EU Proposes Sweeping Sanctions Package Targeting Russia’s Financial Sector, Shadow Fleet Operations, Energy Exports, and Military Supply Chains
The European Commission on Tuesday proposed a sweeping 21st package of sanctions against Russia, targeting the country’s financial sector, shadow fleet operations, energy exports, and military supply chains as Brussels seeks to maintain economic pressure on Moscow more than four years after the start of its full-scale invasion of Ukraine.
European Commission President Ursula von der Leyen and EU High Representative Kaja Kallas outlined the measures, which would add dozens of banks, vessels, companies, and individuals to the bloc’s sanctions regime while introducing new restrictions on LNG shipping and cryptocurrency services.
The proposed package is designed to further weaken Russia‘s war economy, with von der Leyen stating that “brick by brick, we are collapsing the foundations of Russia’s war economy.” The Commission has proposed sanctions on 30 additional vessels linked to Russia’s shadow fleet, bringing the total number of sanctioned ships above 660. This move aims to target vessels and companies that provide bunkering, refueling, or other support services to already-sanctioned ships.
Sanctions on Russian Banks, Vessels, and Companies
The Commission is also proposing transaction bans on two Russian ports and four airports involved in supporting Russian oil exports, along with new restrictions on the sale and resale of LNG tankers to Russia. This move follows earlier EU measures restricting tanker sales used in crude oil transport.
A notable feature of the package is a proposed temporary freeze of the Russian oil price cap adjustment mechanism. According to von der Leyen, the measure is intended to prevent recent market disruptions stemming from the closure of the Strait of Hormuz from boosting Russian oil revenues.
Financial Measures and Asset Freezes
The financial measures would impose asset freezes on nearly 90 banks and expand transaction bans to more than 30 additional Russian and third-country financial institutions. The package would also tighten restrictions on cryptocurrency services and introduce transaction bans on 11 crypto platforms accused of helping Russia circumvent sanctions.
Targeting Entities Supporting Russia’s Military-Industrial Base
The Commission said it would further target entities supporting Russia’s military-industrial base, including more than 30 new listings tied to drone production and export controls affecting 50 companies located in China, Türkiye, Kyrgyzstan, Kazakhstan, the United Arab Emirates, and India. Additional export restrictions would cover nickel powders, specialty metals, and high-performance alloys used in aerospace and defense applications.
Visa Ban on Former Members of Russian Armed Forces
In addition, Brussels is proposing a broad visa ban on former members of the Russian armed forces and affiliated proxy groups.
The sanctions package must be approved by EU member states before taking effect. If adopted, it would become the bloc’s 21st round of sanctions imposed since Russia’s invasion of Ukraine in February 2022.
Original Article: EU Unveils 21st Russia Sanctions Package Targeting Shadow Fleet, Banks, LNG Tankers — Gcaptain