British carmakers appear to have continued selling hundreds of millions of pounds of luxury vehicles to Russia even after the invasion of Ukraine and the imposition of sanctions, exporting the cars indirectly via former Soviet states, Sky News analysis suggests.
While direct British car exports to Russia have fallen to zero following the invasion of Ukraine in 2022, that collapse has been followed by a corresponding increase in car exports to countries neighbouring Russia, most notably Azerbaijan.
Our analysis, based on official HMRC trade data, finds that the UK exported £273m of vehicles to Azerbaijan last year, a 1,860% increase compared with the five-year period preceding the invasion.
Not only is the increase in exports to Azerbaijan unprecedented, it is of a similar magnitude to the annual car exports to Russia in the two years before the imposition of sanctions, which averaged £330m.
Alongside the UK HMRC statistics, Sky News has analysed UN international trade data which shows that over precisely the same period that Britain recorded an unprecedented increase in car exports to Azerbaijan, Azerbaijan recorded an unprecedented increase in car exports to Russia.
The data chimes with testimony from Sky sources, who told us that while Russian car buyers sourcing German vehicles have primarily sent them via Kyrgyzstan, they prefer to use Azerbaijan as a route for British cars.
British carmakers insist that they are no longer selling cars to Russia. And the government data, collected by the HMRC on all goods leaving the country, do not constitute proof that the cars ended up in Russia. It is impossible to track each British consignment once it has left port, especially once it has arrived at a third country.
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However, the government is concerned about this grey area, whereby goods may be sent to Russia via former Soviet satellite states in the Caucasus and central Asia.
Image: A Moscow showroom showing at least one model for sale.
Cars are among the items banned from Russia under the so-called “dual use” sanctions regime. There is a specific ban of the sale of luxury cars – those worth more than £42,000 – to Russia.
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The HMRC database, which also shows the count of cars sold as well as the total value, reveals that the average value of UK cars exported to Azerbaijan was more than £100,000 – suggesting that the consignments are primarily or exclusively luxury cars.
Britain’s motoring lobby group the SMMT said: “UK vehicle manufacturers are committed to full compliance with all current and future trade sanctions.
“While trade flows can vary and, indeed, be quite volatile with growing economies, there is no available evidence to indicate a lack of compliance with existing sanctions, but manufacturers will remain vigilant, and would condemn any party that puts their commitment to compliance at risk.”
Sanctions experts said part of the challenge in combating the flow of goods to Russia via third countries (as appears to be happening in this case) is that it is very difficult, sometimes near impossible, to track those consignments once they enter those other countries.
Image: Portbury in Bristol is one of the UK’s main ports to handle the import and export of motor vehicles.
Tom Keatinge, Director at the Centre for Financial Crime & Security Studies, Royal United Services Institute says: “There are obviously very close economic ties between places like Azerbaijan, Armenia and Russia, they sit within a kind of common economic area. And so really, once the good is in that area, your ability to track it as the manufacturer in the UK is lost.
“What you should of course, be asking yourself, when it comes to exporting that car, or whatever it might be initially is, ‘Do I really think that this exporter who’s suddenly come out of nowhere to buy 100 cars Is actually importing cars only into that third country? Or might they be trying to make money out of circumventing sanctions and selling that onward into Russia?'”
Rolls-Royce, which is owned by BMW, said: “Rolls-Royce Motor Cars ceased production and supply of cars for the Russian market in late February 2022, before international trade sanctions were put in place. In the meantime, governments have implemented far-reaching sanctions, which we fully comply with and support.
“Retail sales of cars to clients are managed by our global dealer network, comprised of independently owned and operated businesses. Our global dealer network is contractually obliged to follow all applicable national and international legal regulations, including those relating to export control.
“If any new Rolls-Royce motor car has been imported into Russia since late February 2022 this has been done so without the knowledge or support of Rolls-Royce Motor Cars.”
