Ukraine imposes sanctions on 43 entities linked to Russia's military-industrial complex

On August 3, 2026, Ukrainian President Volodymyr Zelenskyy signed Decree No. 704/2026, imposing sanctions on 23 companies and 20 individuals linked to Russia's military-industrial complex. The restrictions target suppliers of critical components for ballistic missiles, drones, and electronic warfare, including the Belarusian firm Kidma Tech and Russia's Morozov Plant. The measures, lasting up to 10 years or indefinitely, also unexpectedly include the Ukrainian-registered Boryslav Oil Company.

Ukraine sanctions Russian military suppliers

• ▪The Ukrainian sanctions are imposed either indefinitely or for a period of 10 years, and they include asset freezes, a complete ban on trade operations, the revocation of licenses, and restrictions on transferring capital outside Ukraine.
• ▪Ukrainian President Volodymyr Zelenskyy signed Presidential Decree No. 704/2026 on August 3, 2026, enacting a decision by the National Security and Defense Council of Ukraine to impose sanctions on entities linked to Russia's military-industrial complex.
• ▪The Ukrainian sanctions list includes the Boryslav Oil Company, which is a joint venture registered in Ukraine's Lviv Oblast, though the reason for its inclusion was not specified.
• ▪The Ukrainian sanctions target 23 companies and 20 individuals involved in producing weapons, supplying components, and supporting the needs of Russia's defense industry.

Targeted defense manufacturing companies

• ▪The Morozov Plant, a state-owned defense manufacturer in Leningrad Oblast owned by the sanctioned Russian state conglomerate Rostec, was targeted for manufacturing explosives, rocket fuel, and solid-fuel charges for Iskander-M ballistic missiles.
• ▪The Ukrainian sanctions targeted Aurum LLC, UAV-Ural LLC, and the Nizhny Novgorod instrument-making company Salyut-27 for supplying drones and electronic warfare equipment to Russian forces.
• ▪The company Spetselektronkomplekt was sanctioned by Ukraine for its involvement in producing components for multiple Russian missile models, including guided air-to-ground missiles.
• ▪The Belarusian company Kidma Tech, which manufactures optical devices, air defense systems, and multiple-launch rocket systems, and repairs guided missiles, was placed on Ukraine's sanctions list.
• ▪Russian IT companies Enforcer Engineering, Equant, SOIS Consult, and VS Lab were sanctioned for developing digital solutions and information security software for Russian government and military institutions.

Restricted individuals in defense sector

• ▪The latest restrictions target 23 individuals with ties to Russia's military-industrial complex, according to a presidential decree signed on August 3, 2026.
• ▪Ukraine's August 3, 2026, sanctions package targeted 20 individuals associated with companies that manufacture and supply equipment and components to the Russian military-industrial complex.

Components for ballistic weapons production

• ▪The Morozov Plant supplies solid-fuel charges for the engine of the Iskander-M ballistic missile.
• ▪The company OboronStal was sanctioned for supplying fastening components for Russian Kh-59M2 and Kh-59M2A missiles.

Diplomatic pressure on Russia

• ▪Ukraine aims to force Russia to end the war before the start of winter 2026 by intensifying diplomatic and sanctions pressure in cooperation with international partners.
• ▪Presidential sanctions policy adviser Vladyslav Vlasyuk stated that international cooperation on these restrictions is necessary to weaken Russia's ability to strike Ukraine.