The BRICS TimesThe European Union has approved a sweeping new sanctions package against Russia, its 20th since the war began, while also unlocking a massive €90 billion loan for Ukraine after two holdout nations finally dropped their vetoes.
Hungary and Slovakia Step Aside After Oil Dispute Resolved
For weeks, this sanctions package sat stuck in political deadlock. Hungary and Slovakia had refused to give the green light, holding up the entire process over a dispute about Russian oil transit. Once Russian oil flows resumed, both countries backed down and cleared the way for the package to pass.
The EU had originally planned to adopt these measures back in late February, timing it to mark the third anniversary of Russia’s 2022 invasion of Ukraine. Instead, the political standoff pushed the deadline by nearly two months.
Shadow Fleet Tankers and Energy Sector Take the Biggest Hit
The heart of this new package targets Russia’s energy lifeline. The EU added 36 companies across the Russian oil supply chain to its blacklist. It also sanctioned 46 more ships, pushing the total number of banned “shadow fleet” tankers to 632.
These shadow fleet vessels are the workhorse of Russia’s sanctions-busting operation. They typically sail under obscure flags, carry little or no insurance, and move Russian crude oil above G7-imposed price caps.
The package also sets the stage for a future ban on maritime services linked to Russian oil and petroleum products. However, that ban is on hold pending talks with G7 partners. Greece and Malta raised concerns that moving ahead without G7 backing could seriously damage their economies, where shipping plays a central role.
Banks, Crypto, and Dual-Use Goods Also in the Crosshairs
The EU slapped transaction bans on 20 Russian banks and four foreign lenders accused of helping Russia dodge existing sanctions. Cybersecurity services are now completely off-limits for Russian clients.
Dozens of companies in China, the UAE, Turkey, Uzbekistan, and several other countries landed on the blacklist. Their offence? Supplying Russia with “dual-use” goods products that have both civilian and potential military uses.
Drones, War Goods, and Propaganda Networks Targeted
Brussels also named 58 Russian companies and individuals tied to drone development and military production. These entities now face full EU sanctions.
Thirteen Russian individuals and organisations face new penalties over allegations including the abduction of Ukrainian children, theft of cultural property, and running Russian state propaganda operations.
Trade Bans Expand Beyond One Billion Euros
The EU widened its export bans to cover metals, minerals, chemicals, and industrial machinery. The total trade value affected by these new export restrictions crosses the 930 million euro mark well over one billion US dollars.
EU Companies Can Now Sue Russia in European Courts
In a significant new legal move, EU companies now have the right to take legal action in European courts. They can seek compensation for assets that Russia has seized or expropriated a move that could open the door to a wave of international litigation against Moscow.
