Ukrainian drone attacks on Russian online retailer Wildberries raise concerns of collapse

The Kremlin has acknowledged it may have to prop up the Russian online retailer Wildberries, which has lost 10% of its warehousing capacity and vast amounts of stock in Ukrainian drone attacks. Kyiv has said its forces are targeting "Russia's Amazon" because of its role in supplying Moscow's army.

Kremlin spokesman Dmitry Peskov confirmed the government had discussed possible support for Wildberries. A senior industry source told Reuters that Wildberries is in a difficult situation and may need government assistance, most likely through state-controlled banks, to continue operations.

Denys Shtilerman, co-founder and chief designer of Ukraine's leading arms producer Fire Point, described Wildberries as Russia's largest borrower and said its collapse would lead to the failure of numerous banks, including VTB. Wildberries and its rival Ozon are central to the Russian government's plans to stimulate economic growth as Moscow faces mounting budget pressures from increased military spending and a broader economic slowdown.

Peskov praised Wildberries for providing assistance to third-party sellers whose goods were stored in damaged warehouses. One seller, Marina Gorshkova, told her 1.3 million Instagram followers that she was appealing to "the country's leadership" and that a million registered Wildberries users needed help.

Wildberries said it has paid out 40 million rubles (US$508,582) to families of those killed or injured in the Ukrainian drone attacks on its warehouses.

In other news, President Volodymyr Zelenskyy's office has asked Ukraine's top prosecutor to consider launching criminal proceedings against Belarusian dictator Alexander Lukashenko. An exiled opposition group, the Belarus Democratic Forum, had requested Kyiv prosecute Lukashenko for war crimes, genocide and "state terror."

Ukraine and Iran's foreign ministers spoke on Tuesday, with Kyiv saying it wants to avoid escalation after a Ukrainian attack on an Iranian vessel in the Caspian Sea. Zelenskyy said Kyiv carried out long-range strikes against vessels carrying military cargo involving Iran.

Zelenskyy said after meeting Donald Trump at the White House that they discussed licenses for producing Patriot interceptors and other ideas. Trump's envoys Steve Witkoff and Jared Kushner have agreed to visit Ukraine for the first time.

The US Senate took the first steps toward passing a sweeping Russian sanctions bill on Tuesday, which would penalize countries that continue to buy Russian oil, gas and other exports. The bipartisan 86-12 procedural vote came after a funeral for Senator Lindsey Graham.