The Council of the European Union announced the 19th round of sanctions against Russia, expanding economic restrictions to energy, finance, trade and services.
The new measures also include parallel restrictions on Belarus to prevent sanctions from being circumvented.
Energy: LNG ban and suppression of the shadow fleet
Central Component of the new package is a ban on the import of Russian liquefied natural gas (LNG) into the EU:
- long-term contracts end by January 2027,
- short-term contracts within six months after the resolution enters into force.
The EU has also tightened existing bans on transactions with Rosneft and Gazprom Neft is adding the Tatarstan oil conglomerate to the list of entities subject to sanctions.
Measures now apply to third-country companies involved in the circumvention restrictions, including two Chinese refineries and one Chinese oil trader buying Russian oil.
The focus is on the so-called “shadow fleet” used to circumvent oil price restrictions. Companies such as litasco Middle East DMCC and maritime registries issuing false flags to vessels linked to Russia are now sanctioned.
A further 117 vessels were added to the port ban, bringing the total number of vessels to 557, including tankers not entering the EU, transporting Russian military goods or stolen Ukrainian grain. The EU also banned the reinsurance of shadow fleet vessels.
Financial sector: new bans and restrictions on digital currency
The EU also introduced broad financial restrictions. Currently, eight foreign banks and traders from Tajikistan, Kyrgyzstan, the United Arab Emirates and Hong Kong, as well as five Russian banks: Istina, Zemsky Bank, Absolut Bank, MTS Bank and Alfa Bank, as well as four banks in Belarus and Kazakhstan.
EU operators are prohibited from using the Russian national payment card. System (Mir) and Fast Payment System (SBP).
In addition, the EU has limited transactions with nine Russian special economic zones associated with the defense and high-tech industries.
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