Austria’s Directorate of State Security and Intelligence (DSN) has exposed an international network that organized the supply of highly specialized industrial equipment to Russia’s defense industry in circumvention of European Union sanctions. This was reported on Monday by the website of Austria’s Ministry of the Interior.
At the center of the scheme was a Vienna-based company that, according to the investigation, was deliberately established to purchase sanctioned goods — in particular, computer numerical control (CNC) machines and specialized metalworking tools — for subsequent transfer to Russia.
To conceal the real destination of the cargoes, the suspects used a network of front companies in eight countries: Turkey, the United Arab Emirates, Hong Kong, Belarus, Kyrgyzstan, South Korea, Poland, and Lithuania. European manufacturers were provided with forged end-user certificates stating that the equipment would remain in third countries. It was intended for enterprises linked to the Russian state corporation Rostec.
According to preliminary findings of the investigation, the equipment supplied was used, among other things, to produce engines for cruise missiles, combat aircraft, and other military hardware.
Purchases of industrial goods for Russian military needs had been underway since at least 2019. After sanctions were tightened, the routes were redirected through third countries, primarily Hong Kong and Turkey. Since 2022, deliveries to Russian defense enterprises totaling more than €3.3 million have been confirmed. The turnover generated directly in Austria exceeded €700,000.
In August 2025, police searched four sites and seized about 40 data carriers. On 13 May 2026, a 28-year-old Belarusian citizen — the company’s director and co-owner — was detained. Sanctioned CNC machines and tools worth approximately €140,000–164,000 (according to various estimates) were confiscated from him. The suspect remains in custody, and the investigation is ongoing.
Austrian Interior Ministry State Secretary Jörg Leichtfried stated: “It is unacceptable that high-precision European technologies find their way through roundabout routes into the production of cruise missiles and air defense systems. We will continue to take decisive action, including through international cooperation, against those who attempt to circumvent legal prohibitions in order to support the Russian arms industry.” DSN Director Sylvia Mayer emphasized that this case demonstrates the determination with which international networks try to evade existing sanctions, and that the Austrian service, together with national and international partners, is working to detect and dismantle such structures at an early stage.