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Ukraine urges US to sanction entities supporting Russia's Starlink rival - Finance news and analysis from Global Banking & Finance Review
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Ukraine urges US to sanction entities supporting Russia's Starlink rival

Published by Global Banking & Finance Review

Posted on September 30, 2026

4 min read

· Last updated: September 30, 2026

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Ukraine Calls for US Sanctions on Backers of Russia’s Starlink Rival Rassvet

Ukraine Urges Action Against Russian Satellite Network Development

By Andrea Shalal

WASHINGTON, Sept 30 (Reuters) - Ukraine is urging the United States to impose sanctions on several Russian entities that it says are helping develop Moscow's Rassvet satellite network as a domestic alternative to SpaceX's Starlink, its acting ambassador said on Wednesday.

Ukraine's Concerns Over Rassvet Expansion

Denys Sienik, deputy chief of mission at the Ukrainian embassy in Washington, told reporters that Russia was rapidly expanding the Rassvet satellite network, saying its goal to start operations in 2027 would pose grave risks to Ukraine.

Potential Threats to Ukrainian Security

"If they launch Rassvet by the end of 2026, they will be able to target to hit Ukrainian targets real time on our territory," Sienik said, adding that he would share details with the US government and Congress about the firms and individuals that Kyiv accuses of aiding Rassvet.

Ukrainian Sanctions and Calls for US Support

Ukraine plans to issue its own national sanctions against the entities linked to the network, Sienik said, adding: "If these entities are not sanctioned, it will actually make this program possible for Russia and that will be a game-changer."

Rassvet and Starlink: Competing Satellite Networks

Russia's Plans for Rassvet

Russia plans to start operating Rassvet, a smaller version of Elon Musk's Starlink system, in 2027, Alexei Shelobkov, CEO ‌of Iks Holding, the company developing the service, said in June. The company launched its first 16 low-orbit satellites in March and plans to reach 900 over several years. 

Starlink's Presence and Restrictions in Russia

SpaceX currently has over ⁠10,000 ​satellites in orbit. Starlink is ​banned in Russia, and the use of its equipment is subject ​to fines.

Western Sanctions and Ukrainian Requests

Current Sanctions and Remaining Gaps

Western nations have targeted the infrastructure behind Russia's space-based communications efforts, but gaps remain. Kyiv has been pressing Washington to expand sanctions against a broader group of Russian companies and individuals.

Ukraine's Appeal for Expanded Starlink Access

Ukraine has been clamoring for access to expanded Starlink satellite internet coverage so it can strike Russian ballistic missile launchers located inside Russian ‌territory, a message backed by Finnish President Alexander Stubb last week.

Winter Threats and Air Defense Shortages

With winter looming, Ukraine has an acute shortage of air defenses to repel Russian ballistic missiles, and Kyiv officials believe that turning on Starlink over Russian territory would help it target the Russian launchers that fire the missiles.

US Response to Attacks on American Firms in Ukraine

Frustrations Over Lack of US Action

Sienik also expressed frustration about the lack of US response when American firms were hit in Ukraine, noting that US officials had complained loudly when Ukraine had targeted US assets in the Caspian Sea, resulting in closer cooperation and more precise targeting.

But Washington remained silent in terms of messaging to Moscow when US firms in Ukraine were struck, and officials were even reluctant to name the companies affected, he said.  

Recent Attacks on US Businesses

Sienik last week posted details of US firms being hit by Russia missiles in Ukraine, including offices of Boeing, Flex and Bunge. A Coca-Cola facility in the Kyiv region was also hit in September, along with a logistics facility serving McDonald’s, he said in his message on X.

"It is not a coincidence, Russia knows what it is doing by attacking regular businesses operating in Ukraine, supported by American investment and serving civilian needs," he wrote. 

Call for Stronger Sanctions and Air Defense

"While Russia must be deprived of the possibility to cause more deaths and destruction by strong sanctions, Ukraine must have enough air defense capabilities to protect itself but also to ensure the security of the American businesses operating and investing in Ukraine."

(Reporting by Andrea Shalal)

Key Takeaways

  • Ukraine urges US sanctions on entities supporting Russia’s Rassvet satellite constellation, a planned Starlink alternative set to begin service in 2027 and potentially aid Russian real‑time targeting (janes.com)
  • Rassvet—developed by Bureau 1440 under IKS/Holding—has launched 32 serial satellites in 2026 but faces deployment and reliability challenges; yet Ukraine deems it a significant threat (azmth.space)
  • Ukraine plans to impose its own sanctions and protests insufficient US messaging or response when American firms in Ukraine, like Boeing and Coca‑Cola, were struck by Russian missiles (apnews.com)

References

Frequently Asked Questions

What is the Rassvet satellite network?
Rassvet is a Russian satellite network being developed as a domestic alternative to SpaceX's Starlink, aiming to begin operations in 2027.
Why is Ukraine urging US sanctions on Russian entities?
Ukraine claims that Russian entities are supporting the Rassvet satellite network, which could pose grave security threats to Ukraine if operational.
How many satellites has Russia launched for Rassvet?
Russia has launched its first 16 low-orbit satellites for the Rassvet network and plans to reach 900 over several years.
What is the current status of Starlink in Russia?
Starlink is banned in Russia, and using its equipment can lead to fines.
How does Ukraine view the risk of the Rassvet network?
Ukrainian officials believe Rassvet, if launched, will enable Russia to target Ukrainian territory in real time and pose a significant security risk.

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