From crypto bans to shadow fleet seizures, EU gets creative with Russia sanctions

Key Points:

• On July 23, the EU adopted its 21st sanctions package against Russia, listing 218 new sanctioned entities—the largest since 2022—targeting a wide range of sectors including banks, drone manufacturers, athletes, oil refineries, and cryptocurrency platforms.
• The package notably includes sanctions on Russia's sports minister and propaganda figures to counter "sports-washing," while imposing significant financial restrictions by blocking about 50% of Russian banks and sanctioning Moscow’s stock exchange for its role in funding military activities.
• The EU expanded efforts to combat Russia's "shadow fleet" by allowing member states to confiscate assets from suspect vessels and sanctioning additional ships and crewing agencies supporting the fleet, while also maintaining some legal exemptions for Russia's LNG trade due to Greek shipping industry concerns.
• For the first time, the EU focused heavily on long-range drone manufacturing networks, sanctioning 37 entities involved in drone production and related satellite navigation systems, aiming to disrupt Russia's military-industrial complex.
• Future sanctions packages are being planned, with discussions on targeting Rosatom and Gazprombank underway, though these face potential opposition due to existing cooperation agreements and ongoing trade considerations.