8-6-2023 (TAIPEI) Taiwan-based computer manufacturer Acer reportedly supplied computer hardware worth at least $70.4 million to Russia between April 8, 2022, and March 31, 2023, according to customs data reviewed by Reuters. This development comes despite Acer’s previous announcement of suspending its business operations in Russia.
While Acer’s actions are not illegal, they stand in contrast to the decisions made by major Western competitors like Dell and HP. The customs records, obtained from a commercial trade data provider, reveal that Dell and HP ceased shipments to Russia in February and April 2022, respectively, following Russia’s full-scale invasion of Ukraine.
The records indicate that Acer’s equipment was supplied to Russia through the company’s wholly-owned subsidiary registered in Switzerland and various delivery services employed by the subsidiary. As these shipments originated outside of Taiwan, they did not violate Taipei’s sanctions against Russia. Furthermore, the goods were not subject to Switzerland’s sanctions regime at the time of export, which mirrored that of the European Union.
However, in a statement issued on April 8, 2022, Acer stated, “Due to recent developments, Acer has decided to suspend its business in Russia.” When questioned about subsequent exports to Russia via its Swiss subsidiary, Acer in Taiwan responded by stating that they strictly adhere to international regulations and trade laws concerning exports to Russia.
Acer added that its Swiss subsidiary had not shipped laptops or desktops to Russia since April 8, 2022, but it had supplied a limited number of displays and accessories for civilian daily use in Russia while ensuring compliance with international sanctions. The company did not provide an explanation for why it continued shipping goods to Russia despite announcing the suspension of business activities there.
Reuters was unable to determine the origin and arrival dates of certain Acer products that are still available for sale in Russia. The Swiss sanctions, aligned with those of the EU, permitted the export of laptop computers and computing components to Russia until December 16, 2022. Acer did not deliver any newly prohibited items to Russia from Switzerland after that date.
Acer informed Reuters that it is possible for importers in Russia to source Acer devices from third countries. In response to emailed inquiries, Acer’s Russian unit stated that “nothing has changed” since their April 2022 statement.
According to consulting company IDC Russia, Acer accounted for 18.5% of all PCs sold in Russia in the fourth quarter of 2021, while HP and Dell combined made up 20.8%.
These shipments highlight the availability of foreign-made goods to Russian consumers, despite international sanctions aimed at restricting Russians’ access to technology and equipment. Artem Zhavoronkov, a partner at St. Petersburg-based law firm Nordic Star, noted that Acer risks facing reputational damage.
Recent G7 meetings in Japan witnessed leaders taking steps to tighten sanctions on Russia and prevent Moscow from circumventing them.
Russian customs data reveals that at least 744 shipments of Acer products entered Russia between April 8, 2022, and March 31, 2023, compared to 3,735 shipments in the previous year, totaling $244.3 million. The data indicates a 71.1% decline in monetary terms, with laptops and PC monitors comprising the majority of shipments.
Taiwan announced its participation in sanctions against Russia on February 25, 2022, and special export permits were required for technological goods on a government-compiled list. Taiwan’s Economy Ministry stated that high-performance electronics, including monitors, displays, and laptops, were included in this list, and applications for export would generally not be approved.
The ministry confirmed that Acer had not applied for such permits as of the end of March 2023, and Taiwanese customs records show no exports from Acer to Russia. The ministry declined to provide further comments.
Acer Sales International SA, based in the city of Bioggio, in the Italian-speaking canton of Switzerland, served as the main supplier of Acer equipment to Russia last year. An officer from the subsidiary did not respond to WhatsApp requests for comment. Switzerland’s State Secretariat for Economic Affairs declined to comment on individual cases or specific companies, while Russia’s Ministry of Industry and Trade did not respond to requests for comment.