Page 13 - RUSRptOct18

2.5 New CAATSA sanctions on arms sales
The US Department of State added 33 new people to the List of Sanctioned Persons (LSP) on September 20. Separately, State added a Chinese entity to the Specially Designated Nationals (SDN) list for transacting an arms deal with Russia.
It's a big warning shot that the US Treasury and State coordinated to add a Chinese importer of Russian arms to the Specially Designated Nationals (SDN) list. It's quite possible that the move is meant as a symbol in the wake of the Vostok 2018 exercises, but likelier still is the intention to target Russian arms transfers to competitor states. India and Vietnam would receive waivers because of their needs vis-a-vis China, but if Russia offers a system to Iran, there'll be hell to pay in Washington. This is a considerable step towards going after Russian arms exporter Rosoboronexport and also likely an attempt to get Congress to back off of tightening legal requirements for sanctions even more.
Being on the LSP does not mean an individual or entity is sanctioned, but it does mean that anyone who deals with that individual or entity is subject to sanctions. The SDN list consists of those who are currently under sanctions.
● The 33 individuals added to the LSP are all associated with the Russian defence or intelligence sectors, and many of them were involved with meddling in US elections.
● The Chinese entity, a branch of the military, is being sanctioned for buying 10 Sukhoi fighters and a batch of the S-400 anti-air missile system from Rosoboronexport at the end of 2017. It can no longer export to the US or transact with the US financial system and its US property is now blocked.
● The Chinese government reacted negatively. Russian Deputy Minister of Foreign Affairs Sergei Ryabkov said that imposing sanctions must have "turned into a kind of national entertainment" in the US and warned that "playing with fire is stupid, because it can become dangerous."
13 RUSSIA Country Report October 2018 www.intellinews.com