COMMUNIST COMMERCIAL COMPANIES ABROAD: GROWING INROADS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85T00287R000600160001-0
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 21
• Document Creation Date: December 22, 2016
• Document Release Date: July 13, 2010
• Sequence Number: 1
• Publication Date: February 18, 1983
• Content Type: MEMO

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CONFIDENTIAL ]f~J 6 1~
Central Intelligence Agency
Washington. D. C.20505
DIRECTORATE OF INTELLIGENCE
MEMORANDUM FOR: Fmil P. Eriksen, Director
Office of Economic Analysis
Bureau of Intelligence and Research
Department of State
SUBJECT: Communist. Commercial Operations in
Non-Communist Countries
1. Per your request, the attached re ort discusses
Communist commercial companies abroad.
International Security Issues Division, Office of Global
This report was prepared by
Issues. It has been coordinated with the Directorate of
Operations.
3. Comments and queries are welcome and may be addressed to
the Chief, Communist Activities Branch, OGI
Attachment:
Communist Commercial Companies ~(~
Abroad: Growin Inroads, GI M83-10043, C~
February 1983
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CONFIDENTIAL ,
Central Intelligence Agency
DIRECTORATE OF. INTELLIGENCE
18 February 1983
COMMUNIST COMMERCIAL COMPANIES ABROAD:
GROWING INROADS
Summary
During the past ten years, the USSR and Eastern Europe have
actively established a large network of companies abroad. These
now total about 400 (100 Soviet and 300 East EuropeanJ. Most are
commercial ventures established in major trading partner,,
countries and are directly involved in marketing Communist
products in the West for dearly needed hard .currency. Others
contribute to hard currency earnings by providing transport,
financial, and technical services. In addition, this growing
presence in the West has provided increased access to Western
technology.
The growing Communist commercial presence in the West has
offered a number of distinct economic as we11 as political
advantages to the Bloc:
o By 1980, the Soviets had invested about half a billion
dollars in their subsidiaries abroad, and assets stood at
about $10 billion. East European investment has amounted
to~roughlu $200 million, with assets valued at about $2.5
billion. -
Issues. This analysis is based on information available as of Z8
International Security Issues Division, Office of GZoba1
February 1983. Comments and queries are welcome and may be
addressed to the Chief, Communist Activities Branch, OGI~
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o Communist companies abroad provide an opportunity for
Communist penetration of the society. For example, the
covert transfer of funds from Moscow to local Communist
businesses for transfer to national Communist parties or
front organizations represents a means of direct control
of Communist "active measures" abroad.
o The participation of Communist firms in Western markets
offers access to Western business data and practices.
additional companies are established. In our opinion, East
European countries, which currently count on these companies
handle up to 30 percent of their trade, also will rely more
heavily on these outlets.
We believe that the success of the Communist foreign
investment program in the 1970s will Lead to continued expansion
in the 1980s. The current unhealthy state o'f most Communist
economies will put a premium on the profitable performance of the
overseas companies, especially those in the industrialized
West. The share of.tota~l Soviet exports handled by these
companies -- currently about 15 percent of Soviet exports to the
countries in which they are located -- could increase- further as
Characteristics of Soviet Companies
The USSR has established more than 100 companies in the
industrialized West and about 30 in LDCs. Most are legitimate
businesses providing commercial services, but their locations
favor their use in the illegal acquisition of controlled
technology. Soviet companies in the industrialized West perform
a wide range of economic activities, with their functions falling
into four basic categories: (a) trading and marketing companies,
which also may carry out distribution and servicing of products;
(b) organizations which provide financial services, such as banks
and insurance agencies; (c) transport companies; and (d)
technical services bureaus which provide engineering, consulting,
and other services.*
*This study draws on data from Carleton University's Directory of
Soviet and East European Companies in the West, edited by R.
Bruce i~7organ and from Soviet Investment in the Industrialized
Western Economies, by Carl H. Millan, Director of the Carleton
University East-Wes t. Project. See the Appendix for a detailed
listing of Soviet companies and their functions in the
industrialized West.