Image: A 2023 Bentley car is shown for sale on a Russian franchise dealership’s website.
Pic: Bentley Moscow
A representative from Bentley, owned by VW, said: “We are committed to full compliance with all current and future trade sanctions and there is no evidence to suggest a lack of compliance with existing sanctions, or indeed a change of sales trend in Azerbaijan.”
While the HMRC data does not identify specific carmakers or consignments, it does show that the port most used for this particular trade from the UK was the Port of Bristol, which had never previously exported more than a few million pounds worth of goods each year to Azerbaijan. In the two years following the invasion it saw those exports shoot up to more than £100m a year. The Port of Bristol did not respond to Sky News’s requests for a comment.
For the UK as a whole, the dramatic rise in car exports to Azerbaijan stands out in the trade statistics. In the space of a couple of years, this state of 10 million people, with a GDP around the same size as Ghana, has become the UK car industry’s 16th biggest export destination by value, ahead of Austria, Portugal and Sweden.
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Feb: Is Russia beating UK sanctions?
Sky News has previously shown that many other banned items, including those known to have been repurposed as weapons, have been sent to former Soviet states in the Caucasus and Central Asia, including Kyrgyzstan and Armenia. Those states have all recorded sharp increases in their exports to Russia.
Britain’s sanctions minister Anne-Marie Trevelyan said: “The work of investigative journalists and NGOs’ continuing efforts to highlight circumvention are an important part of our collective efforts to track and evidence Putin’s abhorrent crimes.
“We have introduced the largest and most severe package of sanctions ever imposed on Russia or indeed any major economy with 2,000 individuals and entities under the Russia regime. Alongside our international allies we’ve been clear no country should be propping up Russia’s war machine.
“We continue to bear down on those who do business with Putin and his cronies, including sanctioning individuals who try to bypass our sanctions, and working with partners and a range of third countries to stem the flow of goods into Russia.”
The Israeli military has said its investigation into the killing of aid workers in Gaza has found there were “several professional failures, breaches of orders, and a failure to fully report the incident”.
A commanding officer will be reprimanded and a deputy commander will be dismissed following the military investigation, the Israel Defence Forces (IDF) said.
Fifteen aid workers were shot dead by Israeli troops who opened fire on a convoy of vehicles, including ambulances, on 23 March.
They were then buried in a shallow grave where their bodies were found a week later by officials from the United Nations and the Palestinian Red Crescent.
The probe’s findings come after a Sky News investigation earlier this week revealed how the deadly attack unfolded, contradicting Israel’s official account of the killings.
At first, Israel claimed the medics’ vehicles did not have emergency signals on when troops fired their shots, but later backtracked.
Mobile phone footage which was recovered from one of the medics contradicted Israel’s initial account.
In a statement on Sunday, an IDF spokesperson said: “The Commanding Officer of the 14th Brigade will receive a reprimand, which will be recorded in his personal file, for his overall responsibility for the incident, including the procedure of combat and management of the scene afterward.
“The deputy commander of the Golani Reconnaissance Battalion will be dismissed from his position due to his responsibilities as the field commander in this incident and for providing an incomplete and inaccurate report during the debrief.”
Image: Footage was released of the attack on 23 March
‘Poor night visibility’
The investigation found that the deputy commander did not initially recognise the vehicles as ambulances “due to poor night visibility”, according to the spokesperson.
“Only later, after approaching the vehicles and scanning them, was it discovered that these were indeed rescue teams,” they added.
Probe looked at ‘three shooting incidents’
The IDF said that about an hour before the attack on the convoy, Israeli troops fired at what they “identified as a Hamas vehicle” and the forces “remained on high alert for further potential threats”.
In the convoy incident, the IDF said the soldiers “opened fire on suspects emerging from a fire truck and ambulances very close to the area in which the troops were operating, after perceiving an immediate and tangible threat”.
