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Europe Daily Bulletin No. 11127
Contents Publication in full By article 23 / 30
EXTERNAL ACTION / (ae) ukraine

EU prepares its new sanctions against Russia

Brussels, 23/07/2014 (Agence Europe) - As the European Commission and European External Action Service (EEAS) are due to present the EU ambassadors with proposals on new sanctions against Russia (see EUROPE 11126), France intends to respect its contract of the delivery of its Mistral warships to Russia, and the UK continues to send arms to Russia.

According to France's Foreign Affairs Minister Laurent Fabius, the EU Foreign Affairs Council on 22 July “decided to publish sanctions on 24 July in four new domains: finance, the defence domain in the broad sense for the new contracts, dual-use goods, and new technologies”. He stated that the EU heads of state and government will have to decide on this list. A Commission spokesperson said that the Commission should have “the member states' approaches in order to make legislative proposals”.

On Wednesday 23 July, European Commissioner for Energy Günther Oettinger also stated that the EU could stop its technical aid to Russia for developing gas fields and oil in the Arctic. “If they don't try for peace in the east of Ukraine (…) if they don't decisively try to do something to prevent escalation, then there is no reason for us to help promote the growth of the industry and develop new resources for gas and oil, and therefore [there is no reason for us not to] put this equipment on the list of sanctions”, he said during a press conference.

France to deliver its Mistrals and London continues its exports. There is no question of France going back on the sale of two Mistral warships to Russia. Fabius again stated that the contract for the two Mistrals was signed in 2011 and that, under international rules, contracts (which have been signed and moreover paid) should be “honoured”. He reiterated that France's President François Hollande had already explained that the contract for the first ship - due to be delivered in October - would be honoured, and that delivery of the second ship will depend on the Russians' attitude.

Attacked inter alia by the British on these deliveries, Fabius replied: “Let's talk about finance. There are a fair number of Russian oligarchs in London”. Lithuania's President Dalia Grybauskaité also criticised the sale of the warships, stating that it was time “to stop the 'mistralisation' of the European policy”. “Europe must have the courage to show a united face to terrorism”, she added. Numerous MEPs have called on Paris on many occasions not to deliver these ships.

British MPs have also revealed that the UK is still exporting arms to Russia - including bullet-proof vests, components for assault and snipers' rifles and for light weapons ammunition, military communication equipment and software for cryptography equipment. According to one of their reports, 251 licences (representing around €167 million) are still reportedly valid, although the UK government promised in March to stop sales to Russia (see EUROPE 11041). Only 31 licences are believed tohave been revoked.

Upon arriving at the Council on 22 July, several foreign affairs ministers - including those from Lithuania, Latvia and Sweden - called for an embargo on arms and military equipment. “It is difficult to explain [to the people] that ships are being sold - not only ships but also other types of technology to a country that provides equipment to terrorists and separatists. This must stop”, said the Latvian minister, Edgars Rinkevics. In the view of the Lithuanian minister, Linas Linkevicius, the arms embargo is something that has not yet been imposed but “this is really something to be done”. “It is not logical not to impose [an arms embargo] against a country held responsible for aggression”, he concluded. (CG with EH)

Contents

SECTORAL POLICIES
ECONOMY - FINANCE - BUSINESS
EXTERNAL ACTION