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Features common to most of the ventures, include:
o Reliance on the joint stock company format, with a high
degree of Soviet ownership and control. The USSR
retains majority ownership in more than 85 percent of.
these companies; 25 are wholly Soviet-owned.
o Staffing by local employees.. Soviet citizens usually
occupy top management posts and form the nucleus of the
technical staff, but most of the workforce is locally
hired. Some Soviet-owned firms employ several hundred
host country nationals, some in senior positions.
o A concentration of investment in those West European
countries which are the USSR's major trading partners.
More than half of the Soviet companies are located in
six countries in Europe.
o A heavy concentration on a narrow range of industrial.
goods and services, where product specialization has led
some Soviet trading companies to diversify into
distribution and servicing to stay afloat.
Focus on Trading and Marketing Abroad
By 1980, 69 of the 104 Soviet companies in industrialized
countries were engaged in trading and/or marketing, most of them
accompanied by distribution and servicing activities. While some
Soviet trading .companies in the West have a history dating from
shortly after the October Revolution, most of these organizations
are a product of the t970s. At that time, Moscow's increasing
imports of costly Western technology placed heavy demands on
Soviet hard currency reserves. To restrain the trade deficit,
Moscow began looking for ways to boost its sales to the West; the
record shows that the USSR began establishing offices in major
industrial countries at an increasing rate beginning in the early
1970s. The focus was on the formation of joint ventures, a
program consistent with the policy enunciated in 1973 in the
Communist party journal "Kommunist".
Many of these new firms were commissioned to study local
market conditions, sell equipment, and service Soviet products.
Subsidiaries not only provide exclusive marketing services to
Soviet enterprises, but also:
o inform parent enterprises of competitive developments.
o undertake ambitious advertising and promotional
campaigns,
o maintain the infrastructure (warehousing, support
facilities, dealer networks, and service centers)
required to effectively market and service Soviet
equipment abroad..
3
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o modify inappropriately styled or finished Soviet
equipment or consumer durables for more demanding
Western customers.
According to the Soviet foreign trade journals, Soviet trading
and marketing companies fall under the jurisdiction of various
All-Union Trade Associations under the Ministry of Foreign
Trade. The Soviet parent supports the enterprise both by direct
capital contribution and supplier credits.
The performance of Communist companies abroad has been
hampered by traditional barriers that confront Soviet
manufactures in the West. Tariff restrictions, buyer
unfamiliarity or outright hostility, poor quality goods, and
erratic supplies from producers at home have prevented some
companies from penetrating foreign markets. Even though they
handle several billion dollars of Soviet exports a year, they
have not been successful in improving the share of industrial
products in the Soviet, export profile. Since Moseow began its.
push in 1.970 to open marketing affiliates abroad for industrial
products, exports of machinery and equipment to industrial
Western customers have quadrupled (in ruble terms) to more than
$430 million annually in 1979/80. This, however., accounts for
less than 2 percent of total Soviet exports to the industrialized
countries of the West.
Soviet Banks Abroad: Financing Soviet Trade
Soviet trading and marketing companies in Europe are
supported by a well-established infrastructure of Soviet banks
and other financial institutions, most of which are in principal
West European financial centers. The combined assets of the
banks had reached nearly $10 billion by-the end of 1980, up from
$7.5 billion in 1977.
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USSR: Banks in Europe
Year 1980 Assets
Bank Established (Million US $)
Moscow Narodny Bank, Ltd. (London) 1919 3,500
Banque Commerciale Pour L'Europe
du Nord (Eurobank) S.A. (Paris) 1921 4,200
Wozchod Handels Bank AG. (Zurich) 1966 400
Ost-West Handelsbank AG. (Frankfurt) 1971 865
Donau-Bank, AG. (Vienna) 1974 240
East-West United Bank, S.A.
(Luxembourg) 1974 350
Source: Carleton University, Directory of Soviet and East
European Companies in the West.
