Russia Acquires High-End AI Chips via Indian Trade Loophole

Despite US and EU sanctions, Russia gains Nvidia and AMD processors through Dell servers shipped from India.

Shreya Life Sciences, an Indian pharmaceutical company, exported 1,111 Dell PowerEdge servers equipped with Nvidia and AMD chips to Russia between April and August 2024.
The servers, valued at around $300 million, were legally exported under Indian trade laws, bypassing Western sanctions aimed at restricting dual-use goods to Russia.
These exports originated from Malaysia, where Dell servers were initially sourced before being shipped to Russia through India.
India has become the second-largest supplier of restricted technology to Russia, following China, raising concerns among Western governments.
The US and EU have attempted to persuade India to halt these exports, but India's strategic ties with Russia, particularly in military and energy sectors, remain a priority.