Yellen: China Stopping Its Firms from Arming Russia Is Easier and Better than Sanctions, ‘Opportunity’ to Work with China

During an interview aired on Tuesday’s “PBS NewsHour,” Treasury Secretary Janet Yellen stated that there is evidence “that strongly suggests” that private Chinese firms are directing military equipment to Russia and that while the U.S. is “prepared to sanction these firms or potentially financial institutions that are helping them do this business,” “it would be easiest and best” if China cracks down on it themselves “And I think we have an opportunity to work with the Chinese to counter this evasion.”

Co-host Geoff Bennett asked, “On another matter, you’ve said that the U.S. government has seen evidence that Chinese firms may be aiding in the flow of equipment to Russia as part of its war effort in Ukraine. How is the U.S. planning to respond?”

Yellen responded, “We want our Chinese counterpart[s] to be aware that we have detected activity that strongly suggests to us that there are some private Chinese firms that are helping direct military equipment to Russia, and that we have great concern about that. We would — we’re certainly prepared to sanction these firms or potentially financial institutions that are helping them do this business, but it would be easiest and best if China takes — uses the information that we can provide to crack down on this activity themselves. And I think we have an opportunity to work with the Chinese to counter this evasion.”

Follow Ian Hanchett on Twitter @IanHanchett