Soviet banks abroad serve a variety of useful purposes for
their owners by:
o providing a channel to Western and other money markets
to finance Soviet technology imports.
o facilitating investment of CEMA hard currency funds in
the West, particularly through loan syndication.
o insuring the privacy of Soviet financial operations
abroad;
o forwarding financial-data and .analyses of international
monetary developments. For example, several Soviet
banks in Europe--especially Narodny in London, Eurobank
in Paris, and Wozchod Handel in Zurich--are able to
apprise Moscow of money market. trends and conditions
prior to major Soviet financial activity, including
syndicated borrowing.
serving as training grounds for Soviet banking officials
in the area of international finance.
The Soviet banks abroad have increasingly directed their
operations to the generation of long-term funds to finance Soviet
hard currency imports through the Eurocurrency markets.- Although
the Soviet banks provide a full range of international banking
services not directly related to East-West trade, they have
developed specialities:
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o Moscow Narodny Bank has taken the lead in attracting
funds to finance East-West trade;
o the Paris-based Eurobank acts as an intermediary in
inter-bank operations, particularly in placement of
Soviet hard currency funds in Western institutions;
o Wozchod Handels Bank sells gold on the Zurich market;
o the Ost-West Handelsbank in Frankfurt finances Soviet-
West German trade, particularly the sale of Soviet
diamonds and other precious stones;
o The East-West United Bank of Luxembourg conducts
Euromarket operations and finances Soviet trade with the
Benelux countries.
Insurance is also a well-established area of Soviet
financial activity. Soviet insurance companies are wholly
Soviet-owned and underwrite Western trade transactions with
Communist countries. Their primary role is to facilitate East-
West trade, but diversification has led to other profitable
services, such as accident, fire, and life insurance.
Transport. and Other Services Companies:. Supporting Trade
Expansion '
About 30 Soviet companies in OECD countries have been
established to provide services; all but five of these are
involved in maritime/overland transport, some as agencies and
others in actual transport or closely related activities. About
half of these are fully-owned subsidiaries of So~vfrakt, the
Soviet foreign trade association which acts as general agent for
Soviet shipping lines under the Ministry of the Merchant
Marine. These companies book cargoes, coordinate liner
activities, provide agency services for Soviet shipping lines,.
and organize services for Soviet vessels in local ports.
To establish direct foreign bases for its activities,
Sovfrakt has bought into or taken over foreign agencies and in
some cases established new firms. These investments (a) insure
that local support operations are managed in accordance with
Sovfrakt's increasing foreign interests and (b) reduce hard
currency outlays for agency commissions and fees. These
\ companies arrange for goods transport into and out of the USSR
and for cargoes shipped between non-Soviet ports.
A few Soviet companies have been established to provide
services in other fields. Three companies in Western Europe are
seeking to develop a market for Soviet computers and software,
adapting Western peripherals to Soviet-made mainframes. These
companies also are well placed to report on computer developments
to their parent company.
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Soviet Resource Development in LDCs
Moscow's ventures in LDCs have reflected long-standing
Soviet policies that emphasize developing influence by expanding
economic relationships. Writing of the Soviet-LDC relationship
in 1980, Semen Skachkov, head of the Soviet aid organization
GKES, expressed satisfaction with the structure of Soviet trade
with LDCs because machinery and equipment exports are high. In
1981, the USSR delivered more than $2 billion in civilian
machinery and equipment to LDCs, five times more than similar
exports to industrialized countries. The USSR has been able to
increase its sales by extending credits and entering into
commercial development contracts -- particularly with Arab
countries. In the mid-1970s, for example, the USSR concluded
upwards of $2 billion in commercial equipment contracts with Iraq
and Libya alone.
Moscow has used the joint venture device in LDCs only in .the
field of fishing, where LDC governments have demanded equity in
return for use of their resources. In contrast with its normal
practice in industrial countries, Moscow has accepted minority
holdings (49 percent) in LDC ventures but retains o e~rational
control through contribution of most of the assets.
Of the 30 Soviet companies in the Third World formed since
the mid-1960s, more than half have been joint fishing ventures.
