EU mulls sanctions reprieve for Chinese fabric-maker accused of aiding Russia
Diplomats from the EU’s 27 member states were pressured this week to lift sanctions on Yusha Group, a Chinese textiles manufacturer accused of selling sensitive European technology to Russian buyers. In exchange, Beijing has pledged that the company will refrain from shipping banned items to Russian military-linked buyers. It will also remove German company Sindlhauser Materials from its own…
EU diplomats are considering lifting sanctions on Yusha Group, a Chinese textiles manufacturer accused of aiding Russia, in exchange for Beijing's pledge to stop shipping banned items to Russian military-linked buyers. Yusha Group was blacklisted by the EU in February 2025 after being named in an Irish Times investigation for shipping Irish-made antennae to Quasar, a Russian company sanctioned by the US for its role in the Russian invasion of Ukraine.
The EU considers ASML, a Dutch-based technology company, to be at risk of going out of business due to its dependency on critical minerals from China, which includes Sindlhauser Materials, a company reported to be part of ASML's supply chain. The unusual quid pro quo came about during high-level negotiations between EU and Chinese politics, aimed at protecting the supply chain of ASML.
If EU diplomats agree to de-list Yusha, the Chinese company could resume trading sensitive goods in the European market.
Written by urgent.news from Reuters Business via SCMP's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
