The European Commission has introduced its 21st sanctions package against Russia, aimed at intensifying economic pressure on the country amid ongoing conflict. The proposal, presented by European Commission President Ursula von der Leyen, will undergo discussion and approval by EU member states.
This new sanctions package focuses on critical sectors such as energy, financial services, and cryptocurrency, and for the first time, includes measures targeting the fishing industry. Additionally, it proposes a ban on entry into the EU for former Russian military personnel.
According to EU foreign policy chief Josep Borrell, the sanctions will temporarily freeze the price cap on Russian oil and identify entities that Russia uses to generate revenue and circumvent existing EU sanctions. The measures will affect banks, arms manufacturers, oil traders, and cryptocurrency operators in third countries.
“We are strengthening sanctions against individuals and organizations that contribute to Russia’s war against Ukraine. This package includes the largest list of sanctions in the past two years, comprising over 170 proposals targeting the financial sector, energy, and drone production,” stated Borrell.
Price Cap and Shadow Fleet
Von der Leyen noted that recent conflicts in the Middle East and disruptions in global energy supply chains have somewhat eased pressure on Russia. The goal of the new sanctions is to maintain robust economic pressure by limiting Russia’s oil revenue. “Our oil price cap includes an adjustment mechanism that allows it to follow market conditions. It was not designed for market shocks like those caused by the closure of the Strait of Hormuz. Therefore, we propose to suspend the adjustment until January next year, allowing oil markets to stabilize while still applying pressure on Russia’s revenue,” she explained.
Furthermore, the EU will continue targeting Russia’s shadow fleet. “We propose to add 30 vessels to the existing list of 632 already under sanctions. For the first time, we will also target vessels that support the shadow fleet by providing services such as bunkering. We aim to restrict critical infrastructure such as ports and oil refineries that trade or process Russian oil. We will limit the sale of tankers for transporting LNG to Russia, similar to the restrictions already in place for oil tankers,” von der Leyen added.
Borrell emphasized that any vessel supplying or fueling ships on the blacklist will also be subject to sanctions. “Two Russian ports and four airports will also face transaction bans,” he noted.
Financial Restrictions and Cryptocurrency Measures
The EU is expanding its transaction bans to include 31 additional Russian banks and 20 cryptocurrency companies or platforms, as well as oil traders in third countries that have provided services to sanctioned Russian entities or individuals. “For the first time, we will introduce a complete ban on third countries providing crypto-asset services. This will serve as a significant deterrent for hosting platforms in these countries that assist Russia in evading our sanctions,” von der Leyen stated.
Borrell indicated that the EU intends to deliver a “strong blow” to Russia’s financial sector by freezing assets of nearly 90 banks and imposing additional transaction bans on over 30 banks in Russia and other third countries.
“We are also tightening our ban on crypto-asset services for certain third countries, adding new entities to the list and prohibiting transactions on 11 cryptocurrency platforms,” he added.
Trade Restrictions
Von der Leyen highlighted that the EU is implementing new export restrictions on goods and technologies used by the Russian military industry. “We are targeting more metals and alloys used in the aerospace and defense sectors. Regarding drones, we propose new bans on the export of ground equipment, electronic warfare systems, and launch systems, among others,” she stated.
Additionally, the EU plans to impose new import bans on a range of goods valued at 60 million euros. “This includes specific metals, metal ores, and automotive parts, as we aim to further diversify Europe away from Russian imports,” von der Leyen explained.
According to Borrell, the sanctions lists encompass over 30 entities involved in drone production and new export control measures affecting 50 companies, including those based in China, Turkey, Kyrgyzstan, Kazakhstan, the UAE, and India.
“We will also restrict the export of additional materials and technologies, such as nickel powders, metals, and high-performance alloys, to further undermine Russia’s production capabilities. Import restrictions on new goods, including automotive parts and certain precious metals and chemicals, will also be implemented,” she added.
Von der Leyen emphasized that the EU is introducing sanctions against Russia’s fishing industry for the first time. “We propose significant restrictions on the import of certain fish products and a complete ban on others, including cod,” she stated.
The EU will also coordinate trade restrictions against Belarus to prevent it from serving as a “backdoor” for Russian trade.
Ban on Entry for Russian Military Personnel
“For the first time, we propose to ban entry into the European Union for anyone who has served in the Russian Armed Forces since the beginning of the war. Thus, Europe remains inaccessible to all who participated in the invasion of Ukraine,” von der Leyen stated.
She also announced that the first negotiation cluster regarding Ukraine’s EU membership will open in the coming days. Despite the ongoing war and constant Russian shelling, Ukraine has made remarkable progress in implementing reforms.
“Ukraine has undoubtedly fulfilled its obligations. It is now time for us to fulfill ours. In the coming days, we will open the first cluster with Ukraine and Moldova, effectively paving the way for the next stage of the accession process—the official start of negotiations. The Commission is fully prepared to support Ukraine on its path to the European Union, where it rightfully belongs,” von der Leyen concluded.
She confirmed that the first tranche of a 90 billion euro support loan for Ukraine will be disbursed this month. “Yesterday, we provided nearly 3 billion euros through the Ukraine facility, and later this month, we will disburse the first tranche of our 90 billion euro loan to Ukraine. By the end of the month, we will provide Ukraine with 6 billion euros for drones and over 3 billion euros in macro-financial assistance,” she added.
Borrell previously reported that the EU would propose sanctions against over 80 individuals and entities targeting the Russian military-industrial complex, human rights violators, and propagandists.
On April 23, EU member state ambassadors formally approved the 20th sanctions package against Russia, which includes restrictions on Russian shadow fleet vessels, maritime exports, ports, banks, and personal sanctions.
In comments to the media, Ukraine’s presidential advisor on sanctions policy, Vladislav Vlasuk, noted that approximately 70% of the content of the 20th package directly reflects the input from the Ukrainian side.
The European Commission has launched a comprehensive sanctions package against Russia, focusing on energy, finance, and cryptocurrency sectors, alongside new restrictions on trade and military personnel. This initiative aims to strengthen economic pressure on Russia amid ongoing conflict and support Ukraine's EU membership aspirations.