of a well - known anti-Russian law were motivated by the desire to achieve their improvement.

We have always acted and will be in favor of resolving the existing differences through dialogue. In recent years, Washington "in theory" should have learned that for us the language of sanctions is unacceptable, the solution of real problems only hinder such actions. So far, however, it does not seem that there have come to an understanding of such obvious truths.

Nevertheless, we do not lose hope that the voice of reason will sooner or later prevail and our American colleagues are aware of the futility and detrimental nature of the further unwinding of the sanction spiral.

Meanwhile, we begin to work out the inevitable response in this situation.”

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