Ukraine Update: China Denies Advanced Knowledge of Russia’s War

(Bloomberg) — Ukrainian President Volodymyr Zelenskiy met with the premiers of Poland, Slovenia and the Czech Republic in the embattled capital Kyiv, ahead of negotiations Wednesday with Russia, which he called “difficult” but said had room for compromise.  

Russian President Vladimir Putin said Ukraine’s leadership was not “serious” about resolving the conflict, while China’s U.S. Ambassador Qin Gang denied Beijing had prior knowledge of the invasion.

President Joe Biden will travel to Europe for NATO and European Union summits on March 24 to discuss the war. By unanimous consent, the U.S. Senate voted to condemn Putin. Zelenskiy is to deliver a virtual address to the U.S. Congress on Wednesday.

Key Developments

  • China’s Goal With Putin Is to Resist U.S. Without Economic Pain
  • EU Leaders in Dash to Kyiv as Mayor Rallies Defense of the City
  • Top Republican Lawmakers Press Biden on Ukraine Weapons List
  • Warehouse Bombed, Tractors Stolen as Russia Strikes Ukraine Food
  • Russia to ‘Default’ If Dollar Coupons Paid in Rubles, Fitch Says

All times CET:

Russian Court Websites Defaced (4:36 a.m.)

At least eight websites of arbitration courts in Russia’s Far East were defaced by hackers who used the portals to post anti-war statements calling President Vladimir Putin a terrorist, the Regnum news service reported. 

The websites now appear to have been taken offline, but the profanity-laced messages, which also appeared to have been posted to the Moscow Arbitration Court’s website, were briefly visible in search engine results for some of the pages.

Zelenskiy Calls European Leaders in Kyiv ‘Courageous’ (3:21 a.m.)

Zelenskiy praised the leaders of Poland, Slovenia and the Czech Republic as “courageous” in a video released by his office, after meeting for talks in Kyiv. “Many embassies left Ukraine because of the large-scale Russian invasion of our territory,” he said. “These respected men, leaders of their beautiful, independent European states, are not afraid of anything.” 

“They are here to support us,” he added. “This is a courageous and right friendly step.”  

Stocks Climb Amid Lower Oil (2:44 a.m.)

Stocks rose in Asia Wednesday as Chinese technology shares rebounded from a brutal selloff, though investors remain braced for volatility surrounding Russia’s war in Ukraine and a looming Federal Reserve decision.

An Asia-Pacific share gauge snapped a three-day drop and a Hong Kong index of Chinese tech firms added about 5%. The S&P 500, Nasdaq 100 and European futures were steady following a Wall Street advance on Tuesday.

Zelenskiy Encourages Visits to Kyiv (2:17 a.m.)

Zelenskiy, in a video posted on Facebook, invited “friends of Ukraine” to visit Kyiv, the nation’s capital. He said the leaders of Poland, Slovenia and the Czech Republic had traveled to the city Tuesday in a display of “significant support.”

“It is very important and brave to be near us,” he said. Zelenskiy acknowledged the continuing threat from Russian armed forces outside the city and “it could be dangerous here because our sky is still not closed for Russian missiles and airplanes.”

U.S. Senate Condemns Putin and Invasion (12:45 a.m.) 

The Senate passed a resolution by unanimous consent on Tuesday evening that condemned Putin for the invasion of Ukraine and expressed support for Ukraine. 

Although the vote was symbolic, Senate Majority Leader Chuck Schumer of New York said Putin could not escape accountability for the war, including the bombing of hospitals and the killing of civilians.

Senators from both parties who had returned from a trip to Poland and the Ukraine border called on the Biden administration to do more to arm Ukraine and sanction Russia in Senate floor speeches Tuesday evening. Republican Senators Rob Portman of Ohio and Roger Wicker of Mississippi and Richard Blumenthal, a Connecticut Democrat, all pushed for swifter action.

Poland Says Ukraine Needs NATO Peacekeepers (10:50 p.m.)

