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Ukraine war latest: Kremlin agrees with Trump over G8 'mistake' - after Kyiv comes under nine-hour attack

At least 20 people have been killed and dozens injured across Ukraine by a heavy Russian bombardment last night. Meanwhile, Volodymyr ZelenAG百家乐在线官网y is arriving at the G7 summit in Canada. Follow the latest on the Ukraine war.

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Long read: Inside a Russian supermarket and car showroom - and why sanctions aren't working

Ivor Bennett, our Moscow correspondent, reports from Russia on how businesses there are getting round the West's sanctions imposed after the invasion of Ukraine - on the day the UK and Europe announced more at the G7 summit.

Kellogg's cornflakes, Bonne Maman jam, Kent Crisps, Brewdog beer... these are the items on the supermarket shelves in front of me.

I'm in a branch of Azbuka Vkusa (or "Alphabet of Taste") in Moscow, where the aisles look remarkably like those in a Tesco, Sainsbury's or Waitrose.

Russia is the most sanctioned economy in the world, but here we are, more than three years into its supposed isolation, and the shelves are still stocked with Western goods.

So, how come?

Many of the products on sale here are what are called "parallel imports". That means they've entered Russia via third countries, without the trademark owner's permission.

Russia legalised the practice soon after its invasion of Ukraine to sidestep sanctions and to shield consumers from the impact of a mass exodus of foreign brands.

So, despite companies pulling out of Russia, their products can often still be found here.

The Coca-Cola example

Take Coca-Cola, for example. It stopped selling to Russia and ceased operations here in 2022, but there's no problem buying its drinks.

Next to each other on the supermarket shelf, I found one can from France, one from Poland, one from Iraq and even a bottle from the UK. "Please Recycle Me", the cap hopefully implores.

Like other businesses that say they have not authorised imports of their brands into Russia, there's little Coca-Cola can do about it. The company declined a request to comment.

This specifically isn't sanctions-busting, since food and drink are generally exempt from the restrictions imposed by Britain and the EU. 

It is, however, an example of how trade bans (self-imposed, in this case) can be circumvented. And the very same practice is being used on some sanctioned goods, like luxury cars.

Luxury cars: 'Germany officially does not know'

At Frank Auto, a glitzy car showroom in northwest Moscow, there's a Porsche Cayenne Coupe, a Mercedes EQE and a BMW X5. All are under two years old, i.e. younger than the sanctions regime that was designed to keep them out.

"Germany officially does not know that we import cars for clients from Russia," Irina Frank, the dealership owner, tells me unashamedly.

"It's done through multiple moves. An order is placed, for example, from Turkey, then from Turkey it goes to Armenia, and from Armenia we deliver the car to Russia."

She explains that the cars are imported to order, because of the cost involved and the uncertainty.

"Now, every transaction is checked, and there were cases when you even lost all the money, and cannot take the car out," she says.

But it's clearly still possible. In February, Irina sold a Ferrari Purosangue to a customer who paid 130 million roubles (鈧�1.43m) - 30% more than what it would have cost without sanctions, she says.

And she even claims to have sold Range Rovers from Britain.

'You're not doing anything wrong'

Sky News has reported extensively on how British and European cars are still entering Russia despite sanctions. 

But this is the first time we've spoken to some of those who have imported them.

In a car park in front of Moscow's BelarusAG百家乐在线官网 train station, we meet Ararat Mardoyan, who owns a car brokerage firm called Autodegustator. 

He says he imported dozens of British and European cars into Russia during the first two years of the war, including his own vehicle.

His black Volkswagen took six months to arrive from Germany, after being shipped via Belgium, Georgia, Armenia and Iran.

"You're not doing anything wrong", he insists, when I ask if he's helping Russia avoid sanctions.

He refers to the Eurasian Economic Union as justification - a customs union which Russia shares with Armenia, Belarus, Kazakhstan and Kyrgyzstan.