The USSR provides boats, equipment, expertise, and training in
return for the privilege of fishing within the partner country's
territorial waters. A 1977 fishing agreement with Angola is
representative of most Soviet .joint venture fishing agreements
with LDCs. It calls for the USSR to provide:
o A survey of Angolan fishing areas,
0 30,000 tons of fish annually,
0 10 fishing boats,
o Onshore processing facilities,
0 30 scholarships for Angolans,
0 100 ship-to-shore radios, and
0 50 Soviet specialists to advise Angola's fishing
industry--particularly in fleet maintenance, product
distribution, marketing, planning and establishment of
cooperatives.
Aside from its 17 joint venture fishing arrangements in
developing countries, the USSR also has opened:
o Trading and mar)eting companies in Cameroon, Ethiopia,
Morocco, Nigeria., and Mexico
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o Branches of Moscow Narodny Bank in ,Singapore and Lebanon
o Transport companies with Afghanistan, Iran, and
Singapore.
Most Soviet-LDC joint ventures have been capitalized at under $1~
million each. They probably provide a fair rate of return for
Moscow: about one-third of the Soviet fish catch-comes from LDC
waters, and Moscow earns at least $150 million in hard currency
annually from exports of fish to the West. Freight companies in
Iran and Singapore also have established a substantial Western
business that provides hard currency to the Soviets.
The East European Effort
East European countries have opened 295 companies in the
industrial West to promote economic relationships. More than 80
percent are concerned with marketing and distribution of East .
European agricultural, consumer, and industrial products.
Another 7 percent handle transport, while the remainder provide
financial, technical, and other services. Poland and Hungary
lead Eastern Europe in overseas investments with 89 and 64
companies, respectively (see Table). Most of the East..European
foreign investments are concentrated i.n Austria, Germany, France,
Italy, and the United Kingdom.
East European countries also have established
joint
ventures
in a number of LDCs. Romania has been most active,
with
40-odd
firms reported by the Romanian press. These firms
sell
and
service East European products, and a few have been
set
up to
process agricultural products, minerals, or metals.
Implications
The success of Moscow's campaign to expand its commercial
operations in the West during the 1970s has laid the foundation
for further and perhaps accelerated expansion in the 1980s. The
USSR's current hard currency shortage will force Moscow to
increase exports to acquire Western goods and technology,
suggesting further investments in foreign marketing and servicing
facilities. Marketing companies now in place handle at least $2
billion in annual Soviet exports, and their role is growing.
Soviet investments in financial, commercial, and production
facilities indicate Moscow's growing commitment actively to
participate in the world economy. This activity, however, has
some drawbacks for the United States:
o To the extent that these companies increase ties with
major West European trade partners, they reduce Soviet
vulnerability to US-sponsored trade initiatives, such as
embargoes of grain and advanced technology.
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o Soviet joint ventures in the LDCs have concentrated on
fisheries development and generally call for exclusive
Soviet fishing rights. Through these deals, these
markets are denied to West European and Japanese
interests and investments.
While most evidence points to the fact that Soviet
companies are engaged in bona fide dealings consonant
with standard business practices, the proliferation of
these establishments increases the opportunities for
covert technology transfers to the Communist bloc as
well as the use of "active measures" to push Communist
policies in the West.
Eastern Europe has largely followed Moscow's pattern in the
establishment of foreign companies. Nearly all of Eastern
Europe's companies are strictly commercial enterprises concerned
with promoting trade and earning hard currency. As in the case
of the Soviet firms,. however, the chances of covert technology.
transfers are enhanced by their growing presence overseas. To
the degree that these companies become linked to Western business
interests, especially in Europe, the effectiveness of a US
generated embargo or trade sanctions becomes more limited.
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USSR: Companies in Western Europe
Company Name
Australia
Belarus Tractors Pty, Ltd.
FESCO Australia Line
Opal .Maritime Agencies Pty, Ltd.
TECHMA Pty, Ltd.
Year
Established
1976
1975
Marketing and distribution of agriculture
equipment.
Maritime container shipping.
Services Soviet ships, provides Australian
management for FESCO and other Soviet
shipping.
Marketing Soviet machinery.
