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Chinese Firms Keep Drone Parts Flowing to Russia and Iran Despite Sanctions, WSJ Finds

Chinese companies continue to export components used in Shahed-type drones to Russia and Iran, despite US and EU sanctions.
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According to The Wall Street Journal on May 6, the shipments involve mostly small, lesser-known Chinese firms that openly sell dual-use products such as engines, batteries, microchips, and fiber-optic cables. The report indicates that some suppliers have advertised these components publicly, even in ways that directly reference drone applications.
One example cited by The Wall Street Journal is Xiamen Victory Technology, which promoted German-designed Limbach L550 engines—previously identified in Shahed drones. The company’s website reportedly displayed an image resembling a Shahed drone alongside the slogan “Innovative solutions for aviation engines.”

A company representative told The Wall Street Journal that the products are intended for civilian drones and denied supplying them to Russia or Iran, adding that some promotional materials may have been generated using artificial intelligence.
Chinese customs data shows that hundreds of shipments containing relevant components have been sent to Russia and Iran. These include engines, lithium-ion batteries, gyroscopes, and fiber-optic systems. The report states that many of these goods are routed through intermediaries in mainland China and Hong Kong before reaching end users.
The investigation by The Wall Street Journal outlines how payments are often processed through shell companies registered in Hong Kong, allowing buyers to obscure their identities. Analysts cited in the report estimate that the total value of such shipments reaches hundreds of millions of dollars.

According to The Wall Street Journal, between 2023 and 2024 alone, Chinese firms directly supplied at least $63 million worth of drone-related components to Russian companies under sanctions. US officials told the outlet that restricting this trade remains difficult because many of the components are commercially available and widely used in civilian industries.
The Chinese Ministry of Foreign Affairs stated that China adheres to its export control regulations and international obligations.
Earlier, according to a January report by the Center for Strategic and International Studies (CSIS), China supplied critical dual-use materials and industrial equipment that helped Russia significantly increase production of Iskander-M ballistic missiles.
The report said Chinese exports included ammonium perchlorate for rocket fuel, machine tools, microprocessors, lithium batteries, and drone-related components used across Russia’s missile and UAV programs.
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