On Monday 16 December, the Council of the EU formally adopted a 15th package of sanctions targeting Russia and individuals or entities from third countries that support it in its military aggression against Ukraine.
The package includes the so-called Russian “shadow fleet” and “sanctions on North-Korean officials, as well as on the Chinese companies who are enabling this war”, said the High Representative of the Union for Foreign Affairs, Kaja Kallas, on her arrival at the ‘Foreign Affairs’ Council on Monday morning (see other news). In her view, the message is clear: “Whoever enables this war to continue has a price to pay.”
Following the inclusion of 27 vessels in June (see EUROPE 13438/3), the EU Council is adding 52 new vessels to the list of those banned from entering ports and providing a wide range of maritime transport services. This measure is designed to prevent the Kremlin from circumventing the cap imposed by the G7 countries on the price of Russian oil, and sanctions ships carrying military equipment for Russia or transporting stolen Ukrainian grain.
Asset freeze and EU travel ban. The 15th package of European sanctions includes 54 persons and 30 entities on the EU list of persons and entities subject to an asset freeze and, in the case of natural persons, a ban on entering the EU, because of their support for actions undermining the territorial integrity and sovereignty of Ukraine.
This mainly concerns Russian military companies that manufacture parts for aircraft, drones, electronic equipment and engines, as well as high-tech components for military equipment.
More senior executives of Russian companies active in the energy sector have been sanctioned as well.
The EU is also sanctioning the military unit responsible for the attack on the Okhmadyt children’s hospital in Kyiv, as well as those responsible for the deportation of Ukrainian children to Russia.
For the first time, the EU27 have adopted sanctions against seven Chinese individuals and entities: - one person and two entities facilitating the circumvention of EU sanctions; - four entities that supply sensitive UAV and microelectronic components to the Russian military industry.
It should be noted that, due to the deployment of North Korean troops in Russia, the North Korean Defence Minister and Deputy Chief of Staff are also on the list adopted on Monday.
To see the additions to the EU list: https://aeur.eu/f/eti
Import/Export. The EU Council also added 32 new companies to the list of those directly supporting the Russian military and industrial complex. These entities will be subject to stricter export restrictions on dual-use goods and technologies, as well as goods and technologies likely to contribute to the technological reinforcement of the Russian defence and security sector.
Some of these entities are located in third countries (China, India, Iran, Serbia and the United Arab Emirates) and have been involved in circumventing trade restrictions or participating in the acquisition of sensitive items used for Russian military operations, such as drones and missiles.
To see the economic sanctions: https://aeur.eu/f/etl
Legal protection. In order to protect European companies, the sanctions package includes a ban on recognising or enforcing in the EU certain decisions handed down by Russian courts which give them exclusive jurisdiction in disputes between Russian and European companies, regardless of the prior agreement of the parties.
EU companies will thus be protected against the recognition of damages awarded illegally against them in Russia.
Furthermore, in response to the increase in litigation and retaliatory measures in Russia leading to the seizure of the assets of EU central securities depositories, the EU Council has introduced a derogation allowing these financial infrastructures to request the competent authorities of the Member States to unfreeze cash balances and use them to fulfil their legal obligations towards their customers. In addition, central securities depositories established in the EU will not be required to pay interest or any other form of compensation to the Central Bank of Russia beyond the interest contractually due.
To see the specific regulation: https://aeur.eu/f/etp
Derogations. Finally, certain derogations from existing sanctions, granted on a case-by-case basis by the Member States, have been extended until the end of 2025, to give companies more time before withdrawing from Russia.
Imports from Russia are also concerned: - of vacuum gas oil by Croatia until the end of 2025; - of petroleum products, obtained from crude oil delivered by pipeline in another EU country, by the Czech Republic until June 2025.
During the negotiations, certain Baltic countries opposed - unsuccessfully - the extension of these derogations. (Original version in French by Mathieu Bion)