Austria
Asotra GmbH
Donau-Bank AG
Garant Versicherungs AG
Interprom GmbH
Ube rseeshiffartsagentur.Transnautic
.(Austria)
1976
1974
1958
1978
Expedites cargoes and .arranges for Soviet
imports and exports through Austria.
Commercial banking, specializes in short and
medium term credits to Western firms.
Financial services, insurance, and credit.
Marketing of fuels, ores, fertilizers, and
chemical products.
Agency for Soviet passenger and cargo ships.
Belgium
Commerciale Belgo-Sovietique
(Belso) S.A.
Imports and exports Soviet industrial and
consumer goods. Exports Belgium consumer
goods to the USSR. Represents Soviet firms
,in Belgium and represents Western firms
in the USSR.
East-West Agencies Technical and
Optical Equipment (Belgium) S.A.
Marketing of Soviet-made precision products.
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USSR: Companies in Western Europe
Company Name
Year
Established
Activities
Belgium (Cont'd)
Elorg-Belgique S.A.
1974
Marketing and servicing of Soviet computers
and other electronic equipment. Provides
technical services to Belgian firms.
Ferchimex N.V.
Nafta-B N.V.
1972
1967
Marketing and distribution of chemicals and
industrial minerals.
Marketing and distribution of fuels and grain.
Russalmaz N.V.
1973
Marketing of fine and industrial diamonds.
Scaldia-Volga
1964
Marketing, product modification and assembly
Sobelmarine
1976
of Soviet automobiles and four-wheel drive
vehicles.
Transport services, shipbrokers, and
S ankoimport Belgique (Stanbel)
S.A.
1976.
chartering.
Marketing and servicing of heavy machines from
orts machine tools to USSR
USSR and ex
Transworld Marine Agency Co., N.V. 1969
.
p
Transport services, freight forwarding, mari-
time insurance and finance, customs,
shipping services and travel arrangements.
Belarus Equipment Ltd.
Emec Trading Ltd.
Piorflot Freightliners Ltd.
Marketing, distribution, servicing and product
modification of farm machinery, construction
machinery, motorcycles, tractor tires, and
spare parts.
Marketing and servicing of Soviet-made tur-
bines,~ships, generators, electrical
.equipment, and industrial licenses.
General agent for Soviet shipping to the [lest
Coast.
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USSR: Companies in Western Europe
Year
Company Name Established Activities
Canada (Cont'd)
Socan Aircraft Ltd. 1975 Marketing, servicing, and product modification
of Soviet YAK-40 passenger jet aircraft.
Stan-Canada Machinery Ltd. 1972 Marketing and servicing of machine tools and
industrial machinery.
Denmark
Umo Belarus Danmark 1977 Marketing, servicing, modification of tractors
and farm equipment.
Elorg-Data OY A.B. 1974 Technical services, electronic data processing
using Soviet and US computers. Marketing
and servicing Soviet-made computers.
Koneisto OY, A.B. 1964 Marketing, distribution, and servicing of
Soviet equipment and machinery.
Konela OY 1947 Marketing, servicing, and product modification
` of buses, automobiles, tractors, trucks, and
motorcycles.
Konela-Belarus 1974 Marketing, servicing, and modification of
Soviet tractors .
Saimmaa OY Lines Ltd. 1968 Transport services and travel agency.
Services several major ports and operates
container route from Western Europe through
' .the USSR to Iran .
Suoment Petrooli (Finska 1932 Marketing anal distribution of oil products and
Petroleum) OY lubricants.
Teboil OY A. B. 1934 Marketing and distribution of oil and oil
products.
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USSR: Companies in Western Europe
Company Name
Finland (Cont'd)
Provag OY A.B.
Actif-Auto S.A.
Banque Commerciale Pour L'Europe
du Nord (Eurobank) S.A.
Groupement D'Interest Economique
pour le Development des Echanges
Commerciaus Entre L'URSS et la
France (Gisofra)
Rusbois S.A.
Slava Boutique
(Ste D'Exploitations) S.A.
Societe D'Agences Maritime Fratnco-
Sovietiques (Sagmar) S.A.
Year
Established
1925
Transport services and shipchandler.
