This package introduces new EU import bans worth €7 billion to curb Russia's revenues, as well as export restrictions, which will further deprive the Kremlin's military and industrial complex of key components and technologies and Russia's economy of European services and expertise. The sanctions also deprive the Russian army and its suppliers from further specific goods and equipment needed to wage its war on Ukrainian territory. The package also lays the basis for the required legal framework to implement the oil price cap envisaged by the G7.
The Commission welcomes the Council's adoption of an eighth package of hard-hitting sanctions against Russia for its aggression against Ukraine. This package – which has been closely coordinated with our international partners – responds to Russia's continued escalation and illegal war against Ukraine, including by illegally annexing Ukrainian territory based on sham “referenda”, mobilising additional troops, and issuing open nuclear threats.
Specifically, this package contains the following elements:
Additional listings
Additional individuals and entities have been sanctioned. This targets those involved in Russia's occupation, illegal annexation, and sham “referenda” in the occupied territories/oblasts of Donetsk, Luhansk, Kherson, and Zaporizhzhia regions. It also includes individuals and entities working in the defence sector, such as high-ranking and military officials, as well as companies supporting the Russian armed forces. The EU also continues to target actors who spread disinformation about the war.
EU restrictive measure target key decision makers, oligarchs, senior military officials and propagandists, responsible for undermining Ukraine's territorial integrity.
Extension of restrictions to the oblasts of Kherson and Zaporizhzhia
The geographical scope of the restrictive measures in response to the recognition of the non-government controlled areas of the Donetsk and Luhansk oblasts of Ukraine and the ordering of Russian armed forces into those areas has been extended to cover all the non-government controlled areas of Ukraine in the oblasts of Donetsk, Luhansk, Zaporizhzhia and Kherson.
New export restrictions
Additional export restrictions have been introduced which aim to reduce Russia's access to military, industrial and technological items, as well as its ability to develop its defence and security sector.
This includes the banning of the export of coal including coking coal (which is used in Russian industrial plants), specific electronic components (found in Russian weapons), technical items used in the aviation sector, as well as certain chemicals.
A prohibition on exporting small arms and other goods under the anti-torture Regulation has been added.
New import restrictions
Almost €7 billion worth of additional import restrictions have been agreed.
It includes, for example, a ban on the import of Russian finished and semi-finished steel products (subject to a transition period for some semi-finished), machinery and appliances, plastics, vehicles, textiles, footwear, leather, ceramics, certain chemical products, and non-gold jewellery.
Implementing the G7 oil price cap
Today's package marks the beginning of the implementation within the EU of the G7 agreement on Russian oil exports. While the EU's ban on importing Russian seaborne crude oil fully remains, the price cap, once implemented, would allow European operators to undertake and support the transport of Russian oil to third countries, provided its price remains under a pre-set “cap”. This will help to further reduce Russia's revenues, while keeping global energy markets stable through continued supplies. It will thus also help address inflation and keep energy costs stable at a time when high costs – particularly elevated fuel prices – are a great concern to all Europeans.
This measure is being closely coordinated with G7 partners. It would take effect after 5 December 2022 for crude and 5 February 2023 for refined petroleum products, after a further decision by the Council.
Restrictions on State-owned enterprises
Today's package bans EU nationals from holding posts in the governing bodies of certain state-owned enterprises.
It also bans all transactions with the Russian Maritime Register, adding it to the list of state-owned enterprises which are subject to a transaction ban.
Financial, IT consultancy and other business services
The existing prohibitions on crypto assets have been tightened by banning all crypto-asset wallets, accounts, or custody services, irrespective of the amount of the wallet (previously up to €10,000 was allowed).
The package widens the scope of services that can no longer be provided to the government of Russia or legal persons established in Russia: these now include IT consultancy, legal advisory, architecture and engineering services. These are significant as they will potentially weaken Russia's industrial capacity because it is highly dependent on importing these services.
Deterring sanctions circumvention
The EU has introduced a new listing criterion, which will allow it to sanction persons who facilitate the infringements of the prohibition against circumvention of sanctions.
More Information
The EU's sanctions against Russia are proving effective. They are damaging Russia's ability to manufacture new weapons and repair existing ones, as well as hinder its transport of material.
The geopolitical, economic, and financial implications of Russia's continued aggression are clear, as the war has disrupted global commodities markets, especially for agrifood products and energy. The EU continues to ensure that its sanctions do not impact energy and agrifood exports from Russia to third countries.
As guardian of the EU Treaties, the European Commission monitors the enforcement of EU sanctions across the EU.
The EU stands united in its solidarity with Ukraine, and will continue to support Ukraine and its people together with its international partners, including through additional political, financial, and humanitarian support.
For More Information
European Commission website on EU sanctions against Russia and Belarus
European Commission website on Ukraine
Q&A on restrictive measures (which will be availble shortly)
Ps.
