Sanctions imposed on Russia by Western nations in response to President Vladimir Putin’s invasion of Ukraine have resulted in a nationwide shortage of fuel and other essential items. Russia has faced over 13,000 restrictions, making it the most-sanctioned country in the world.
The impact of these sanctions is being felt across the country, leading to a decrease in support for the war as Russians face the financial consequences. Reports indicate that the Russian government is attempting to suppress prices through regulatory measures and intimidation of sellers and enterprises.
The fuel shortage is particularly severe, despite Russia being one of the largest producers of oil and gas globally. Gasoline shortages have been reported in various cities, including Astrakhan, Volgograd, Saratov, Ryazan, and Novosibirsk. These shortages threaten to disrupt fall harvesting and sowing, which could have disastrous consequences for the country.
The shortage of domestically produced paper has also affected large publishing houses. Due to the lack of available paper, publishing houses have been forced to shift to using domestically produced paper. However, production costs have increased as essential chemicals used in the manufacturing process are imported.
The production of plywood has also been impacted, as wood-processing enterprises face a shortage of phenol formaldehyde resin. This crucial component for plywood production has prompted calls for the government to limit exports, as it is used in various applications such as walls, roofs, furniture, and cladding.
Cell-phone reception in Russia has suffered due to shortages of equipment and spare parts caused by Western sanctions. Foreign telecommunications companies have left the country, and domestic equipment does not meet the requirements of operators. Consequently, cell-phone users can expect slower downloads, dropped calls, and longer outages.
Logistics companies are also grappling with a shortage of tires and lubricants for their imported tractors. Western manufacturers have exited or reduced operations in Russia, further exacerbating the spare parts supply crisis.
These shortages and supply chain disruptions highlight the significant impact of sanctions on the Russian economy. While sanctions may not destroy the economy outright, they slow down production and reduce the overall volume of goods produced.