"It's like [the] European Union," he argues. "If the good hits Kazakhstan, for example, it's already not only a Kazakh product, it's already a product of customs union."

Watch below: Bennett's car investigation

'It's business - it's not possible to isolate Russia'

I suggest that such moves are not in the spirit of sanctions, and that some would question the morality of it.

"I don't think it's something from the sphere of immorality. It's business," he says. "People have to work and survive."

Ararat stopped importing European cars at the start of last year because of increased risks and decreasing profits, citing how he had to scrap an entire fleet of Range Rovers after their diagnostic systems were blocked as soon as they were switched on.

But he doesn't believe the practice will ever cease, no matter how pricey and problematic it becomes.

"People who want to drive Ferrari," he says, "they always have the money, and where there is the demand, there will always be supply."

"This is like a globalised world. I don't believe there's any chance of isolating Russia. It's not possible."

Analysis: Trump looked uneasy at G7 summit - his early exit spared him a Ukraine showdown

By James Matthews, US correspondent

With the smoke clearing on Trump's G7 departure, we're seeing consequences beyond the immediate priority in the Middle East.

Before that conflict blew up, Ukraine was slated as the big ticket item here. A set-piece show of unity to advance the Ukrainian cause, with its President Volodymyr ZelenAG百家乐在线官网y feted as a special guest, celebrated and supported.

That was before a Russian-friendly US president took an early plane out, the same president who has fragmented an alliance against Moscow's aggression.

This G7 summit was an opportunity for the world's big economies to coalesce around a unified strategy to increase pressure on Russia - without its biggest economy, unity and strategy are undermined. It's entirely in keeping with Donald Trump's input since he took power.

We do expect an announcement on new sanctions against Russia - European countries have wanted to lower the price cap on Russian oil, which would be a measure to shrink Putin's war chest.

Trump gave it a body swerve when he left the gathering, but not before he placed his cards on the table.

"Let's see them do it first," referring to European countries. "When I sanction a country, it costs the US a lot of money. You're talking about billions and billions of dollars."

It's not all he had to say on Russia. In a press Q&A upon arrival, he bemoaned the absence of Russia, Moscow having been expelled from the G8 in 2014 following its annexation of Crimea. 

It wasn't what this gathering wanted to see or hear - Trump, the guest who brought the lead balloon to the party.

It was an uneasy juxtaposition as the Canadian host Mark Carney welcomed Volodymyr ZelenAG百家乐在线官网y to the summit and spoke of the importance of using "maximum pressure"
against Russia. It's a 'maximum' minimised by Trump's absence.

Had Donald Trump stuck around, of course, it might have got ugly. 

On day one, he already looked uneasy in the company of political counterparts he has antagonised from a distance. 

His early exit spared him the spectacle of a showdown over Ukraine, even if that's something G7 members might have welcomed as an opportunity long overdue.

Maybe Trump saw it coming. Maybe it led to his going. 

Canada offers new military aid package for Ukraine

Mark Carney says his country will provide an additional 2bn Canadian dollars (拢1.08bn) in new military support to Ukraine.

Ottawa will also commit another $2.3bn (拢1.25bn) in the form of loans to Ukraine, Carney added.

Canada's prime minister welcomed Volodymyr ZelenAG百家乐在线官网y to the G7 leaders' summit in Kananaskis a short while ago.

Israel reluctant to accept Russia's mediation in war with Iran, Kremlin says

Israel is hesitant to accept Russia's mediation in its war with Iran, Kremlin spokesperson Dmitry Peskov says.

"At the moment, we see reluctance 鈥� at least on Israel's part 鈥� to resort to mediation or pursue a peaceful resolution," Russian state news agency TASS reported Peskov as saying.

Donald Trump said on Sunday that he was open to the idea of Vladimir Putin mediating between Iran and Israel.

"He is ready. He called me about it. We had a long talk about it. We talked about this more than his situation (war against Ukraine)," Trump said, according to ABC reporter Rachel Scott.

