The European Union is preparing a new round of sanctions targeting Russia's "shadow fleet," Bloomberg reported on Nov. 14, citing people familiar with the plans.
Russia's shadow fleet is a group of older and often uninsured vessels used to ship out Russian oil while avoiding international sanctions imposed in 2022 as part of the effort to cut Moscow's fossil fuel revenue.
EU member nations hope to approve the sanctions package by the end of the year, Bloomberg reported. The new restrictions would likely include penalties for individuals involved in the shadow fleet trade.
The details of the package are still being negotiated, sources said, and the final version will require unanimous approval from all 27 member states.
According to Bloomberg, some members hope the sanctions will include stronger measures against Russian liquefied natural gas (LNG).
The EU, U.K., and U.S. have targeted Russia's shadow fleet in previous rounds of sanctions, applying restrictions to individual tankers and shipping services.
The shadow fleet helps Russia successfully evade the West's attempts to stifle its oil profits via the $60-per-barrel price cap imposed two years ago. The Group of Seven (G7) unveiled the cap in late 2022, hoping to limit the revenues that feed Russia's war machine in Ukraine.
According to a report from the Kyiv School of Economics (KSE) Insititute published in October, Russia has invested $10 billion in expanding its shadow fleet since the price cap was imposed in 2022.
If the EU is able to approve the new package by the end of the year, it could adopt the sanctions by the symbolic date of Feb. 24, 2025 — the third anniversary of Russia's full-scale invasion of Ukraine.
The Kyiv Independent news desk
