Russian state-owned arms factory Biysk Oleum (BOZ) has acquired advanced production automation equipment from Siemens, despite the sanctions in place.
Information disclosed by Reuters indicates that there is a complex supply chain to circumvent international technology restrictions.
A Kaliningrad-based intermediary, Techpribor, played a key role in the operation. It was this company, according to the investigation, that ordered the equipment from Chinese distributors such as Huizhou Funn Tek and New Source Automation.
Journalists confirmed that the equipment that eventually arrived at the BOZ factory matched the Siemens models included in the order. The Chinese suppliers admitted that they had not been asked by the German company about the final recipient of the technology.
The purchase is directly related to the intensive capacity expansion of the BOZ plant, which has been increasing production of explosives, including hexogen (RDX), since the start of the 2022 invasion of Ukraine.
Faced with staff shortages, automation has become a priority for the Russian defence industry to increase productivity. Investment in the modernisation of the Siberian plant, owned by the sanctioned Ya.M. Sverdlov concern, is estimated at more than 15.5 billion roubles.
Siemens asserts its commitment to complying with sanctions and requires its partners to do so, but admits that goods can enter Russia without its knowledge through complex networks of intermediaries.
The case sheds light on China’s growing role as a conduit for the supply of Western technology to the Russian arms sector. In response, the European Union began imposing sanctions directly on Chinese companies supporting Russian aggression from December 2024, expanding the list in July 2025 and increasing diplomatic pressure on Beijing.