Marketing, manufacturing, and servicing of
agricultural, forestry, roadbuilding
machinery, and equipment, tools, spare
parts, and components. Technical services
in research and construction.
Financial services, French exports to CEMA
states, .worldwide commodities sales,
participates in loan syndications and Euro-
currency markets.
Marketing of fish and fish products; provides
service facilities for Soviet trawlers in
the Atlantic Ocean off the African Coast.
Technical services, consultation, .and promo-
tiogal services; assists Soviet equipment
producers to increase sales.
1961
1976
1974
Marketing of forestry machinery, wood and wood
products; processing of timber and wood
proudcts, resource development.
Marketing of watches, clocks, optical
instruments.
riarke'ting and assembly of watches, clocks,
jewelry, and gift items.
Agency for Soviet shipping lines.
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USSR: Companies in Western Europe
Company Name
France (Cont'd)
Societe pour la Promotion Europeene
du Leasing (Promolease) S.A.
Sogo et Cie S.A:
Sovhart France S.A.
Stanko France S.A.
Year
Established Activities
1969
NA
1971
Financial services: arranges leases for Soviet
and Eastern Europe manufactured equipment in
the West and Western equipment in Eastern.
Europe, the Soviet Union and other centrally
planned economies.
Exports and imports all kind of chemicals.
Transport services and ship chartering.
Marketing and servicing of Soviet machine
tools and heavy equipment.
West Germany
Kommanditgesellschaft Deutsch-
Sowjetische Teppichhandle
GmbH & Co .
Neotype Techmashexport GmbH
OST-West Handelsbank AG
Russalmaz Diamanten Import-
Export AG
Russische Holz (Russholz) GmbH
Schwarzmeer and Ostsee Transport-
versicherungs (Sovag) AG
Sobren Chemie Handel GmbH
Transglobe Container Services GmbH
1973
1971
1974
1974
1927
Marketing of Soviet carpets.
Marketing product modification of printing
machinery and. equipment.
Financial services: .full range of banking
services; financing of East-West trade.
Imports wines, vodka, champagne, and brandies
from USSR; exports European bottled wines
and foodstuffs to USSR.
Marketing of cut diamonds, precious metals,
and. jewelry.
Marketing of timber and other wood products.
Financial services and insurance.
Imports chemical and petrochemical products
from the USSR. Exports goods for chemical
and other industries to the USSR.
Transport container leasing.
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USSR: Companies in [destern Europe
Company Name
West German (Cont'd)
Uberseeschiffahrtsagentur Trans-
nautic GmbH and Co. K.G.
Westsotra Spedition and
Transport GmbH
Energomashine Ltd.
Transmed Shipping S.A.
Italy
Carbonafta S.P.A.
Dolphin Agenzia Maritima
Enital S.O.A. Import-Export
Ruslegno S.P.A.
Sovitalmare di Navigazione S.P.A.
Sovitpesca S.P.A.
Stanitaliana S.P.A.
Technicon S.P.A.
Year
Established
1975
NA
NA
1977
1977
1974
1976
1976
1971
1977
Transport services for Soviet passenger and
cargo ships.
Arranges packing, export and import shipments
and arranges for transit of goods through
the USSR to third countries in Asia and
Middle East.
Marketing of Soviet trolley buses.
Shipping agency.
Marketing of oil and oil products.
Shipping agency.
Marketing of Soviet machinery and equipment.
Marketing of Soviet wood products including
timber and -pulp.
Charters vessels to ship .goods between Italy
and the Soviet Union.
Marketing and distribution of .Soviet seafood
products.
Marketing and servicing of Soviet machinery.
Designs and-constructs tin and steel mills in
_third markets.
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USSR: Companies in Western Europe
Year
Company Name Established Activities
Japan
United Orient Shipping and Agency 1969 Shipping and brokerage agency.
Company Ltd. (Uniorient)
Luxembourg
1974 Provides full range of banking services.
East-West Agencies Technical and 1969 Marketing of Soviet-produced photographic,
Optical Equipment N.V. optical, and related equipment.
Elorg B.V. 1972 Marketing and servicing of Soviet computers
and computer components.
