EU divided over russian rubber sanctions in latest package – Politico
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Restrictions on russian rubber became the reason why the ambassadors of the European Union countries didn't approve the tenth sanctions package against russia.
RBC-Ukraine reports with reference to Politico that last night the ambassadors of the European Union did not reach an agreement on new anti-russian sanctions. russian synthetic rubber became one of the controversial points.
The European Commission proposes to impose sanctions on the import of rubber. However, Italy and Germany opposed it, and Poland supported it.
According to Politico, "the synthetic rubber industry generates billions of dollars in revenue for russia each year, trade data shows." russia exported rubber worth almost $2 billion in 2021. Of this amount, the EU's share is about 700 million dollars.
Some forms of rubber have already been sanctioned in previous packages. This has led to the overlapping of additional revenue flows.
As Rubryka reported yesterday, the European Commission presented the tenth sanctions package against russia. The EU aims to adopt the package next week before the first anniversary of russia's invasion.
This package will include trade restrictions on goods used by russia's military. russia will not be able to replace these types of products with supplies from other countries:
- electronics,
- special means of transport,
- car parts,
- spare parts for trucks and airplanes,
- goods for the construction sector that the russian military can use.
The EU is also proposing a ban on goods from transiting through russia to prevent sanctions circumvention and introduce import restrictions on russian rubber and asphalt.
The EU wants to sanction individuals and entities, including politicians and military personnel, as well as Alfa Bank, Rosbank, Tinkoff Bank JSC, russia's National Wealth Fund, and propaganda media groups supporting aggression against Ukraine.
The EU is also considering banning russian nationals from serving on boards of critical infrastructure companies in the EU, such as electricity grids or gas providers.
Also, for the first time, the European Union decided to add structures of third countries that russia uses to circumvent sanctions. For example, the EU is planning to list a Dubai-based shipping company suspected of helping russia circumvent sanctions on oil exports.
