EU adopts new sanctions package against Russia, targets energy, finance, defense sectors

The European Union on Thursday adopted its 20th package of sanctions against Russia, introducing new measures targeting energy, finance, trade, defense, and anti-circumvention efforts, the European Commission announced.

The package includes 36 new listings in Russia's energy sector, covering upstream and downstream activities such as oil exploration, extraction, refining, and transport, according to a statement.

The EU also expanded measures against Russia's so-called "shadow fleet," adding 46 vessels and additional entities, bringing the total number of sanctioned ships to 632. These vessels are subject to port access bans and restrictions on services.

Two Russian ports, Murmansk and Tuapse, as well as Indonesia's Karimun Oil Terminal, were listed for links to sanctions circumvention.

New safeguards were also introduced to prevent EU tanker sales from supporting Russian oil exports.

Additionally, the EU set the groundwork for a future ban on maritime transport of Russian oil and petroleum products, which will be coordinated with the G7.

The bloc tightened restrictions on 20 more Russian banks, bringing the total number barred from EU markets to 70.

A full ban was introduced on transactions with Russian crypto asset service providers, alongside restrictions on Russia-linked digital currencies, including the proposed digital ruble.

New export bans cover goods worth over €365 million ($426 million), while import restrictions target metals, chemicals, and minerals valued at more than €530 million.

The EU also added 58 companies linked to Russia's military-industrial complex, including suppliers from countries such as China, the United Arab Emirates, and Kazakhstan.

For the first time, the EU activated its anti-circumvention mechanism, citing concerns over re-exports of sensitive goods via Kyrgyzstan. The measure targets items used in drone and missile production.

The sanctions include 120 new listings, 33 individuals and 83 entities, subject to asset freezes and travel bans.

"Russia's war economy is under growing strain, while Ukraine is getting a major boost. We must keep up this pressure until (Russian President Vladimir) Putin understands his war leads nowhere," EU foreign policy chief Kaja Kallas said.

The package was delayed due to internal disagreements, including opposition from Hungary's outgoing Prime Minister Viktor Orban. After a change in leadership in Budapest, those objections were removed, paving the way for the sanctions to be finalized.