New Russia sanctions: EU restricts oil exports and financial transactions!

New Russia sanctions: EU restricts oil exports and financial transactions!

The European Union today adopted a new package of sanctions against Russia in response to the ongoing war of aggression against Ukraine. In Brussels, representatives of the member states agreed on the 18th sanctions package after weeks of negotiations were blocked by Slovakia. The Slovakian Prime Minister Robert Fico had delayed an agreement with a veto threat, but was able to convince him with assurances that his country would not have to fear serious economic consequences if all imports of Russian gas were to be stopped.

The main goal of the new sanctions is to reduce Russia's revenue from oil exports to third countries and to damage the Russian financial sector. The measures aim to rule out a restart of the controversial Nord Stream 1 and 2 gas pipelines; Remarkably, three out of four pipelines to Germany were destroyed in the attack in September 2022. The oil price cap, which is now at $47.60 per barrel and is adjusted dynamically, is also intended to help depress Russian income. This is down from $60 previously.

Important details of the sanctions package

• Ein Importverbot für raffinierte Produkte aus russischem Rohöl.
• Verbot von Finanztransaktionen mit Unternehmen aus Drittländern, die versuchen, die Öl-bezogenen Sanktionen zu umgehen.
• Auflistung von mehr als 100 Schiffen der russischen Schattenflotte, die nicht mehr in EU-Häfen einlaufen dürfen.
• Abkopplung von 22 Banken vom Finanzkommunikationssystem Swift, wodurch ihre Transaktionsmöglichkeiten stark eingeschränkt werden.
• Einführung weiterer Ausfuhrbeschränkungen für tollerante Technologien, die im militärisch-industriellen Bereich eingesetzt werden können.

In addition, the list of sanctioned individuals, companies and organizations has been expanded by more than 50 entries, bringing the total to over 2,500 entries. The EU member states disagree about the actual effectiveness of these sanctions. Critics believe they will not have a significant impact on Russian politics, while supporters see significant economic pressure on Russia.

A striking element of the new sanctions is the ban on European companies from offering services related to the Nord Stream projects. This is intended to prevent Russia from misusing its energy infrastructure for unfair purposes. At political levels, the need to combat “sanctions fatigue” and maintain unity within Europe is also emphasized.

In this context, Tagesspiegel has announced further details on the measures Watson and [iede.news]. The formal decisions of the Council of Ministers are scheduled for today, so that the sanctions will come into force shortly afterwards.