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German Firms Accused of Funding Russia’s War Through Billions in Tax Payments
German companies have paid nearly $2 billion (€1.72 billion) in taxes to Russia since the start of Moscow’s full-scale invasion of Ukraine, effectively bolstering the Kremlin’s war finances, according to a new report by the Kyiv School of Economics (KSE) in cooperation with B4Ukraine and the Squeezing Putin Initiative.
The report estimates that international companies operating in Russia paid at least $20 billion (€17.2 billion) in taxes to the Russian government in 2024 alone, with German businesses ranking among the largest contributors. Between 2022 and 2024, their total payments are believed to have reached around $2 billion annually.
More than half of the roughly 250 German firms that were active in Russia before the war remain in the country today, despite mounting criticism. While many, such as cheese maker Hochland and construction materials producer Knauf, are not violating EU sanctions, campaigners argue that their continued operations indirectly fund Russia’s war effort.
“Companies support Russia’s war economy through the taxes they pay,” said Nezir Sinani, director of B4Ukraine, a coalition of civil society groups pushing to block economic support for Moscow. “By remaining in Russia, they are complicit in its war of aggression.”
KSE’s data suggests that the total tax revenue paid by foreign firms to Russia since February 2022 exceeds $60 billion (€51.8 billion) — equivalent to almost half of Russia’s 2025 defense budget.
Despite the growing backlash, many German firms say leaving Russia is not a simple decision. Hochland, which operates three plants in Russia, told Euronews that it remains committed to its 1,800 local employees and “strongly condemns” the war, but warned that withdrawal could ultimately benefit the Russian state.
Knauf, one of Russia’s largest foreign construction suppliers, has also faced criticism after reports linked its materials to reconstruction projects in occupied Mariupol. The company denied any cooperation with Russian authorities or military-linked contractors, saying it sells only to independent retailers. Knauf said it plans to leave the Russian market but that earlier negotiations with a buyer had failed.
Exiting Russia has become increasingly costly. Moscow raised taxes on foreign asset sales from 15% to 35% and increased mandatory discounts to 60%, with major sales now requiring President Vladimir Putin’s personal approval.
Sinani argues that such hurdles should not deter companies from leaving. “The number of German firms still operating in Russia is unjustifiably high,” he said. “The cost of staying is measured not in euros, but in human lives. Companies should hand over the keys and leave immediately.”
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Belgium Takes Tax Portal Offline After Cyberattack Disrupts Digital Services
Belgium’s Federal Public Service Finance has temporarily taken its online tax portal and several other digital services offline following a cyberattack, as officials work to secure government systems and assess the extent of the disruption.
The agency, known as FOD Financiën, confirmed on Wednesday that the attack had affected its digital services. MyMinfin, the country’s online tax portal, was among the platforms taken offline as a precaution while technical teams investigate the incident.
MyMinfin allows individuals and businesses to manage tax returns, access financial documents and handle other tax-related administrative tasks. The temporary suspension could therefore affect taxpayers who rely on the platform to submit documents or complete pending procedures.
FOD Financiën said it would extend certain upcoming tax filing deadlines affected by the disruption. The revised deadlines will be announced at a later date, giving taxpayers more time to complete their obligations if they are unable to access the relevant online services.
The agency has not yet provided details about the origin of the cyberattack, the systems targeted or how long the affected services are expected to remain unavailable.
Officials said there was currently no indication that personal data had been breached or compromised. However, the investigation remains ongoing, and the possibility of unauthorised access has not been definitively ruled out.
Taking the services offline is intended to give officials time to examine the affected systems and implement measures to protect them. The move also reflects the need to establish whether the attack was limited to service disruption or involved attempts to access sensitive information.
The incident highlights the challenges government agencies face in maintaining essential public services during cyberattacks. Tax portals hold sensitive financial information and are widely used by residents and businesses, making their availability important, particularly around filing deadlines.
For taxpayers, the immediate concern is the temporary loss of access to MyMinfin and other affected platforms. The planned extension of certain deadlines is expected to provide some relief to those whose submissions are delayed by the outage.
FOD Financiën has not announced the full scope of the disruption or confirmed when normal service will resume. The agency is continuing its investigation and security work, while further information about revised filing dates is expected to follow.
Until the investigation establishes the extent of the incident, the status of personal information and the full impact on government services remains uncertain.
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UN General Assembly Renews Call to End US Embargo on Cuba as Support Falls to 30-Year Low
The United Nations General Assembly has renewed its call for the United States to end its economic, trade and financial embargo on Cuba, although support for the resolution fell to its lowest level in more than three decades amid renewed tensions between Washington and Havana.
The resolution, which has been introduced almost every year since 1992, received 130 votes in favour, 17 against and 25 abstentions. The level of support was the lowest since 1995. Last year, more than 160 countries backed the measure.
Germany, Italy and Latvia abstained for the first time in 34 years, while Colombia, Costa Rica, Ecuador, Morocco, Slovenia and Bosnia were among the countries that voted against the resolution, several doing so for the first time.
