The USA administration has recently come into the news for imposing sanctions on Turkey following its acquisition of the S-400 missile system from Russia. The sanction, issued under Section 231 of the Countering America’s Adversaries Through Sanctions Act (CAATSA) pertains to the procurement of Russian arms. This situation is especially intriguing to India, which is also in the process of procuring the S-400 from Russia.
Background and Key Points
The United States had previously made it clear to Turkey that purchasing the S-400 system would pose a risk to USA’s security. The procurement will significantly fund Russia’s defense sector and potentially provide Russian access to the Turkish armed forces and defense industry. Despite the availability of alternative NATO-interoperable systems like USA’s Patriot missile defense system, Turkey chose to proceed with acquiring and testing the S-400. It’s worth noting though that Turkey is a North Atlantic Treaty Organization (NATO) ally of the USA, an alliance formed by several Western nations in 1949 to provide collective security against the Soviet Union.
The S-400 System
The S-400 Triumf air defense system comprises a multifunction radar, autonomous detection and targeting systems, anti-aircraft missile systems, launchers, and a command and control center. It is capable of launching three types of missiles to create a layered defense and is considered far superior to the US-developed Terminal High Altitude Area Defense system (THAAD).
Details of Sanctions on Turkey
Sanctions were imposed primarily on Turkey’s main defense procurement agency, the Presidency of Defense Industries (SSB). These sanctions include a ban on granting specific U.S. export licenses and authorizations for any goods or technology. A ban on loans or credits by U.S. financial institutions over 10 million USD in any 12-month period was also put in place.
Countering America’s Adversaries Through Sanctions Act (CAATSA)
Enacted in 2017, CAATSA is a US federal law that imposed sanctions mainly on Iran, North Korea, and Russia. The Act empowers the US President to implement a minimum of five of the 12 listed sanctions on persons involved with a significant transaction with Russian defense and intelligence sectors.
Possible Impact on India
India may feel the ripple effects since it signed a Rs. 39,000 crore deal to buy the S-400 Triumf long-range surface-to-air missile systems from Russia’s Almaz-Antey Corporation in October 2018. This could impact not only the S-400 air defense system but also the Project 1135.6 frigates, Ka226T helicopters, and joint ventures like Indo Russian Aviation Ltd, Multi-Role Transport Aircraft Ltd, and Brahmos Aerospace.
Likely Consequences for India-Russia and India-US relations
India’s relations with both Russia and the US might suffer due to certain sanctions in the CAATSA. The “Prohibition of Banking transactions” could result in difficulties for India in making payments to Russia for the S-400 system purchase. The “export sanction” has potential to greatly disrupt the India-US Strategic and Defence partnership, denying licenses for export of critical items controlled by the US government to sanctioned entities. This effectively prevents India from purchasing major defense equipment from the US, crippling any Defence and Strategic Partnership between the countries.
Way Forward
India needs to tread carefully, leveraging its favourable relation with all great powers to help establish a peaceful world order. Developing closer ties not solely with Russia but also with the United States could counter any moves towards a strategic partnership between China and Russia.