The National Agency on Corruption Prevention (NACP) has listed two Chinese manufacturers and suppliers of video surveillance equipment on the list of international war sponsors. This decision was made due to the fact that both companies are actively working in the Russian Federation, filling the Russian budget and supplying dual-purpose equipment that can be used for military purposes.
Hikvision is a Chinese state-owned manufacturer and supplier of video surveillance equipment for civilian and military purposes. Provides a wide range of physical security products, including video security, access control and alarm systems.Hikvision has built one of the most extensive marketing networks in the industry, which includes 66 subsidiaries and offices worldwide. They serve a variety of vertical markets in over 150 countries.
Hikvision operates in the Russian Federation through an official representative office - Hikvision LLC. Their turnover in the Russian Federation increased by 42% with the start of a full-scale war in 2022, net profit increased by 1,526%, and the company's staff was doubled.
In 2018, the US Congress passed John McCain's National Defense Authorization Act (NDAA, Section 889 of the Act), which prohibited the use of certain services and types of equipment in the field of telecommunications and video surveillance. Since then, federal agencies have been barred from buying Hikvision equipment and from entering into official relationships with companies and organizations that use its cameras.
In 2021, the Federal Communications Commission (FCC) published a list of manufacturers of communications equipment that pose a threat to US national security. Hikvision is among the top five Chinese companies on the list.
Almost 90% of the members of the European Parliament voted to ban the use of Hikvision cameras in official premises due to the manufacturer's involvement in repression against the Uyghurs (the Uyghurs are one of the oldest Turkic-speaking peoples of Asia).
In 2023, a similar ban on the installation of Hikvision devices by public authorities was approved by the Australian government.
Dahua Technology is the world's second largest producer of video surveillance systems by revenue.
Dahua in Russia officially represents Dahua Technologies Rus LLC. The taxes paid by the organization to the budget of the Russian Federation for 2021 amount to $1.12 million at the current exchange rate. Taking into account the general trend and the fact that similar Western brands Axis, Hanwha, Panasonic, Motorola, IBM, Milestone have left the Russian market, the amount of taxes for 2022 has obviously increased.
After the start of the full-scale Russian invasion of Ukraine, Dahua continues to work around the clock to ensure product shipments to Russia. In addition, according to the representative of the company, the ruble exchange rate has become more stable and the company is counting on the continuation and expansion of commercial activities on the territory of the country.
According to the Importgenius resource, Dahua Technologies Rus LLC receives large batches of Dahua technology and equipment. In 2022, the company continued to import equipment from China, primarily video cameras. Deliveries of drones, thermal imagers and related components continue, which is confirmed by offers from the company's official website.
If drones can be used for military purposes with the help of modification, then thermal imagers are used without it.
So, in 2022, as part of a campaign to limit the access of Chinese military manufacturers to modern technologies, the United States introduced export controls on Dahua chips. At the same time, the British government banned public authorities from installing Dahua surveillance cameras.
In 2023, a similar ban on the installation of Dahua devices by public authorities was approved by the Australian government.
The US Federal Communications Commission (FCC) has included Dahua Technology in the list of companies whose products pose a threat to national security.
Therefore, Dahua provides Russia with critical goods that allow the Russian military industry to function, thereby contributing to the continuation of the war.
Thus, thanks to the work of both these companies in the market of the terrorist state, the Russian Federation has freely available drones, thermal imagers, surveillance cameras that can be used on UAVs, anti-drone guns and other means to continue the war against Ukraine. This proves the direct financing of the war by the Chinese companies Hikvision and Dahua Technology.
