Financial Times Quotes Thomas Krueger on Tech Smuggling into Russia

For its article “The shadowy network smuggling European microchips into Russia,” Financial Times quoted Akin international trade senior policy advisor Thomas Krueger. The article discusses a covert Russian-led operation to bypass European export controls in order to get strategic technology into Russia’s hands.

Thomas, who served at the National Security Council as the Director of Strategic Trade and Nonproliferation, said, “As we can see from [Department of Justice] indictments targeting Russian networks, the Russians understand the export controls and the regulations—they know what’s legal, they know what’s not legal. They are very good at using distribution networks to set up front companies.”

He added that this Russian effort did not start with the invasion of Ukraine and that Russian intelligence plays, and always has played, an important role in obtaining this type of technology.

On the topic of EU states’ individual responsibility to police violations of the EU’s list of prohibited dual-use technology, Thomas said, “Member states aren’t necessarily comfortable using export controls as a punitive measure because it’s the one policy tool that backfires on their industries. You’re basically restricting your own companies from making money.”

He also noted that some member states do not have the resources to do this, comparing the U.S., which brings a “huge army” of people to negotiations, and other countries, which might have a handful by comparison.