Despite sanctions, luxury European cars continue to flow into Russia, with Estonia serving as a key transit hub. The ban on exporting high-end vehicles has proven ineffective, as parallel import schemes allow brands like Lamborghini, Porsche, and Mercedes-Benz to reach the Russian market with ease.
According to customs data aggregator Import Genius, between November 2022 and April 2024, a total of 142 cars and 6 motorcycles, worth over €18 million, entered Russia through Estonia.
An investigation reveals that the EU has failed to fully block the sale of luxury cars to Russia, allowing this trade to thrive and generate massive profits. The primary suppliers in this operation are Estonian firm Dzallair and Hong Kong-based Ningbo Industries Company Limited (NICL).
How the Scheme Works
These companies officially declare that the vehicles are destined for Minsk (Belarus) and Baku (Azerbaijan), but in reality, they end up in Moscow, where they are sold through dealerships. The main buyer in Russia is the Avtodom Group, which distributes VIP cars in major cities, including Moscow, St. Petersburg, Tyumen, and Novosibirsk.
📌 Luxury Vehicles Imported Through This Channel:
- 3 Lamborghini Urus
- 19 Porsche (Taycan, Macan, Cayman, Carrera, Cayenne, 911)
- 40 Audi (A6, A7, A8, Q5, Q7, RSQ8, RS7)
- 42 Mercedes-Benz (total value over €6.4 million)
- Mercedes-Benz SL 63 AMG 4MATIC+ convertible
- 6 Ducati motorcycles
Some of these cars were imported directly by MB Rus, the former official Mercedes-Benz distributor in Russia, now controlled by Avtodom.
Among the most expensive models in this batch:
- Mercedes-Benz S 63 E AMG – €245,000
- 7 Mercedes-Benz AMG G63 SUVs – starting at €217,000 each
- 6 Mercedes-Maybach S 580 sedans – starting at €195,000 each
Who Buys Luxury Cars Despite Sanctions?
- Lamborghini Urus (€315,000) – Purchased in April 2024 by KuPromet OCM, a company supplying metal products to Russia’s defense industry. Its clients include Oktabr, Electrokhimpribor, and PAO Saturn, which manufacture components for military equipment.
- Mercedes-Benz AMG G63 and GLS 450 D 4MATIC SUVs – Bought by Stek, a logging company working with Gazprom, Rosneft, Sibur, and Novatek.
- Mercedes-Benz SL 63 AMG 4MATIC+ convertible – Registered in February 2023 by Remenergostroy, a construction firm owned by St. Petersburg theater actor Taron Aleksanyan. In May 2023, this car was involved in a fatal accident in Moscow.
Key Players Behind the Smuggling Scheme
The primary intermediary in this operation is Dzallair, an Estonian company founded in 1993. Following the start of the war, its revenues skyrocketed 38-fold, from €114,000 in 2021 to €4.3 million in 2022.
Dzallair is owned by Diana Serikbayeva, a Tallinn resident who, until 2016, went by the surname Kostina while married to a Russian citizen from Pskov.
Another key player, Ningbo Industries Company Limited (NICL), was established in Hong Kong in August 2022. It specializes in oil trading, metals, and financial transactions, raising suspicions of money laundering and sanction evasion.
Luxury Car Smuggling Tactics
In March 2023, the EU imposed a direct ban on exporting vehicles worth over €50,000 to Russia. However, investigations show that this has not stopped illegal supply channels. Luxury cars continue to enter Russia through two primary methods:
1️⃣ Parallel imports via third countries – Estonia, Belarus, Kazakhstan, UAE, and China.
2️⃣ Smuggling through Belarus – In 2024, the Financial Times reported that VIP cars worth $100 million had entered Russia through Belarus.
Despite international efforts, the high-end car market in Russia remains resilient, driven by loopholes, intermediaries, and huge financial incentives.
