EU Provides 18th Round of Economic Penalties towards Russia, Aiming Energy, Banking, and Oil Industries
Chatty Version:
Hey there! The EU's latest round of sanctions against Russia includes a good ol' kick in the energy, banking, and oil sectors. These new restrictions were announced by the EU's prez, Ursula von der Leyen, on June 10.
Since Russia keeps refusing to accept a ceasefire – typical, right? – our pals in Ukraine's allies decided to up the ante with another package of restrictions. This comes after the 17th set of sanctions kicked in on May 20.
And guess what? Russian troops are still marching forward along the front line, invading Ukraine's Dnipropetrovsk Oblast and heading deeper into Sumy Oblast. Fun times!
Von der Leyen said it best: "Russia's goal is not peace," she stated. "Strength is the only language they understand."
Here's a quick rundown of what's in store for Russia:
- Energy Sector: The EU plans to add over 70 more shadow fleet vessels, making it difficult for Russia to evade sanctions by using them for oil exports. They're also considering a ban on transactions related to the Nord Stream 1 and 2 pipelines, lowering the oil price cap, and limiting transactions with third-party financial operators that bypass sanctions.
- Banking Sector: The EU wants to bar 22 more Russian banks from using the SWIFT international financial messaging system.
- Oil and Petroleum Products: The EU might ban the import of petroleum products made from Russian oil.
- Critical Technologies: The EU plans to ban exports worth over €2.5 billion, targeting machinery, metals, plastics, and chemicals used in industry, in addition to dual-use goods for weapons and drone production.
- Russian Direct Investment Fund: The EU aims to impose restrictions on the Russian Direct Investment Fund, its subsidiaries, and related investment projects.
- Supportive Companies: The EU will list additional companies that provide support to Russia's military and industrial complex, bringing the total number of sanctioned companies to over 800.
These measures are meant to put the squeeze on Russia, targeting their key revenue streams and limiting their international trade and finance capabilities. Discussions about these sanctions are set to happen at the G7 summit on June 15-17. Stay tuned!
Following the recent announcements by Ursula von der Leyen, the EU’s president, additional sanctions have been imposed on Russia, targeting their critical sectors such as finance, energy, and politics. The new measures seek to limit Russia's access to international financial systems, ban the import of petroleum products, and restrict transactions related to critical technologies and the Russian Direct Investment Fund, all intended to curb their key revenue streams and international trade capabilities. These decisions will be discussed further during the G7 summit on June 15-17.
