The European Union has adopted a comprehensive 20th sanctions package targeting Russia, aiming to further undermine the Russian economy and its war machine, the European Commission announced on Thursday. The package introduces 120 new individual listings and is aimed at key sectors supporting Russia’s war against Ukraine. Speaking on Thursday, the EU’s Foreign Policy Chief, Kaja Kallas, emphasized that the Union remains committed to supporting Ukraine while hindering those who enable Putin’s illegal aggression.
A major focus of the sanctions package is the Russian energy sector. For the first time, measures have been established that create the foundation for an eventual ban on maritime services for Russian crude oil and refined petroleum products. Additionally, 36 facilities across the entire value chain-from exploration to transport-have been sanctioned.
Specific attention is paid to the “shadow fleet” which Russia uses to circumvent the G7 oil price cap system. Another 46 vessels are now forbidden from port access and associated services, bringing the total number of sanctioned ships to 632. Furthermore, a due diligence requirement has been introduced for tanker sales to complicate the expansion of the shadow fleet, and maintenance work on Russian LNG carriers and icebreakers is prohibited. Crucially, beginning in January 2027, offering LNG terminal services to Russian companies will also become illegal.
In the financial sector, the EU has imposed a transaction ban on 20 Russian banks, as well as four third-country financial institutions that are facilitating sanctions evasion. In response to Russia’s increasing use of cryptocurrencies for circumvention, crypto service providers are now targeted for the first time. A Kyrgyz cryptocurrency exchange has been hit with a EU-wide transaction ban. Furthermore, a complete sectoral ban is introduced for crypto platforms located in Russia, and transactions involving the currency RUBx, along with any support for the development of the digital ruble, are also banned.
To weaken Russia’s defense industry, 58 additional companies and individuals have been sanctioned. Notably, 16 companies from third-party states-including China, the UAE, Uzbekistan, Kazakhstan, and Belarus-are now subject to stricter export limitations because they are supplying Russia with dual-use goods or weapon systems.
The EU is also leveraging its anti-circumvention mechanisms for the first time. The export of computer-controlled machinery and radio equipment to Kyrgyzstan is prohibited following a significant rise in re-exports to Russia. Concurrently, the list of banned export goods has been expanded to include laboratory glass, lubricants, chemicals, and industrial machinery valued at over €360 million. New import restrictions also affect Russian raw materials and metals valued at more than €570 million.
Under this package, five individuals and one organization have been sanctioned for the trafficking and indoctrination of Ukrainian children, while four people have been sanctioned for the appropriation of Ukrainian cultural property. Four state propagandists have also been placed on the blacklist.
Finally, the sanctions are being extended to Belarus, which supports Russia. Three new measures affect the Belarusian defense complex and the Lukashenko regime. Notably, a Chinese state-owned enterprise has been sanctioned for the first time in this context. Trade restrictions, along with bans on crypto services, cybersecurity, and tourism, have also been extended to Belarus.