“Supporting surveillance” had reported five vehicles approaching rapidly and stopping near the troops, with passengers quickly disembarking, according to the IDF.
It said the deputy battalion commander “assessed the vehicles as employed by Hamas forces, who arrived to assist the first vehicle’s passengers”, adding that: “Under this impression and sense of threat, he ordered to open fire.”
According to the IDF, six of the 15 killed were “identified in a retrospective examination as Hamas terrorists”.
But the Sky News investigation found no evidence to support this claim.
The IDF also said there was a third incident about 15 minutes later where “the troops fired at a Palestinian UN vehicle due to operational errors in breach of regulations”.
“The troops’ commander initially reported the event, and additional details emerged later in the examination.”
Bodies were buried in mass grave
Eight Red Crescent personnel, six civil defence workers and a UN staff member were killed in the shooting on the convoy by troops carrying out operations in Tel al Sultan, a district of the southern Gaza city of Rafah.
Troops then bulldozed over the bodies along with their mangled vehicles, burying them in a mass grave.
‘Decision to crush vehicles was wrong’
The IDF statement said that at dawn it was decided to “gather and cover the bodies to prevent further harm and clear the vehicles from the route in preparation for civilian evacuation”.
The body removal and vehicle crushing were carried out by field commanders, according to the military.
Removing the bodies was reasonable under the circumstances, but the decision to crush the vehicles was wrong, the investigation concluded, and “in general there was no attempt to conceal the event”.
The probe also found that “the [gun]fire in the first two incidents resulted from an operational misunderstanding by the troops, who believed they faced a tangible threat from enemy forces. The third incident involved a breach of orders during a combat setting”.
Pope Francis has made his first significant public appearance since he left hospital, greeting cheering crowds from the popemobile.
He blessed the thousands of faithful gathered to celebrate Easter Sunday at the Vatican.
The 88-year-old pontiff appeared frail as he was wheeled out onto the balcony over the entrance of St Peter’s Basilica, before being driven in the popemobile through the crowds of faithful gathered in St Peter’s Square.
He was met with cheers, applause and chants of “Viva il Papa” – meaning long live the Pope.
Image: Pope Francis being driven through the crowds in St Peter’s Square. Pic: Reuters
“Brothers and sisters, Happy Easter!” Pope Francis managed to say, before an aide read the rest of his annual Urbi et Orbi blessing and speech, which called for an end to the conflicts in Ukraine and Gaza.
“May the risen Christ grant Ukraine, devastated by war, his Easter gift of peace, and encourage all parties involved to pursue efforts aimed at achieving a just and lasting peace,” the message said.
Image: Pic: Reuters
“In this Jubilee year, may Easter also be a fitting occasion for the liberation of prisoners of war and political prisoners!”
Image: Pic: Reuters
Crowds then stretched out their hands and filmed as the Pope was driven past in the special vehicle.
The popemobile stopped a number of times in order for the pontiff to bless babies and small children, appearing to also give them gifts.
Image: The Pope blesses a baby as he travels around St Peter’s Square
Before the public appearance, the Pope “exchanged good wishes” with US vice president JD Vance during a private audience at the Vatican.
Image: The Pope meeting JD Vance on Easter Sunday. Pic: Vatican Media
Image: Pic: Vatican Media
Mr Vance, who is in Rome with his family, also met with Pope Francis on Saturday, where the Vatican said there had been “an exchange of opinions” over international conflicts, migrants and prisoners.
Image: The faithful gather in St. Peter’s Square. Pic: Reuters
Image: Members of the clergy. Pic: Reuters
Leading up to Easter, he skipped the solemn services of Good Friday and Holy Saturday. Before Sunday, his biggest outing had been a visit to Rome’s central prison to spend Holy Thursday with inmates.
He also missed the Easter Sunday open-air mass, which was led instead by Cardinal Angelo Comastri, the retired archpriest of St Peter’s Basilica.