Norway
Belarus-Norge
Koneisto Norge A/S
Konela Norge Bil A/S
Spain
NA Marketing and servicing of tractors.
1967 Marketing and servicing of Soviet electrical
engineering equipment.
Pre-1970 Marketing and servicing of Soviet automobiles.
Intramar S.A. 1976 Services Soviet shipping vessels in Spain.
Pesquerias Espanolas Sovieticas 1975 Develops new technology and equipment for
Conjuntas (Pesconsa) S.A. fishing vessels and fish processing plants.
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' V V lV l' l lJ li LY 11AL
USSR: Companies in Western Europe
Company Name
Spain (Cont'd)
Year
Established Activities
Sovhispan S.A. 1971 Marketing of Soviet fish products in Spain;
services Soviet and Spanish fishing vessels
operating in the North Atlantic and exports
ships and ship equipment to the USSR.
Alco 1976 Marketing of a range of Soviet goods.
Friedtrans A.B. NA International carriage.
Matreco Handels A.B. 1963 Parketing and servicing of Soviet VAZ auto-
mobiles, farm equipment, and industrial
machinery.
Scansov Transport A.B. 1976 General agent for Soviet shipping interests
in Sweden.
Switzerland
Wozchod Handelsbank AG 1966 All banking functions with the exception of
saving, stock, and bond business; services
trade of all CEMA countries.
United Kingdom
i
Anglo-Soviet Shipping Co., Ltd. 1924 Advises US firms on trading possibilities. in
.the USSR. '
Black Sea and Baltic General ~ 1925 Insurance, risks related to Soviet-kTestern
Insurance Co., Ltd. trade.
Black Sea .and Baltic NA General insurance.
(UK Provincial) Ltd. '
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Company Name
United Kingdom '(Cont'd)
East West Leasing Co.
Global Watches
Moscow Narodny Bank Ltd.
Nafta (G. B.) Ltd.
Razno and Co., Ltd.
Russian [flood Agency, Ltd.
Sovfracht (London)
Technical and Optical Equipment
(London) Ltd.
l.U LVr 1 UGLV 1 lAL
USSR: Companies in Western Europe
Year
Established Activities '
United States
Amtorg Trading Corp.
Belarus Machinery `Inc.
Moflot America Shipping (Moram) Inc.
1963
1919
1969
1923
1974
1968
1924
1977
1976
Handles leasing of CEMA equipment in the
United Kingdom, leases of UK equipment to
CEMA and promotes leasing agreements between
the USSR and Eastern Europe.
Marketing of watches.
Full range of .banking services; promotes and
finances East-West trade.
Imports crude oil and oil products from USSR;
and exports lubricants and other goods to
the USSR.
Imports consumer goods from the USSR, and
exports consumer goods to the USSR.
Marketing of Soviet timber, pulp and paper,
and other wood products.
Shipbrokers and charter agency.
Imports camera, optical instruments, micro-
scopes, and radios from the USSR; purchases
UK goods.
Imports road construction and earth moving
equipment from the USSR; exports marine
equipment and component parts to the.USSR.
Advises US firms on trading possibilities in
the USSR.
Marketing and servicing of Soviet farm
machinery.
Represents Soviet shipping liner services in
the United States.
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I:UlVr1llLLV11AL
USSR: Companies in Western Europe
Company Name
United States (Cont'd)
Sovfracht (USA) Ltd.
US-USSR Marine Resources
Company, Incorporated.
Year
Established Activities
NA Charters U.S flag tonnage and tonnage of the
third flag for transportation of grain from
the USA to the USSR.
1976 Marketing offish caught in the North Pacific,
provisions, marine electronic equipment
and repairs Soviet fishing vessels in
the USA.
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CONFIDENTIAL
SUBJECT: Communist Commercial Operations in Non-Communist
Countries
OGI/IS/CA: (18 Feb 1983)
Distribution: (Attachment with each copy)
Original - Addressee
1 - D/OGI, DD/s
1 - Ch/ISID
1 - Ch/IS/CA
8 - OGI/PS (w/sourced copy)
C'nNF T T1FNT T A T.
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