An uninterrupted stream of Italian goods is flowing to Moscow through a circuitous route.
The goods detour through the Central Asian hub of Bishkek, Kyrgyzstan, a maneuver that circumvents sanctions and weakens a united European front.
The Kyrgyz Loophole: A Sanction-Free Zone
Since Kyrgyzstan joined the Eurasian Economic Union, goods entering the country can vanish from customs oversight before crossing into Russia.
The system is exploited with great effect. Documentation points to many goods being destined for Kyrgyzstan only on paper. German export data contains shipments far exceeding what Kyrgyz import records contain, and Italian exports follow the same course.
The result is an influx of European goods vastly outstripping Kyrgyzstan’s domestic needs. After February 2022, Germany’s monthly exports to the country grew eightfold, while the Netherlands experienced a tenfold increase.
Overall, Kyrgyzstan’s exports to Russia more than doubled in a single year, with machinery exports alone spiking by an unbelievable 41,000 percent.
The Italian Exception: A Path of Less Resistance
Italy has emerged as the leading European purveyor for such transshipments. While other governments, including in the UK, Scandinavia, Poland, and the Baltics, have halted their participation, Italian shipments carry on.
In some countries, officials made simple phone calls to the companies involved, and the trade ceased within weeks. In Italy, the shipments carry on with what appears to be the government’s quiet approval.
A History of Commerce with Russia
Italy’s position may be rooted in its long-standing economic arrangements with Russia. Before the conflict, Russian natural gas supplied $12 billion of Italy’s energy needs, and Italian luxury brands generated €1.3 billion from the Russian market in 2021.
The commerce persists. In September 2024, Italy’s two-way trade with Russia totaled nearly €770 million, and Rome became one of Moscow’s top three European partners, eclipsing the trade of larger economies like France and Germany.
The commerce includes direct sales, with some Italian firms shipping industrial equipment to Russia through Kazakhstan and Turkey well after restrictions were in place.
The Broader Geopolitical Game
The strategy recalls how Belarus, pushed further into Moscow’s orbit, became a channel for sanctions circumvention. Kyrgyzstan’s situation is unique. It maintains its formal independence and is a central site for Beijing’s Belt and Road infrastructure investments.
The enormous surge in exports points to Kyrgyzstan being used to test and build new sanctions-resistant trade corridors, helping Beijing prepare for future Western restrictions. By allowing its goods to flow, Italy is feeding the system.
A Storm Brewing in Washington
The situation may soon get more complicated. US lawmakers have drafted the Sanctioning Russia Act of 2025, which would target countries buying Russian oil and gas with tariffs as high as 500 percent.
President Trump has conveyed his approval, and with strong bipartisan support, its passage appears likely. The legislation gives the President the power to exempt traditional partners, and Italy might hope to receive one.
However, the threat is real. After penalties were imposed, Chinese refiners halted Russian oil purchases, and Indian refiners stopped placing orders. European transshipments could easily become Washington’s next target.
A Contradiction and a Choice
Italy’s tolerance for such transshipments exists alongside a series of stricter measures. The government has frozen €2.3 billion in oligarch assets, expelled Russian diplomats, and designated dozens of individuals and entities.
Ukrainian officials have even asked Rome to examine the 87 percent surge in Italian exports to Turkey, a surge that resembles the Kyrgyzstan trade flows.
While the shipments are a fraction of Italy’s economy, the goods provide disproportionate value to Russia. By allowing the loophole to remain open, Rome undermines European unity and collective credibility.
The transshipment corridor through Bishkek remains open for one reason: Italian officials permit it. Closing the route hinges on political will.
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