US embargoes 2 Central African Republic companies that have links to Russia’s Wagner Group 

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As part of an effort to “counter Russia’s destabilizing operations in Africa,” the US government has imposed sanctions on two companies in the Central African Republic (CAR) that it claims are linked to the Russian Wagner Group.  

Wagner security operations and illicit mining endeavors connected to the mercenary group were allegedly enabled by Mining Industries and Logistique Economique Etrangere, according to a statement released by the US Treasury Department on Thursday.  

The Russian government funds the US-sanctioned Private Military Company (PMC), that maintains operations in several north, central, and west African nations. One of its main sources of income is mining. Using the people and the resources of the Central African Republic, the Russia-backed Wagner Group and their network of businesses have abused them to further their objective, according to a statement from US Treasury Under Secretary for financial intelligence and terrorism Brian Nelson.  

Additionally, Logistique Economique Etrangere was sanctioned for having received hundreds of shipments of heavy materials via another CAR-based company that had already been sanctioned in March of this year. These shipments were probably meant for illicit mining activities connected to Wagner.  

According to Washington, one of the blacklisted firms is in charge of leasing Wagner Group planes for the transportation of employees and equipment, as well as importing chemicals that are commonly utilized in the mining industry. Hundreds of shipments of heavy items have been delivered to the other company by a Russian organization connected to the mercenary leader Yevgeny Prigozhin, who died in an aircraft crash in August of last year. The US has already imposed sanctions on individuals and organizations across the world that back the Wagner Group. 

Previously, the US had acted against several CAR-based businesses associated with the Wagner Group, such as Lobaye Invest, Midas Resources, and Bois Rouge SARLU (now Wood International Group SARLU). 

Image Source: Bloomberg

The Wagner Group 

The United States has imposed sanctions on a multitude of organizations and individuals worldwide that facilitate the destabilizing actions of the Wagner Group. The Wagner Group has stolen natural resources from several African nations and engaged in extensive violations of human rights. The Wagner Group, a Kremlin-affiliated military operative, has participated in hostile acts globally, such as Russia’s brutal conflict in Ukraine. Wagner has additionally taken part in a plot to use false end-use certifications in Mali to acquire armaments for its missions in Ukraine. 

In 2023, the Wagner Group was officially designated as a “transnational criminal organization” by US President Joe Biden‘s administration, which also unveiled several sanctions on the mercenary group. Wagner mercenaries were accused by Human Rights Watch in 2022 with “summarily executed, tortured, and beaten civilians” in the Central African Republic between 2019 and 2021. In addition to prohibiting any US citizens or businesses from conducting business with the designated entities, the US sanctions that were implemented on Thursday also freeze the entities’ assets within the nation. 

Image Source: GPPi

Russia growing influence in Africa 

Throughout the area, democratically elected governments have fallen since 2020 due to the dissatisfaction of military officers with their government’s performance in reducing violence. Following the incident, nations like Mali, Burkina Faso, and Niger started to strengthen their ties with Russia and turn away from western powers. Last November, rebel-held territory in northern Mali was recaptured by soldiers supported by the Wagner mercenaries.  

The rebels had held the area for the previous ten years. After driving out French forces last year, the military junta in charge of Burkina Faso looked to Russia and Wagner for security assistance. In an identical manner, weeks after the junta that overthrew the previous government in Niger ordered the withdrawal of US forces, Russian military trainers showed up there. Across the huge African continent, American influence is arguably deeply declining. The United States faces fierce competition. Russia provides military assistance, while China offers trade agreements to the leaders of Africa. 

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