Steel manufacturer Evraz was caught up in the latest wave of sanctions issued by the UK government this week, as a result of its “strategic significance” to Russia’s administration.
The company’s shares were suspended from trading on March after Russian billionaire Roman Abramovich, who owns a 29% stake in Evraz, was added to the UK administation’s selection of sanctioned individuals.
The steel manufacturer currently produces 28% of Russia’s railway wheels and 97% of the country’s rail-tracks.
The UK government reported that Evraz’s key importance to the Russian military’s supply logistics was as a result of the country’s use of railway lines to transport troops and munitions to the frontline in Ukraine.
The sanctions froze Evraz assets, preventing any UK citizen or company from doing business with them.
The government said it aimed to chip away at Putin’s financial resources and siege economy, with the sanctions impacting over 70,000 Russian workers as Evraz is a major employer across the country.
The move comes as the most recent addition to the UK’s list of 1,000 individuals and 100 businesses sanctioned as the country works to stop Russia’s war against Ukraine.
The UK administration confirmed the intent of the sanctions to further deter companies operating in strategic sectors in Russia.