Although the resolution is not legally binding, it serves as an indication of international opinion on the long-running dispute. The vote comes as the administration of US President Donald Trump intensifies pressure on Cuba through sanctions and restrictions affecting its access to oil supplies.
The US embargo dates to 1960, following Fidel Castro’s revolution and the nationalisation of US-owned property. Washington maintains that Cuba’s economic difficulties stem from its government’s policies, while Havana argues that American restrictions have caused significant damage to the country’s economy.
Speaking shortly before the vote in New York, US Ambassador to the United Nations Mike Waltz rejected the description of the measures as a blockade.
“The plight of the Cuban people is exclusively the fault of this corrupt communist regime,” Waltz said.
Cuba’s government has accused Washington of conducting a diplomatic campaign to persuade countries to withdraw their support for the resolution. Foreign Minister Bruno Rodríguez accused the United States of attempting to “determine the nation’s destiny” and “seize” its wealth.
The debate also featured a heated confrontation between Rodríguez and Waltz. Rodríguez approached the US ambassador and accused him of lying, prompting Waltz to shout for him to back away.
During the session, Waltz accused senior Cuban officials of enjoying luxury lifestyles while ordinary citizens faced shortages. He displayed photographs of Cuban leaders, including President Miguel Díaz-Canel, wearing luxury watches. Members of the Cuban delegation responded by repeatedly banging on their desks.
Díaz-Canel later criticised Washington on the social media platform X, accusing it of “gangster-like coercion”. He said the international community had again opposed the embargo despite what he described as American pressure and blackmail.
In January, Trump threatened to impose tariffs on countries supplying oil to Cuba. The move has sharply reduced fuel deliveries, contributing to widespread power cuts and disruptions to water, internet and telephone services.
Cuba continues to face severe economic hardship, with shortages of fuel and other essential goods affecting daily life. The latest UN vote highlights the continuing international debate over US policy towards the island, even as the level of support for the annual resolution declines.
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Musk Says SpaceX Restricted Ukraine’s Starlink Service Over Military Drone Use
Elon Musk has said SpaceX restricted Ukraine’s use of its Starlink satellite internet service after accusing the country’s military of breaching its terms by using the civilian network for offensive drone strikes. Ukrainian officials have reported that connectivity has stabilised, with military drones once again reaching the speeds required for operations.
Musk’s comments on Saturday followed more than a week of reported connection problems that Ukraine said had disrupted its defensive operations. The issue emerged amid growing tensions between Washington and Kyiv over Ukrainian attacks on Russian oil infrastructure.
“Using Starlink, a civilian commercial service, for offensive drone strikes to kill people has never been allowed, nor should it be,” Musk wrote on X. He said Ukrainian forces had violated the service’s terms and that SpaceX had closed the loophole the previous week.
Musk also rejected suggestions that SpaceX was responsible for problems affecting Starshield, a separate, military-grade satellite communications system controlled by the US government. He said SpaceX had done more to defend Ukraine than any other private company, while stressing that decisions concerning Starshield rested with Washington.
Ukrainian presidential adviser Serhii Beskrestnov questioned Musk’s account, saying the restrictions on Starlink in Ukraine made the claims difficult to understand. He said drones using the commercial service were limited to speeds of around 70 to 90 kilometres per hour and could not operate on Russian territory.
“Therefore, we physically cannot use commercial Starlink for deep strikes and medium-range strikes,” Beskrestnov wrote on Telegram. Ukraine’s defence ministry had not immediately commented on Musk’s latest statements.
Ukraine uses Starlink to maintain communications between military units, particularly in remote battlefield areas. Starshield provides more specialised capabilities, including support for drone operators who need real-time information about targets.
Ukraine’s Defence Minister Yevhenii Khmara said on Saturday that the military was recording a stable connection. Ukrainian President Volodymyr Zelensky also reported that drone speeds had returned to the required levels. Kyiv had previously said connectivity could fail when drones exceeded 161 kilometres per hour.
US President Donald Trump said he had asked Musk to restore the service, although he has repeatedly denied instructing SpaceX to restrict it. Musk did not explain why the company changed the service’s capabilities after years of Ukraine’s military relying on Starlink.
The disruption coincided with a diplomatic dispute over Ukrainian strikes on Russian oil refineries, which Kyiv says are important sources of revenue for Moscow’s war effort. Trump has criticised the attacks, linking them to pressure on global fuel prices. However, the conflict involving Iran has been a major driver of energy market volatility this year.
Meanwhile, fighting continued across Ukraine. Emergency services reported three people killed and 15 injured in attacks in the Dnipropetrovsk region, including an 11-year-old girl. Six others were injured when a Russian drone struck an apartment building in Vinnytsia.
Russia also reported strikes on Ukrainian logistics facilities, while Ukrainian authorities said their forces had attacked a facility operated by a sanctioned heavy machinery manufacturer in the Russian city of Oryol. Russian authorities said three people were killed there.
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