The 27 member states of the European Union reached an agreement Thursday morning in Brussels to impose new sanctions on Russia, after several weeks of negotiations.
The compromise was announced by diplomats on the morning of July 23. This 21st package of sanctions primarily targets Russian oil revenues: the price cap on oil exports by Moscow, set at $44 a barrel, has been extended for another year. These revenues finance a large part of Russia's war effort against Ukraine.
The final text had to be softened compared to the European Commission's initial proposal. Greece obtained a derogation on liquefied natural gas (LNG): its companies will be able to continue transporting Russian LNG to customers outside Europe, provided that the contracts in question were concluded before February 24, 2022, the date of the start of the large-scale invasion of Ukraine. This derogation will be reviewed annually by the Member States.
Beyond oil, the package introduces new bans on transactions targeting the Russian financial sector and unprecedented measures against cryptocurrencies. It also expands the list of oil tankers in the "ghost fleet"—vessels flying false flags that Russia uses to circumvent restrictions on its energy and commodity exports.
Additional trade restrictions have also been incorporated into the text, with the aim of weakening the Russian military industry.
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