The Council of the European Union adopted on June 24th, a 14th bundle of sanctions towards Russia, intensifying restrictive measures in response to the continuing aggression towards Ukraine and together with the next restrictions:
Export/Import of Items
- Extension of export restrictions on dual-use/superior expertise items (equivalent to “quadbikes,” microwave and aerial amplifiers, and digital flight knowledge recorders).
- Extension of present export bans on industrial merchandise in 4 key sectors of the Russian battle economic system:
- Chemical compounds: manganese ores, silicon dioxide, chlorides, carbonates, uncommon earth compounds, refractory cements, battery chemical substances.
- Plastics: all cellulose merchandise and their derivatives.
- Car components, together with spare components for vehicles; engines for every type of autos; and a restricted variety of automotive components.
- Equipment and tools equivalent to drilling/excavation machines, pipe tools; electrical tools; displays, radios, and video/audio tools.
- Addition of 61 Russian entities and third-country entities (together with China, Turkey, and Kyrgyzstan) to the listing related to the Russian military-industrial complicated.
- Ban on importing helium and modifications to guidelines on importing Russian diamonds.
- Extension of the Frequent Excessive Precedence (CHP) listing to incorporate 5 HS codes regarding pc numerical management machine instruments used for weapons manufacturing.
Provision of Providers
- A brand new ban on transshipment providers for Russian liquefied pure fuel (LNG) on EU territory. Moreover, new restrictions prohibit investments and the supply of products, applied sciences, and providers for ongoing LNG initiatives in Russia, notably Arctic LNG 2 and Murmansk LNG.
- The supply of software program and providers to Russian subsidiaries of teams established within the EU or its companion international locations stays attainable till September 30, 2024; the deadline, initially set for June 20, 2024, to acquire authorization has thus been prolonged.
Anti-Circumvention
- To fight sanction circumvention, the EU now requires European mum or dad firms to make sure that their subsidiaries in third international locations don’t have interaction in actions aimed toward circumventing sanctions. Due diligence mechanisms should be put in place to stop the re-export of vital items for Russian navy improvement.
- European operators should additionally embody contractual provisions making certain that industrial know-how transferred to third-country business companions is just not used to provide items destined for Russia.
Monetary Measures
- Financially, using the “System for Switch of Monetary Messages” (SPFS) developed by the Central Financial institution of Russia is now banned for EU entities working outdoors Russia. This measure additionally extends to transactions with particularly listed monetary establishments and crypto-asset service suppliers facilitating transactions supporting the Russian protection industrial base.
Transport
- Ban on non-scheduled flights if a Russian individual decides the origin or vacation spot (no matter plane possession and management).
- Ban on highway transport of products within the EU, together with transit, for EU firms owned 25% or extra by Russians.
- Ban on entry and providers to ports for listed vessels. Particular ships contributing to the Russian battle effort, equivalent to these transporting navy tools or stolen Ukrainian grain, are actually banned from EU ports.
Contractual Relations and Safety of EU Operators
- Concerning the “non-re-export” clause, adjustments have been made to cut back the implementation burden for EU operators:
- For contracts concluded earlier than the adoption of the 12th bundle, the compliance deadline has been prolonged from December 20th, 2024, to January 1st, 2025.
- An exemption has been added for contracts concluded inside the framework of public procurement in third international locations, however such contracts should nonetheless be notified to the competent nationwide authorities.
- Iceland and Liechtenstein have been added to the listing of companion international locations.
- European operators can now declare compensation for damages attributable to the implementation of sanctions and expropriations. Measures are additionally deliberate to limit the acceptance of mental property rights registration requests from Russian nationals and firms.
The implementation situations of the 14th bundle will possible be topic to new FAQs from the Fee and the DG Treasury, which our workforce is carefully monitoring.
Hyperlink to the Regulation: Regulation (EU) 2024/1745 of 24 June 2024 amending Regulation (EU) No 833/2014 regarding restrictive measures in view of Russia’s actions destabilising the scenario in Ukraine
***
Our workforce stays at your disposal for any additional info on the electronic mail: dscustomsdouane@dsavocats.com.
