EU Approves 18th Round of Sanctions Against Russia
On Friday, EU member states agreed on a fresh set of sanctions against Russia in response to its ongoing conflict in Ukraine, which includes a reduction of the price cap on Russian oil exports globally.
This latest round of sanctions, marking the 18th since Russia’s invasion in 2022, received approval after Slovakia lifted its weeks-long opposition following negotiations with Brussels regarding plans to gradually eliminate Russian gas imports.
“The EU has just ratified one of its most robust sanctions packages against Russia to date,” stated Kaja Kallas, the EU’s foreign policy chief. “Every sanction diminishes Russia’s capacity to conduct warfare. The message is unequivocal: Europe remains steadfast in its support for Ukraine.”
Slovakia’s Prime Minister Robert Fico, who had previously expressed support for Russia, retracted his objections after obtaining what he described as “assurances” from the EU concerning gas pricing, as the bloc aims to halt Russian gas imports by 2027.
The newly implemented measures include an agreement among EU diplomats to reduce the price cap on Russian oil sold to non-EU countries to 15% below global market rates, decreasing it from the G7-established $60-per-barrel limit introduced in 2022. The adjusted cap will begin at $47.60 and will fluctuate according to market changes.
This price cap initiative, originally established by the G7, prohibits shipping and insurance companies from servicing Russian oil sales that exceed this threshold. Reports indicate that allies were unsuccessful in persuading U.S. President Donald Trump to endorse this new lower cap; however, support from Britain and Canada is anticipated.
Additionally, the sanctions package targets over 100 tankers within Russia’s so-called “shadow fleet” used for circumventing oil export restrictions. Further sanctions are directed at a Russian-owned refinery located in India and two Chinese banks accused of assisting Moscow in avoiding these restrictions.
The EU also plans to prohibit transactions involving more Russian financial institutions and broaden limitations on exporting “dual-use” goods that could have military applications. Steps are being taken to ensure that the inactive Nord Stream 1 and 2 gas pipelines in the Baltic Sea do not resume operations.
Formal adoption of these new sanctions by EU ministers is expected later today.
