EU and U.S. Unleash New Sanctions on Russia, Target Oil Revenues

UPDATE: The European Union has just approved a sweeping new sanctions package aimed at crippling the Russian economy, targeting oil, gas, and banking sectors. This urgent move, confirmed today, follows U.S. sanctions unveiled on Wednesday against Russia’s top oil companies, Rosneft and Lukoil, and marks the 19th sanctions package since Russia’s invasion of Ukraine began in February 2022.

The EU sanctions will ban imports of Russian liquefied natural gas, with short-term contracts ending in six months and long-term agreements ceasing by January 2027. Danish Foreign Minister Lars Lokke Rasmussen stated, “It is extremely positive that we have reached an agreement. The sanctions have real impact and are hurting the Russian economy.”

Additionally, the EU will impose port bans on over 100 vessels in Russia’s shadow fleet, which has been used to circumvent existing sanctions. Other measures include targeting Russian cryptocurrency transactions, barring payment systems, and restricting access to artificial intelligence services.

As the U.S. Treasury Department sets a deadline of November 21 for compliance with its sanctions, the pressure on Russia escalates. U.S. President Donald Trump expressed hope that President Vladimir Putin would become “reasonable,” amid ongoing diplomatic tensions. The United States has warned that nations like China and India could face secondary penalties for continuing to purchase Russian oil.

The impact is immediate, with international crude prices surging over $2 per barrel. Reports indicate that Indian refiners are already reducing their imports of Russian crude, while Chinese oil majors have suspended seaborne purchases.

In a stark contrast, Russian officials have condemned these sanctions. Foreign Ministry spokesperson Maria Zakharova labeled them “entirely counterproductive,” arguing they undermine hopes for a negotiated solution to the ongoing conflict in Ukraine.

Meanwhile, a significant gathering of the 35-nation coalition pledging support for Ukraine’s security is set for tomorrow in London, where further actions to bolster Ukraine’s defense will be discussed.

The humanitarian situation is also in the spotlight as the International Court of Justice issued an advisory opinion calling for Israel to allow the UN’s Palestinian refugee agency (UNRWA) to provide essential aid to Gaza and the West Bank. This ruling comes amidst ongoing tensions, as Israel has blocked UNRWA’s access to supplies since March, citing concerns about terrorism.

As the geopolitical landscape rapidly evolves, these latest sanctions signal a deepening commitment from the West to counter Russian aggression. Stay tuned for further developments as the situation unfolds.