Poland sees the need for a NATO peacekeeping mission in Ukraine, Deputy Premier Jaroslaw Kaczynski said late Tuesday in Kyiv. “This mission cannot be a defenseless one,” he said. “It must strive for humanitarian and peace aid in Ukraine.” 

Kaczynski spoke at a briefing along with the Czech and Slovenian prime ministers, after they held talks with Ukrainian President Volodymyr Zelenskiy – becoming the first foreign leaders to visit the besieged capital since the war began almost three weeks ago.

China’s U.S. Envoy Slams ‘Disinformation’ on War Role (10:10 p.m.)

China’s ambassador in Washington pushed back against what he branded “disinformation” about Beijing’s role in the lead-up to the war in Ukraine.

“Assertions that China knew about, acquiesced to or tacitly supported this war are purely disinformation,” Ambassador Qin Gang wrote in the Washington Post. “Had China known about the imminent crisis, we would have tried our best to prevent it.” 

Qin said China has made “huge efforts” to push for peace talks. He described threats from U.S. officials that China would suffer consequences if it attempts to help Russia evade sanctions as “unacceptable.”

GOP Lawmakers Press Biden to Speed Arms Delivery (9:47 p.m.)

Republican lawmakers urged the Biden administration to speed up and broaden the delivery of arms and equipment to Ukraine, in a letter to the president on Tuesday.

The six lawmakers — members of defense, intelligence and foreign affairs committees — proposed a list of additional items that could be sent, ranging from grenade launchers and small drones to first-aid kits and gas masks.

Blinken Announces Another $186 Million in U.S. Aid (9:33 p.m.)

The U.S. is providing an additional $186 million in aid to help refugees and internally displaced people, Secretary of State Antony Blinken said in a statement. He called on Russia to ensure safe passage for humanitarian workers, as well as for people seeking to leave cities where they are trapped. 

About 20,000 People Evacuated From Mariupol (9:20 p.m.)

Some 20,000 civilians have been evacuated from Mariupol as thousands of private cars left the besieged southern port via a humanitarian corridor to the Ukrainian-government-held city of Zaporizhzhia, according to local officials. 

Buses heading to the city to deliver humanitarian aid and offer transport for residents seeking to leave remained stuck outside the city, where they’ve been held up since the weekend by Russian forces, and will make another attempt on Wednesday. 

Ukraine Says Talks with Russia Will Continue Wednesday (8:51 p.m.)

Ukrainian and Russian delegations will continue negotiations Wednesday amid “fundamental contradictions” in the talks, Mykhailo Podolyak, an adviser to Zelenskiy’s chief of staff, said in a tweet.

“But there is certainly room for compromise,” Podolyak said after the talks.

Second Fox News Journalist Dies in Ukraine (8:47 p.m.)

Fox News said Tuesday that a second journalist was killed in an attack in Ukraine that also killed cameraman Pierre Zakrzewski and wounded correspondent Benjamin Hall.

Freelancer Oleksandra “Sasha” Kuvshynova, who was 24, was killed along with Zakrzewski after their vehicle was struck by incoming fire Monday in Horenka, just outside of Kyiv. Hall remains hospitalized.

EU Formalizes Sanctions on Chelsea’s Abramovich, Others (6:28 p.m.)

The EU imposed sanctions on billionaire Roman Abramovich, the owner of the Chelsea Football Club, and 14 other Russian business and media figures as part of its fourth round of sanctions.

Also sanctioned were Tigran Khudaverdyan, the executive director and deputy CEO of Yandex NV, a Russian internet search engine that also operates a large ride-hailing operation; Victor Rashnikov, who owns Magnitogorsk Iron & Steel PJSC, one of Russia’s biggest steelmakers; and German Khan, a major shareholder in the Alfa Group conglomerate that includes Alfa Bank. The broader package also includes limits on trade luxury good and steel and iron products.

Biden to Attend EU, NATO Summits Next Week (6:08 p.m.)

