EU Adopts 12th Package of Sanctions Against Russia

The European Union Council has adopted a twelfth package deal of sanctions in opposition to Russia, the European Fee stated in an announcement on Monday, after Austria gave its closing approval over the weekend.

The package deal focuses on a Russian-origin diamond import ban in addition to imposing extra import and export bans on Russia, combating sanctions circumvention and shutting loopholes, it stated.

The ban on direct non-industrial diamond purchases from Russia will begin on Jan. 1 adopted by a phased ban on oblique imports to be accomplished by Sept. 1. The diamond ban can be finished in coordination with the Group of Seven countries (G7), which announced a similar ban. The worldwide pure diamond jewelry enterprise is value $87 billion.

Russian diamond producer Alrosa declined to touch upon the twelfth EU sanctions package deal.

In an effort to stop Russia from sustaining its navy {hardware}, the EU is introducing a “No Russia clause” that requires EU exporters to contractually prohibit re-exportation to, or to be used in, Russia of an inventory of “delicate items and know-how.”

The package deal additionally tightens compliance guidelines for these shopping for Russian oil by way of the G7 value cap mechanism. Nonetheless, EU international locations watered down an preliminary proposal to ban the sale of previous oil tankers to Russia or Russia-linked companies to a “notification” process.

The package deal features a notification system for funds transferred outdoors the EU by a Russian nationwide residing in Russia or Russian entity established within the bloc.

The package deal additionally introduces a brand new import ban on liquefied petroleum gasoline (LPG) with a one-year transition interval in addition to an inventory of metallic merchandise, together with “pig iron and spiegeleisen, copper and aluminium wires, foil, tubes and pipes for a complete worth of €2.2 billion ($2.40 billion) per 12 months.”

The package deal additionally added 140 extra people and entities as topic to asset freezes, together with actors within the Russian navy and defence business and IT sector in addition to non-public navy firms.

Whereas the European Council introduced the adoption of the package deal final week, Austria didn’t give its formal approval till its main financial institution Raiffeisen was suspended from a Ukrainian record dubbed “worldwide sponsors of struggle.”

The Ukrainian blacklist briefly eliminated the financial institution pending discussions with the European Fee. The Fee declined to touch upon the matter on Monday.

Greece equally delayed the earlier package deal of sanctions so as to have the inclusion of a few of its firms on the blacklist suspended. Two Greek transport firms are nonetheless within the suspension part on the web site.

By Geert De Clercq and Julia Payne, Modifying by Charlotte Van Campenhout, Alison Williams and Paul Simao

Study extra:

What Will Sanctions Against Russian Diamonds Mean for Jewellery?

US sanctions prohibiting some enterprise with Alrosa, the world’s greatest diamond miner, may rapidly disrupt the worldwide gem commerce, specialists say.