The reason was a sharp increase in the number of cars that are exported in circumvention of sanctions through third countries, including China, Kazakhstan and Kyrgyzstan.
The volume of illegal automobile exports from South Korea to Russia grew more than fivefold last year, reaching 149.2 billion won (about $100.78 million) compared with 2024, the Korea Customs Service told Reuters. The surge comes as Seoul tightens export restrictions in response to events in Ukraine.
The department revealed the main schemes used by unscrupulous exporters. Thus, traders indicate in customs declarations the neighboring states of Kazakhstan and Kyrgyzstan as destination countries, although in fact the cars are in transit to Russia. In addition, businessmen buy new cars and register them as used ones, after which they send them to the Russian Federation through third countries.
According to customs officials, violators are particularly interested in cars of German premium brands that were previously imported to South Korea.
From 2024, Seoul will require vehicles with an engine larger than 2.0 liters. had permission to export to Russia. Violation of these rules carries serious penalties: up to seven years in prison or a fine of five times the value of the illegally exported goods.
The problem is widespread not only for South Korea. As Reuters reported in February, tens of thousands of cars are exported annually from China to Russia under similar “gray” schemes, thereby circumventing sanctions by Western and Asian governments, as well as the obligations of automakers that have left the Russian market.
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