Biden will participate in person at a meeting of EU leaders on March 24 in Brussels. The leaders will continue to discuss the situation in Ukraine as well as issues related to the bloc’s energy independence. He’ll also take part in a NATO summit. White House Press Secretary Jen Psaki, asked if Biden would travel to Poland as well, said she had nothing more to add to the schedule at this point. 

Russian Court Fines State-TV Protester (5:45 p.m. CET)

A Russian court fined a producer from Russia’s main state-television channel 30,000 rubles ($285) for holding up an anti-war sign during the prime-time national news broadcast Monday, Interfax reported.

The court found Marina Ovsyannikova guilty of violating Russia’s strict laws on public protests. Her brief appearance on TV Monday was a rare example of open opposition to the Ukraine war from the tightly controlled state media. It won offers of support from western leaders including French President Emmanuel Macron.

Slovakia Approves NATO Troop Presence (5:41 p.m.)

Slovakia’s parliament approved the presence of 2,100 NATO troops in the country. The nation bordering Ukraine will host U.S., German, Czech, Dutch, Polish and Slovenian troops, as well as a Patriot missile-defense system, Defense Minister Jaroslav Nad said.

“This is the biggest step for the defense of the Slovak Republic in our modern history,” Nad told the chamber in Bratislava. Ukraine’s Uzhhorod airfield, located just 1 kilometer (0.6 miles) from the border, may be the target of a Russian attack, he said.

Russia Formally Exiting Council of Europe (5:20 p.m.)

Russia has formally notified the Council of Europe that it is pulling out of the human-rights organization, just hours before the body was to vote to expel Moscow in the wake of its invasion of Ukraine.

Russia joined the group in 1996 as it sought to bring rights protections to European levels, but tensions have grown in recent years. The Council confirmed Russia had filed formal notification of withdrawal and its intention to denounce the European Convention on Human Rights. 

The Foreign Ministry said Russia’s constitution provides adequate protections to citizens, adding that Moscow will continue to implement past decisions of the European Court of Human Rights that don’t contradict Russia’s basic law, Tass reported. 

Putin Says Kyiv Not ‘Serious’ in Talks (5:04 p.m.)

Russian President Vladimir Putin told European Council President Charles Michel that Ukraine “is not showing a serious attitude toward finding mutually acceptable solutions” in talks with Moscow on ending the fighting, the Kremlin said.

In a brief statement on the leaders’ phone conversation Tuesday, the Kremlin said they also discussed the military operation and humanitarian-relief measures.

Pentagon Breaks Down Its Ukraine Arms Package (4:57 p.m.)

The $6.5 billion for Ukraine included in the spending bill that President Joe Biden plans to sign Tuesday includes $3.5 billion to provide weapons to the country and to replenish U.S. stocks of military equipment already sent, according to Defense Department spokesman Chris Sherwood.

The Pentagon is likely to send Ukraine anti-air and anti-armor weapons, small arms and ammunition, tactical gear, meals and medical kits, Sherwood said in an email. Other funds would go toward the deployment of U.S. troops and intelligence support for the U.S. European Command.

Russia Imposes Sanctions on Biden, Blinken (3:58 p.m.)

The Russian government imposed sanctions on top U.S. officials including President Joe Biden, Secretary of State Antony Blinken and Defense Secretary Lloyd Austin in retaliation for U.S. penalties. The measures would block entry to Russia and freeze any assets held there.

The individual sanctions would not impede high-level contacts if needed, the Russian Foreign Ministry said in a statement.

Lukashenko Subject to Renewed U.S. Sanctions (3:53 p.m.)

The Treasury Department re-designated Belarus President Alexander Lukashenko as a corrupt government official subject to sanctions, a move the U.S. previously took in 2006, and newly designated his wife, Halina Lukashenka.

Lukashenko is “the head of a corrupt government in Belarus whose patronage network benefits his inner circle and regime,” the Treasury said in a statement Tuesday, without mentioning Belarus’s support for Russia during its invasion of Ukraine. The designation serves to block access to “property and interests in property” in the U.S., according to the Treasury.

NATO Warns Russia Against Chemical Weapons Use (3:40 p.m.)

