Full Maritime Ban on Russian Tankers Looms
The European Union is preparing to impose a full ban on maritime services for Russian oil tankers, even if a coordinated deal with G7 allies cannot be reached. Valdis Dombrovskis, the EU’s Economy Commissioner, stressed that while alignment with the G7 is preferable, it is not a strict requirement for action.
If enacted, the measure would override the existing G7 price cap on Russian oil, currently set at $44.10 per barrel, by prohibiting EU companies from servicing Russian tankers regardless of the sale price of Urals crude. Brussels aims to have the 20th sanctions package approved by 24 February, marking the fourth anniversary of Russia’s full-scale invasion of Ukraine.
Dombrovskis noted that the EU has been discussing the plan with G7 partners to ensure coordination, but warned that the bloc is ready to act independently if broader agreement fails to materialize.
Mixed Signals from Allies
Uncertainty remains over how many G7 members would follow the EU’s lead in scrapping the oil price cap. The United Kingdom, Canada, and Australia have acknowledged the EU proposal and are engaged in ongoing discussions, while the United States and Japan have not commented publicly.
Within the EU, concerns are surfacing as well. Greece, home to a major shipping industry, has raised objections, warning that a unilateral ban could boost competitors in India and China, strengthen Russia’s “shadow fleet,” and increase the use of “deflagging,” where vessels switch registries to bypass restrictions. Swedish Finance Minister Elisabeth Svantesson emphasized that decisive EU action is necessary, though coordination is still preferred.
Kyrgyzstan and Anti-Circumvention Measures
The sanctions package also introduces the EU’s Anti-Circumvention Tool for the first time. This measure targets exports of sensitive equipment, such as computer numerical control machines and radios, to countries at high risk of re-exporting them to Russia.
Kyrgyzstan has drawn particular attention, as it shares a customs union with Russia and has long been suspected of acting as a conduit for restricted goods. EU exports to Kyrgyzstan have surged from €263 million in 2021 to €2.5 billion in 2024, with much of the growth in machinery and transport equipment — items that could be repurposed for military use in Ukraine. Kyrgyzstan’s foreign ministry has not responded to requests for comment.
Negotiations among EU ambassadors are continuing this week to ensure the sanctions are approved by the 24 February deadline, though the timeline could be extended if consensus requires more time.