Ekonomske sankcije su komercijalne i financijske kazne koje jedna ili više zemalja primjenjuje protiv ciljane samoupravne države, skupine ili pojedinca. Ekonomske sankcije nisu nužno nametnute zbog ekonomskih okolnosti – mogu se nametnuti i za niz političkih, vojnih i društvenih pitanja.
The Council decided today to impose restrictive measures on an additional 30 individuals and 7 entities in view of Russia’s escalating military aggression against Ukraine and other actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine.
ReplyDeleteIn addition, the Council decided to broaden the listing criteria on which specific designations can be based, in order to include the possibility to target those who facilitate the circumvention of EU sanctions. The Council considers that facilitating infringements of the prohibition against circumvention of certain EU restrictive measures is likely to contribute to destabilising Ukraine or undermining its territorial integrity, sovereignty and independence.
In direct response to the latest Russian escalation of its aggression against Ukraine and the blatant violation of the UN Charter, we are sanctioning additional individuals and entities who are supporting, facilitating or benefiting from Russia’s illegal actions. This includes those who organised this sham “referenda”, high ranking officials in the Russian Ministry of Defence and prominent propaganda figures spreading disinformation. Our steadfast support to Ukraine and to the Principles of the UN Charter and international law will continue. e We again call on Russia to end its devastating and senseless aggression.
Josep Borrell, High Representative for Foreign Affairs and Security Policy
Some of the individuals designated today have played a role in the organisation of the illegal sham 'referenda' held in in parts of the Donetsk, Kherson, Luhansk, and Zaporizhzhia regions of Ukraine, and their illegal annexation. Others are representatives of the defence sector, like the largest shareholder of arms producer JSC Kalashnikov Concern, Alan Lushnikov and the former and current Deputy Ministers of Defence of the Russian Federation. Lastly the list includes individuals who are part of the Kremlin’s disinformation and information manipulation ecosystem, and who contribute to spreading disinformation about the war, such as the Russian political scientist Aleksander Dugin and singers Yulia Chicherina and Nikolay Rastorguev.
The 7 sanctioned entities include defence companies providing weapons or fighter aircraft to the Russian Armed Forces, the Central Election Commission (CEC) of the Russian Federation, which is responsible for organising elections and referenda, and JSC Goznak, a Russian state-owned joint-stock company responsible for the manufacturing of security products.
Today's decision is part of the latest package of restrictive measures imposed by the EU against Russia in view of the escalation of its military aggression against Ukraine.
Altogether, EU restrictive measures now apply to a total of 1236 individuals and 115 entities. Those designated are subject to an asset freeze and EU citizens and companies are forbidden from making funds available to them. Natural persons are additionally subject to a travel ban, which prevents them from entering or transiting through EU territories.
The relevant legal acts, including the names of the listed individuals and entities, have been published in the Official Journal of the EU.
Background
ReplyDeleteOn 21 September 2022, in spite of numerous calls by the international community on Russia to immediately stop its military aggression against Ukraine, the Russian Federation decided to further escalate its aggression against Ukraine by supporting the organisation of illegal sham “referenda” in the parts of Donetsk, Kherson, Luhansk, and Zaporizhzhia regions that are currently occupied by Russia. The Russian Federation also further escalated its aggression against Ukraine by announcing a mobilisation in the Russian Federation and by again threatening to use weapons of mass destruction.
These illegal sham “referenda” were strongly condemned on 22 September 2022 by a declaration of the High Representative of the Union for Foreign Affairs and Security Policy on behalf of the EU.
On 28 September 2022, the High Representative issued another declaration on behalf of the EU once more condemning in the strongest possible terms the illegal sham “referenda”, and confirming that the EU would never recognise them and their falsified outcome. The EU urged all UN members to do the same. The High Representative also indicated that all those involved in organising these illegal sham “referenda” as well as those responsible for other violations of international law in Ukraine would be held accountable and that additional restrictive measures against Russia would be brought forward in this regard. The High Representative recalled that the Union remains unwavering in its support for Ukraine's independence, sovereignty and territorial integrity within its internationally recognised borders, and demands that Russia immediately, completely and unconditionally withdraw all of its troops and military equipment from the entire territory of Ukraine. The High Representative further declared that the Union and its Member States will continue to support Ukraine’s efforts to this end, as long as necessary.
On 30 September 2022, the members of the European Council adopted a statement in which they firmly rejected and unequivocally condemned the illegal annexation by Russia of Ukraine's Donetsk, Luhansk, Zaporizhzhia and Kherson regions. They also states that, by wilfully undermining the rules-based international order and blatantly violating the fundamental rights of Ukraine to independence, sovereignty and territorial integrity, core principles as enshrined in the UN Charter and international law, Russia is putting global security at risk. They called on all states and international organisations to unequivocally reject that illegal annexation and recalled that Ukraine is exercising its legitimate right to defend itself against the Russian aggression to regain full control of its territory and has the right to liberate occupied territories within its internationally recognised borders.