The Russian president offered condolences to Pezeshkian for the "numerous civilian casualties" and condemned Israel's actions as violations of the UN Charter. He later proposed that Russia could serve as a neutral mediator.

Israel has not commented publicly on the Kremlin's offer, but Peskov's statement implies Tel Aviv's rejection. France has also dismissed the idea, with Emmanuel Macron saying on Sunday that Moscow "cannot be a mediator."

Ukraine plans new response to Russian attacks following deadly Kyiv strikes

The various heads of Kyiv's districts have met to plan new approaches in their responses to Russian attacks.

Moscow's overnight drone and missile attack on the capital killed 19 people, with Volodymyr ZelenAG百家乐在线官网y labelling the scenes as "horrific" and "pure terrorism".

"We must realise that such situations during a war with such a vile enemy are inevitable," Tymur Tkachenko, head of Kyiv's military administration, shared on Telegram. 

"Therefore, we are obliged to implement new approaches to our response."

Tkachenko says each district of Kyiv "must be ready to act instantly" by providing assistance, allocating resources to affected districts and eliminating the consequences of bombing.

"Each district head is personally involved in the process," he adds.

"During attacks, it is important to prevent leaks and accidents. This is part of safety measures."

ZelenAG百家乐在线官网y arriving at G7 summit - watch live

Volodymyr ZelenAG百家乐在线官网y is about to arrive at the G7 leaders' summit in Kananaskis.

Canadian Prime Minister Mark Carney will welcome the Ukrainian president to the summit.

You can watch live at the top of the page.

EU proposes ban on Russian gas by end of 2027

The European Commission has proposed the EU bans all Russian gas and liquefied natural gas imports by the end of 2027, with a ban on short-term contracts starting next year. 

Imports under short-term Russian gas deals would start being banned from January 1 2026, before imports under existing long-term Russian contracts would be banned from January 1 2028.

If approved, the move would effectively end the EU's use of Russian gas within two years.

Two UK residents and secretive underwater Russian agency hit by new sanctions as Starmer 'tightens screws'

Two UK residents are among those being sanctioned by the British government for allegedly funnelling more than $120m (拢88m) of electronics to Russia.

Vladimir Pristoupa and Olech Tkacz are accused of operating a "shadowy network of shell companies" in the UK that supply Russia with high-tech electronics, which are "crucial" to Putin's war effort.

The UK has also targeted Russia's secretive military agency in charge of deep-sea research. The government says such actions will protect the UK from attacks on subsea infrastructure.

In total, four individuals, six entities and 20 ships have been sanctioned, targeting Russia鈥檚 financial, military and energy sectors.

"We know that our sanctions are hitting hard," Sir Keir Starmer said. "So while Putin shows total disregard for peace, we will not hesitate to keep tightening the screws."

Mapped: The latest situation on the battlefield

Scroll through the maps below to view different parts of the battlefield, including the situation in key regions such as Luhansk, Donetsk, Kursk and Belgorod.

Kim Jong Un meets top Putin ally and agrees to send workers to Russia

The head of Russia's security council has met North Korean leader Kim Jong Un for the second time in less than two weeks.

Sergei Shoigu previously visited Pyongyang and met Kim for talks on 21 March and 4 June this year.

The two agreed that North Korea will send 1,000 deminers and 5,000 military construction workers to Russia's Kursk region to help rebuild it after Ukraine's incursion there, Shoigu said in remarks reported by Russian state media.

Shoigu also "expressed hope" that flights between Russia and North Korea will resume for the first time in 30 years.

For context: Last year, Russia and North Korea signed a strategic partnership treaty, including a mutual defence pact.

Pyongyang has since sent thousands of soldiers to help Russia expel Ukrainian troops from its western Kursk region. 

North Korea has also been accused of sending missiles, anti-tank rockets and ammunition to Russia for use in its war against Ukraine. Both Moscow and Pyongyang have denied weapons transfers.