As people take a break for the Easter holiday, in the Gaza Strip there is no respite from the 18-month-long war with Israel.
Gaza has a tiny Christian community of Greek Orthodox Christians, Catholics, Evangelicals, and Anglicans.
For Ramez al-Souri, the pain is unimaginable. His three children were killed by an Israeli airstrike, on an annex of Gaza’s Saint Porphyrius Greek Orthodox Church.
Palestinian health officials say the attack on 19 October 2023 killed 18 people inside the building.
“My home has changed completely because there are no smiles, no laughter, no joy,” Mr Al-Souri says.
“I lost my flower – my daughter Julie – and my boys Suhail and Majd. They were salt of the Earth.”
Shrouded in darkness
Julia was 12 years old, Suhial 14 and Majd 11.
It is a loss that never leaves Mr Al-Souri, and one shared by almost every family in Gaza.
Walking through the cemetery, he gently places a small bouquet of flowers on his children’s grave. Gunfire crackles in the distance. The neighbourhood is full of rubble and destruction.
“This Easter is no different than the last,” Mr Al-Souri says.
“We are tending to our wounds.
“We continue to hope for an end to this war and suffering, for the darkness over Gaza to finally lift.”
Mr Netanyahu said Israel has “no choice” but to keep fighting “for our very own existence until victory.”
Israel is calling for Hamas to disarm and to release 10 Israeli hostages in exchange for a 45-day ceasefire.
There are 59 hostages still inside Gaza. It is believed 24 of them are still alive.
Hamas has rejected the proposal. It argues Israel reneged on the first ceasefire deal by refusing to move to phase two of the agreement and withdraw Israeli troops from the Gaza Strip.
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Netanyahu: ‘I will not give in’
A disaster on the ground
Since the ceasefire collapsed on 2 March, Israel’s bombing campaign has intensified.
Palestinian health officials say more than 1,700 people have been killed in the last month, and more than 90 people in the last 24 hours.
The humanitarian situation is a disaster. At the few remaining soup kitchens in Gaza, children scramble for food. They carry pots for their family and push forward trying to secure a bowl of lentils or rice.
Israel has blocked aid trucks from entering for the last seven weeks. It says it is to put pressure on Hamas.
But the pressure is being felt by civilians, creating what aid groups say is the most severe crisis Gaza has ever faced.
Israel has cut off vital supplies of food and medicine, but insists it is not using starvation as a weapon of war. It rejects any suggestion Gaza does not have enough food and accuses Hamas of stealing it.
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Gazans struggle to find bodies under rubble
‘We’re craving food’
Seven members of the Al-Asheh family are displaced and live in a tent in Deir al-Balah.
Twelve-year-old Ahmed says before the war he didn’t like lentils, now it is all he eats.
“Before the war, we used to have fruits, chicken, vegetables, everything was available. We were never hungry,” Ahmed explains.
“Now, we’re craving food, chicken – anything. The only thing we can eat now is what the soup kitchen provides.”
Image: Food is increasingly hard to come by in Gaza
It is clear that ceasefire talks are going nowhere, and Israel has tightened its blockade and deepened its war.
More than 400,000 Palestinians have recently been displaced yet again as Israel has expanded a buffer zone inside Gaza, levelling houses to create a “security zone”.
For Palestinians, this constitutes a “land grab”.
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Israeli forces encircle Rafah
‘A symbol of the world’s conscience’
Israel has also established another military corridor in southern Gaza, calling it Morag corridor.
The corridor is north of Rafah and has cut Gaza’s second-largest city off from the rest of the territory. Israel says it has now taken control of 30% of the Gaza Strip and insists it will not withdraw.
For Palestinians, the future has never looked more bleak. They are blockaded, displaced, struggling for food, water, basic sanitation and in constant search of safety.
“Gaza is calling on the world to stand by it,” Mr Al-Souri says.
“Gaza stands as a symbol of the world’s moral conscience.”