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UK Luxury Cars in Sanctioned Russia Attributed to Illegal Trade, Says Industry Leader

The emergence of UK-made luxury cars in Russia, which is currently under sanctions, has been linked to “criminal activity,” according to the head of the UK automotive industry’s lobbying organization.

Mike Hawes, the chief executive of the Society of Motor Manufacturers and Traders (SMMT), made these remarks after an investigation uncovered a method for transporting vehicles from the UK and other European countries into Russia via Georgia.

Video evidence revealed that vehicles, including Range Rovers manufactured in Solihull, were being moved toward the Russian border, despite official statistics indicating that no such trade should be occurring. This situation has raised alarms regarding the adherence of UK car manufacturers to sanction regulations.

In response to the Russian invasion of Ukraine in February 2022, both the UK and the EU instituted strict sanctions prohibiting car imports to Russia.

Hawes clarified that these vehicles are not being exported directly to Russia, asserting that their transfer involves a “third party” following an authorized sale.

He noted that once cars are sold to licensed dealers, manufacturers have limited control over their subsequent resale, particularly in secondary markets such as those in the Caucasus region.

The SMMT remains actively engaged with the automotive sector to ensure compliance with the sanctions and to prevent the further sale of vehicles to Russia.

A spokesperson for the UK government reiterated that the country has imposed a ban on exporting thousands of items, including cars, to Russia as part of its sanctions after the Ukraine invasion. The government has committed to intensifying economic pressure on Russia until it ceases its military actions.

In addition to enforcing these sanctions, the government is collaborating with UK businesses to ensure that prohibited goods do not reach Russia. Companies are expected to adhere to stringent compliance measures and meticulously monitor their supply chains.

Jaguar Land Rover (JLR) also addressed the investigation’s findings, asserting that the luxury vehicles in question were not supplied to the Georgian market by the company. JLR clarified that the vehicles were sold to authorized dealers in countries that do not border Russia.

According to Jaguar Land Rover, these nations are under similar sanctions and export controls as those established by the UK, ensuring the company’s compliance with international laws.

JLR further stressed its commitment to adhering to all sanction regulations and is actively investigating how these vehicles ended up in Russia.

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