NATO chief Jens Stoltenberg warned that Russia may try to stage a “false-flag operation” involving chemical weapons after Moscow made “absurd claims” about bioweapons labs in Ukraine.

“Russia has used chemical agents before to attack and kill political opponents,” he said at a news conference in Brussels. “It’s extremely important that Russia understands that it is unacceptable if they use chemical weapons.” He added that he wouldn’t speculate on what NATO’s response would be to such an event.

Stoltenberg said that NATO defense ministers due to meet on Wednesday will discuss ways to reinforce the alliance’s eastern members, which could include basing “substantially more forces” in those countries at a higher readiness level and more prepositioned equipment. 

Ukraine Raised $185 Million in ‘War Bond’ Sale (3:12 p.m.)

Ukraine raised 5.4 billion hryvnia ($185 million) from an auction of dollar and hryvnia domestic bonds, as it continues to finance its budget and military expenditures after Russia’s invasion.

The dollar one-year notes priced to yield 3.7%, while local-currency bonds pay 11%, according to the country’s Ministry of Finance. It’s the first time the government in Kyiv has raised dollar funding alongside its hryvnia-denominated sales following two earlier auctions in its home currency that raised about $506 million. 

Last week, the government received $1.4 billion in emergency financing support from the International Monetary Fund, while the European Union provided the first part of an assistance package.

Ukraine Understands NATO Won’t Help, Zelenskiy Says (2:35 p.m.)

Russia’s invasion has ruined the security structure in Europe and globally and Ukraine must defend itself, Zelenskiy said. He added that Ukraine understands it has no Article 5 — the condition NATO members can trigger to call for the alliance to come to their aid.

Zelenskiy reiterated his call on the North Atlantic Treaty Organization to impose a no-fly zone over Ukraine to protect it from air strikes, slap a trade embargo on Russia and declare it a terrorist state.

NATO members have sanctioned Russian individuals and companies and are offering weapons and financial aid to Ukraine, but have refused to fight Russian forces on Ukrainian soil.

EU Seeks to Help Ukraine Refugees Convert Currency (2:30 p.m.)

The European Union in conjunction with the European Central Bank is seeking to find a way to help refugees convert Ukrainian currency, which has depreciated since Russia invaded Ukraine, into euros.

“We are working on this issue with the ECB and this will require certain support of eurozone countries to provide some kind of convertibility assistance so people can convert certain amount of their hryvnia into euros,” the EU’s trade chief, Valdis Dombrovskis, told reporters on Tuesday.

U.K. Adds More Than 370 Russians to Sanctions List (1:55 p.m.)

The U.K. sanctioned more than 370 Russians, including Alfa Bank founder Mikhail Fridman, LetterOne co-founder Petr Aven, and former President Dmitry Medvedev, as it ramped up measures against President Vladimir Putin’s allies following Russia’s invasion of Ukraine.

Defense Minister Sergei Shoigu, Kremlin press secretary Dmitry Peskov, and foreign ministry spokeswoman Maria Zakharova were also on the latest list of individuals sanctioned by the U.K., bringing the total to over 1,000.

EU Says 12 Million People Affected by War (1:30 a.m.)

About 12 million people have been affected by the war in Ukraine, including 2 million internally displaced people and 2.8 million who have fled to the European Union, EU home affairs commissioner Ylva Johansson said. 

More than 1.7 million people have crossed into Poland, while 600,000 refugees have entered Romania and 250,000 to the Czech Republic, she said. The majority of the 150,000 third-country nationals who have fled went to Romania and Moldova.

Germany Warns China Not to Invest in Russia (12:00 p.m.)

German Economy Minister Robert Habeck warned China against undermining western sanctions against Russia.

If Beijing should abandon its “ambivalent status” and move to invest in Russia, “then this would also have consequences for our relations with China,” Habeck said Tuesday at an auto industry event in Berlin. “All diplomatic efforts aim at keeping China in its ambivalent role.”

More stories like this are available on bloomberg.com

©2022 Bloomberg L.P.

Close Bitnami banner
Bitnami