The European Union has approved a new set of sanctions against Russia, focusing for the first time on its lucrative liquefied natural gas (LNG) sector.
The 14th sanctions package since Russia's full-scale invasion of Ukraine aims to reduce Russia's energy revenue, according to European Commission President Ursula von der Leyen.
The measures, announced on Thursday via a post on X, include a ban on the re-export of Russian LNG to third countries through European waters, though EU countries can still purchase Russian LNG.
Experts believe the ban will have minimal impact, as Europe continues to buy Russian gas, and trans-shipments to Asia through EU ports account for only about 10% of Russia's total LNG exports. European ports, particularly Zeebrugge in Belgium and Montoir in France, are crucial for transporting LNG from Arctic ports to Asian markets during winter.
The sanctions also aim to hinder Russia's use of a "shadow fleet" to circumvent EU sanctions on Russian crude oil. Additionally, the EU is targeting Russia's SPFS bank messaging system, which Russia uses to mitigate the effects of being cut off from the global SWIFT financial transfer system.
Belgium, which currently holds the rotating EU presidency, described the sanctions as "powerful and substantial" and stated that they close existing loopholes. However, the final measures were less stringent than initially proposed, due to prolonged negotiations and pressure from Germany.
One diluted proposal would have required EU firms to prevent the re-export of sanctioned products to Russia via third countries, such as former Soviet states, Turkey, and the UAE. Germany requested an impact assessment, and this measure may be included in future sanctions.
The EU seeks to curb the flow of dual-use technologies, like washing machine chips, that Russia could repurpose for military use. Diplomats indicated that Germany's business regulation concerns and requests for changes delayed the sanctions' finalization.
The sanctions list now includes additional Chinese firms accused of supporting Russia's military, as well as restrictions on political parties, think tanks, and media outlets accepting Russian funds to counter alleged Russian interference.
Overall, 47 new entities and 69 individuals have been added to the EU sanctions list, bringing the total to 2,200. The package will be formally adopted when EU foreign ministers meet on Monday.
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