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The Council of the European Union adopted on June 24th, a 14th bundle of sanctions towards Russia, intensifying restrictive measures in response to the continuing aggression towards Ukraine and together with the next restrictions:
Export/Import of Items
- Extension of export restrictions on dual-use/superior expertise items (equivalent to “quadbikes,” microwave and aerial amplifiers, and digital flight knowledge recorders).
- Extension of present export bans on industrial merchandise in 4 key sectors of the Russian battle economic system:
- Chemical compounds: manganese ores, silicon dioxide, chlorides, carbonates, uncommon earth compounds, refractory cements, battery chemical substances.
- Plastics: all cellulose merchandise and their derivatives.
- Car components, together with spare components for vehicles; engines for every type of autos; and a restricted variety of automotive components.
- Equipment and tools equivalent to drilling/excavation machines, pipe tools; electrical tools; displays, radios, and video/audio tools.
- Addition of 61 Russian entities and third-country entities (together with China, Turkey, and Kyrgyzstan) to the listing related to the Russian military-industrial complicated.
- Ban on importing helium and modifications to guidelines on importing Russian diamonds.
- Extension of the Frequent Excessive Precedence (CHP) listing to incorporate 5 HS codes regarding pc numerical management machine instruments used for weapons manufacturing.
Provision of Providers
- A brand new ban on transshipment providers for Russian liquefied pure fuel (LNG) on EU territory. Moreover, new restrictions prohibit investments and the supply of products, applied sciences, and providers for ongoing LNG initiatives in Russia, notably Arctic LNG 2 and Murmansk LNG.
- The supply of software program and providers to Russian subsidiaries of teams established within the EU or its companion international locations stays attainable till September 30, 2024; the deadline, initially set for June 20, 2024, to acquire authorization has thus been prolonged.
Anti-Circumvention
- To fight sanction circumvention, the EU now requires European mum or dad firms to make sure that their subsidiaries in third international locations don’t have interaction in actions aimed toward circumventing sanctions. Due diligence mechanisms should be put in place to stop the re-export of vital items for Russian navy improvement.
- European operators should additionally embody contractual provisions making certain that industrial know-how transferred to third-country business companions is just not used to provide items destined for Russia.
Monetary Measures
- Financially, using the “System for Switch of Monetary Messages” (SPFS) developed by the Central Financial institution of Russia is now banned for EU entities working outdoors Russia. This measure additionally extends to transactions with particularly listed monetary establishments and crypto-asset service suppliers facilitating transactions supporting the Russian protection industrial base.
Transport
- Ban on non-scheduled flights if a Russian individual decides the origin or vacation spot (no matter plane possession and management).
- Ban on highway transport of products within the EU, together with transit, for EU firms owned 25% or extra by Russians.
- Ban on entry and providers to ports for listed vessels. Particular ships contributing to the Russian battle effort, equivalent to these transporting navy tools or stolen Ukrainian grain, are actually banned from EU ports.
Contractual Relations and Safety of EU Operators
- Concerning the “non-re-export” clause, adjustments have been made to cut back the implementation burden for EU operators:
- For contracts concluded earlier than the adoption of the 12th bundle, the compliance deadline has been prolonged from December 20th, 2024, to January 1st, 2025.
- An exemption has been added for contracts concluded inside the framework of public procurement in third international locations, however such contracts should nonetheless be notified to the competent nationwide authorities.
- Iceland and Liechtenstein have been added to the listing of companion international locations.
- European operators can now declare compensation for damages attributable to the implementation of sanctions and expropriations. Measures are additionally deliberate to limit the acceptance of mental property rights registration requests from Russian nationals and firms.
The implementation situations of the 14th bundle will possible be topic to new FAQs from the Fee and the DG Treasury, which our workforce is carefully monitoring.
Hyperlink to the Regulation: Regulation (EU) 2024/1745 of 24 June 2024 amending Regulation (EU) No 833/2014 regarding restrictive measures in view of Russia’s actions destabilising the scenario in Ukraine
***
Our workforce stays at your disposal for any additional info on the electronic mail: dscustomsdouane@dsavocats.com.
