EU proposes 20th sanctions package against Russia, targeting energy, banks, trade

The European Commission on Febnruary 6 proposed its 20th package of sanctions against Russia since the start of Moscow’s full-scale invasion of Ukraine, significantly expanding measures against the energy, financial and trade sectors, Commission President Ursula von der Leyen announced.

In a statement, von der Leyen said the new sanctions aim to further weaken Russia’s ability to finance its war, calling economic pressure “the only language Russia understands," Caliber.Az reports. 

A central element of the package is a full ban on maritime services for Russian crude oil. The measure, which would be coordinated with G7 partners, is intended to further reduce Russia’s energy revenues and limit its access to global shipping markets.

The Commission also proposed adding 43 vessels to the EU’s sanctions list for involvement in Russia’s so-called “shadow fleet,” bringing the total number of listed ships to 640.

Additional restrictions would make it harder for Russia to acquire tankers and would impose broad bans on maintenance and other services for liquefied natural gas (LNG) tankers and icebreakers, further constraining Russia’s gas export projects. These steps build on LNG import bans adopted under the EU’s 19th sanctions package and the RePowerEU framework.

A second set of measures targets Russia’s financial system. The Commission proposed sanctions against 20 additional Russian regional banks and announced new steps to restrict the use of cryptocurrencies for sanctions evasion, including measures against crypto-related companies and trading platforms. The package also targets banks in third countries accused of facilitating illegal trade in sanctioned goods.

The third block of sanctions tightens trade restrictions. New export bans would cover goods and services ranging from rubber and tractors to cybersecurity services, with an estimated value of more than €360 million.

The Commission also proposed new import bans on metals, chemicals and critical minerals not previously sanctioned, worth over €570 million, as well as further restrictions on items and technologies used for Russia’s military, including materials for explosive production. A quota on ammonia imports would cap existing EU purchases.

To combat sanctions evasion, the Commission said it would activate the EU’s Anti-Circumvention Tool for the first time, banning exports of computer numerical control machines and radios to jurisdictions deemed at high risk of re-exporting these items to Russia.

In addition, the proposal includes stronger legal safeguards for EU companies to protect them from intellectual property violations or expropriation in Russia resulting from what the Commission described as abusive court rulings linked to sanctions.

Von der Leyen urged EU member states to swiftly approve the package, saying it would send a strong signal ahead of the fourth anniversary of the war in Ukraine.

She also highlighted ongoing EU support for Kyiv, including the delivery of hundreds of generators to Ukraine and the recent adoption by the Council of a €90 billion loan to help the country sustain its defence and economy.

Von der Leyen said the EU, alongside the United States and other partners, is advancing a peace plan with security guarantees for Ukraine and working on a joint framework for the country’s post-war recovery and long-term growth.

"Across all these efforts runs one clear thread, one shared objective, one firm conviction: that Ukraine's security, prosperity, and free future lie at the heart of our Union," she finalised. 

By Sabina Mammadli