Bloomberg: Number of EU countries oppose strengthening fight against sanctions circumvention against Russia

A group of EU countries is in favour of weakening the measures proposed by the European Union to combat the circumvention of sanctions against Russia through third countries.

Source: Bloomberg, citing sources, as reported by European Pravda

Details: The European Commission proposed to prohibit importers from reselling, in particular, semiconductors used in Russia for the production of weapons. It is also suggested that a certain amount be put on a special deposit account to comply with these requirements.

Bloomberg wrote ithat in case of violation of these requirements, at least half of this amount will be transferred to the trust fund for Ukraine, and the contracts will be terminated. Exporters will also be required to inform national authorities of any violations by third-country companies.

However, diplomats from a group of major EU member states this week raised several concerns about the proposals, including questions about their legality and whether such guarantees and conditions could be demanded from importers.

Bloomberg’s sources said that the countries also want to narrow the scope of the proposed rules and reduce the list of goods to which the new laws will apply.

These member states also fear that contractual requirements could put European companies at a competitive disadvantage.

Other member states, in particular the Baltic States, support these proposals.

Background: 

• On Wednesday 15 November, Josep Borrell, High Representative of the EU for Foreign Affairs and Security Policy, along with the European Commission, presented member states with a proposal for a 12th package of sanctions against Russia.
• The proposal provides for the imposition of sanctions against more than 120 individuals and legal entities for their role in undermining the sovereignty and territorial integrity of Ukraine. This concerns representatives of the military, defence and IT sectors of the Russian Federation, as well as "other important economic operators".
• The proposed measures also go after those who organised the most recent sham "elections" in the areas of Ukraine that Russia has temporarily occupied, those in charge of forcing Ukrainian children to undergo "re-education" and individuals who disseminate propaganda and false information in support of Russia's aggressive war against Ukraine.
• The EU is planning to instruct Denmark to check and potentially block tankers carrying Russian oil passing through its waters amid Western countries’ attempts to set a price ceiling on it, which the Russian Federation has learned to circumvent.

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