EU adopts 14th package of sanctions against Russia
On June 24, 2024, the European Union (EU) adopted a further package of sanctions against Russia, targeting the Country’s gas sector for the first time and imposing an array of new measures.
The so-called 14th package of measures targeting Russia is set out in the Regulation (EU) 2024/1745 and includes, among others, the following elements:
Energy
- Russian LNG transshipment through EU ports is prohibited following a 9-month transition period
- Russian LNG cannot be imported into terminals that are not connected to EU gas pipelines
- prohibition on future investments and exports to LNG projects under construction, such as Arctic LNG 2 and Murmansk LNG
- List of vessels supporting the Russian warfare and the energy sector and that have been banned from port entry and service provision.
Anti-circumvention measures
- EU parent companies must prevent their subsidiaries in third countries from engaging in sanctions-violating transactions;
- EU companies must conduct due diligence to prevent common high priority (CHP) goods from entering Russia and ensure that their foreign subsidiaries trading in CHP goods follow suit;
- EU companies may not be protected from liability if they did not comply with due diligence responsibilities, even if they had no reasonable suspicion of violating EU sanctions (see Decision (CFSP) 2024/1744);
- Individuals can face prosecution for both willfully circumventing EU sanctions and participation in such transactions; this also applies if the individual suspects or tolerates that sanctions are being circumvented.
Additional listings
- There are 116 further listings of 69 individuals and 47 entities with asset freezes and travel bans. The listings cover a wide range of Russian government sectors, including military companies, space engineering firms, chemical and explosive companies, and significant Russian energy companies.
Financial sector
- EU banks outside Russia are prohibited from using the Financial Messaging System of the Central Bank of Russia (SPFS), the Russian equivalent of SWIFT, to connect and carry out transactions;
- Transactions with third-country banks using SPFS are prohibited;
- Prohibition of transactions with Russian and third-party banks and crypto assets providers facilitating transactions supporting Russia’s defense-industrial base.
Trade
- Extension of the export restrictions on dual use/advanced technology items;
- Reinforced export bans on for vital sectors for Russia’s military economy, including chemicals, plastics, vehicles parts and machinery;
- Import ban on helium;
- Extension of the Common High Priority (CHP) list;
- Finetuning of the import ban on Russian diamonds.
Transport
- Prohibition of port access and services for listed vessels;
- Current EU road transport undertakings owned 25% or more by Russian individuals are prohibited from transporting goods into the EU; companies owned 25% or more by Russian individuals are also barred from becoming EU road transport undertakings
Useful links:
Q&A 14th package of restrictive measures against Russia (europa.eu)
