European Commission proposes 17th Russia sanctions package

EU diplomats confirmed on Tuesday that the European Commission has proposed to add more individuals and over one hundred vessels connected to Russia's Shadow Fleet to its 17th package against Moscow.

Exemption from sanctions for the Russian Oil and Gas Project

Sakhalin-2

One source said that the extension will continue until June of next year due to its importance for Japan. They said the proposal was "simple" and came sooner than expected. The proposal was not discussed informally with the member states in advance, as had been the case for past Russian measures. The countries are expected to reach a quick agreement on the proposal, with the first discussion scheduled for Wednesday. Sources said that the work of the Commission on new measures had been slow and new restrictions would not be expected until June. Sources said that the package includes tighter controls on exports of goods and technologies which can be repurposed for Russia's military, as well as a list of shadow fleet vessels. Moscow has built a large fleet that operates outside western networks in order to export oil and purchase ammunition.

Sources said that sanctions would be imposed on over 50 individuals and companies, including five Chinese entities. New measures will also target 31 companies that are involved in sanctions evasion or helping Russia's army. Of these, 13 are located outside of Russia.

One source said the goal was to demonstrate that the 27-member bloc could "still agree on anything against Russia" following repeated veto threat from Hungary's Russia friendly government.

Last week, France's Foreign Minister told AFP that the EU would coordinate timing for its next package. Washington officials have finalised new sanctions against Russia in order to increase pressure on Moscow in support of President Donald Trump's efforts in ending the war in Ukraine. It was not clear whether Trump would approve the new restrictions which included new targets like Russia's Gas behemoth Gazprom. (Reporting and editing by Sharon Singleton; Julia Payne)

(source: Reuters)