The official statement of Power Machines PJSC for mass-media

Due to the inclusion of Power Machines PJSC on the sanctions list by the US Treasury Department on January 26, 2018 in alleged relation with the events in Ukraine, Power Machines states the following.

The US sanctions against Power Machines are illegal and contrary to the rules of the World Trade Organization, which includes the United States of America and Russia.

As to the formal side of the reasons for inclusion in the sanctions list, they are far-fetched and absolutely inconsistent with the reality. Power Machines, as a minority shareholder – a 35% stake, Siemens as a majority shareholder – a 65% stake, are part of the joint venture (JV) named Siemens Gas Turbine Technology. All the JV management have been nominated by Siemens, and all decisions, including conclusion of contracts, are made by Siemens representatives.

The major turbine components manufactured by JV according to Siemens’ technologies arrive from Germany. The turbines of this joint venture were shipped under the contract to Technopromexport, but later, as it turned out, in violation of the terms of the contract, these units were delivered to Crimea. Power Machines PJSC had nothing to do with conclusion of this contract. We also did not know anything about the route for redirecting the supplies of these turbines. In this regard, the joint venture has turned to the Russian court to sue its counterparties for improper shipment of the turbines, as was widely reported in the media.

However, the US authorities filed no claims to Siemens, and it was not included on the sanctions list. This logic does seem strange. Apparently, they believe that it’s the Russian company that should be punished even if it has nothing in common with the situation.

The statement of the US Treasury Department on the alleged public quote of the General Director of Power Machines PJSC about the support of infrastructure projects in Crimea is absolutely untrue. Power Machines representatives have never made any declarations with regard to that.

In this connection we hope that the US state departments will still take a constructive stand, sort out the situation objectively and lift the unfounded sanctions imposed on Power Machines PJSC.