A new package of sanctions against Russia adopted by EU Member States targets key sectors of Russia’s economy such as energy, finance and the military industrial base, as well as enablers and profiteers of its war of aggression.
The package includes a total ban on Russian Liquefied Natural Gas (LNG) and a further clamp-down on the shadow fleet represent the strongest sanctions yet on Russia’s crucial energy sector.
Strong measures also target financial services and infrastructure (including for the first time crypto), as well as trade. The measures also target the services sector and strengthen anti-circumvention tools. With this package, the number of listed vessels in Russia’s shadow fleet reaches a total of 557.
Energy measures include:
- A ban on imports of Russian liquefied natural gas (LNG) as of 1 January 2027 for long-term contracts
- Full transaction ban on major companies Rosneft and Gazprom Neft, eliminating the exemption for their oil and gas imports into the EU. Sanctioning Chinese entities – two refineries and an oil trader – that are significant buyers of Russian crude oil.
- An import ban on a variant of liquefied petroleum gas (LPG)
- 117 additional vessel listings, bringing the total of vessels in Russia’s shadow fleet listed by the EU to 557.
- Additional sanctions are notably imposed across the shadow fleet value chain, including on Litasco Middle East DMCC, Lukoil’s prominent shadow fleet enabler based in the UA, as well as on maritime registries providing false flags to shadow fleet vessels. Two oil trading companies in Hong Kong and the United Arab Emirates (UAE) are added to the scope of the transaction ban.
- Extension of the port infrastructure ban.
- The new measures also include additional prohibitions on energy-related services, such as scientific and technical services (for example, geological prospecting and mapping).
Financial measures include:
- Banking: 5 new banks in Russia are added to the transaction ban.
- Payments: new bans on Russia’s payment card and fast payment system (Mir and SBP).
- Cryptocurrencies and exchanges: The EU is imposing full-fledged sanctions on the developer of a widely used rouble-backed stablecoin A7A5, the Kyrgyz issuer of that coin, and a related major trading platform. For the first time, the new measures also prohibit the use of that cryptocurrency. By addressing the use of stablecoins and offshore exchanges, the EU aims to close loopholes and reinforce the integrity of its financial sanctions framework.
- EU operators are banned from providing crypto services and certain fintech services that enable Russia to develop its own financial infrastructure.
- Transaction bans on 5 third-country banks in Central Asia that support Russia’s war economy
On trade, the package expands export restrictions and bans to further disrupt and weaken Russia’s military-industrial complex. These include:
- Individual sanctions (‘listings’) of businesspersons and companies forming part of the Russian military-industrial complex, and operators from UAE and China producing or supplying military and dual-use goods to Russia.
- New export restrictions on additional dual-use items and advanced technologies, including metals for the construction of weapon systems and products used in the preparation of propellants, not yet under sanctions.
- New export bans on items such as salts and ores, constructions materials and articles of rubber, corresponding to a value of EUR 155 million of EU exports in 2024 prices.
Other measures include:
- Measures targeting Russia’s Special Economic Zones, which are designed to attract foreign investment and play a critical role in driving economic growth and infrastructure development.
- Service bans blocking Russian access to advanced digital capabilities within the Union, including certain space-based services and AI services.
- An obligation for Russian diplomats, travelling across the EU beyond their country of accreditation, to inform the relevant EU Member State in advance.
- The EU is also reinforcing accountability of those involved in abduction, forced assimilation and indoctrination of Ukrainian children by listing 11 additional individuals.
The package also mirrors all trade-related provisions in the Belarus sanctions regime as per previous practice.
European Council conclusions on European defence and security
