The European Union proposed a new package of sanctions on Moscow that would include a price cap for Russian oil sold to third countries.
European Commission President Ursula von der Leyen said the EU will propose a “sweeping” new import ban on Russian products, as well prohibit the sale of key technologies that could benefit Russia’s military.
“We are determined to make the Kremlin pay for this further escalation,” she said.
The announcement came after Russia announced a partial mobilization and staged widely condemned referendums on annexation in Ukrainian territory it’s occupying.
Von der Leyen said the bloc aims to ban EU nationals from holding high-paying roles in Russian state-owned companies. While no specific individuals would be targeted, the measure, if backed by member states, would likely impact former German Chancellor Gerhard Schroeder. The erstwhile German leader is the chairman of the shareholders’ committee of Nord Stream AG, a joint project to transport Russian gas via pipeline which is majority-owned by the energy giant Gazprom PJSC, according to German media.
The EU is proposing to sanction a range of individuals and entities, including senior Russian ministry officials and individuals involved in staging the recent referendums, the bloc’s top diplomat, Josep Borrell, said.
The European Commission also proposed to further squeeze exports to Russia, in particular to restrict access to aviation items, electronic components and specific chemical substances to “deprive the Kremlin’s military complex of key technologies.”
In her recent State of the Union speech in September, von der Leyen pointed to the bloc’s sanctions as part of the reason Russia’s military was under strain to take semiconductors from ordinary household appliances to fix their military hardware.
The bloc has imposed multiple rounds on sanctions on Russia, including parts of its energy sector, since Moscow’s invasion of Ukraine. Sanctions need to be approved unanimously by the EU’s 27 member states before they can be imposed.
To allow for an oil price cap, the bloc will have to change its current legislation. In June, EU nations agreed to a full ban on insurance and financial services for seaborne oil, while shipping was spared from the restrictions. Most of those prohibitions are due to kick in Dec. 5 alongside a ban on EU purchases of Russian crude.
“We are laying the legal basis for this oil price cap,” von der Leyen said.
The Group of Seven, which endorsed a cap earlier this month, has said it wants an agreement in place before that date.
The EU also said it plans to crack down on people who try to circumvent sanctions.
“We will be able to list individuals if they circumvent our sanctions,” von der Leyen said. “So for example, if they buy goods in the European Union, bring them to third countries and then to Russia -- this would be a circumvention of our sanctions, and those individuals could be listed. I think this will have a major deterring effect.”
The Biden administration released long-awaited rules designed to block electric-vehicle manufacturers from sourcing battery materials from China and other foreign adversaries, while giving automakers some flexibility to comply with the…View Article
(Bloomberg) -- A major trade deal between the European Union and South American economies received a serious setback after French President Emmanuel Macron said that the environmental concessions obtained by…View Article
Turkey’s trade deficit narrowed yet again in November, propelled by a drop in imports and a rise in exports for the fifth consecutive month.View Article
Asian nations eager for the US and China to get along were pleased that Presidents Joe Biden and Xi Jinping met face-to-face last month, but still want deeper trade relations…View Article
Industry updates and weekly newsletter direct to your inbox!