Japan mulls ban on car exports to Russia

Japan is considering banning exports of luxury cars to Russia as part of tougher sanctions against Moscow over its invasion of Ukraine.

Prime Minister Fumio Kishida said at a Group of Seven summit more Russian individuals and entities will be added to its sanctions list and exports of luxury goods will be banned.

Government officials say the measures will likely cover items such as vehicles, jewellery and artworks, and may come into force by April, reports the Japan Times. 

Passenger cars, buses and trucks accounted for about 42 per cent, or ¥263.2 billion, of Russia-bound shipments from Japan in 2020, according to government data.

The figures show about 190,000 new and used cars were exported to Russia that year and it has been reported any ban introduced by Japan may also cover second-hand vehicles.

“We will examine which items should be targeted by the ban while minimizing the negative impact on Japanese companies’ earnings,” a government official explains.

The increasing sanctions from Japan, and other countries such as the United States, are aimed at adding pressure on oligarchs who have been supporting Russian President Vladimir Putin financially.