EU’s 21st Russia sanctions package will target the shadow fleet, banks, and firms selling stolen Ukrainian grain—Politico
The EU is preparing its next sanctions package against Russia, with Hungary's change of government unlocking measures previously vetoed, Politico reported. The 21st package is expected in late June or early July. EU officials see Russia's deepening economic strain and Ukraine's improved leverage as openings to push harder.
What the 21st package targets
Politico says the package will focus on Russia's shadow fleet — the loose network of aging tankers moving Russian oil worldwide. It will also likely target Russian banks, financial institutions, military-industrial companies, and firms selling stolen Ukrainian grain. Seven EU officials and diplomats spoke to Politico on condition of anonymity.
Crippling the shadow fleet would close off a major source of Kremlin revenue, EU officials said. Brussels aims to pressure Russian President Vladimir Putin into dropping his maximalist peace-deal demands.
Chief EU diplomat Kaja Kallas and European Commission President Ursula von der Leyen are pushing for "a big package." A second senior EU official directly involved in preparations relayed their stance.
Orbán's exit unlocks previously blocked sanctions
Viktor Orbán's veto is gone after Hungary's change of government. Brussels now has a window to push through measures Hungary had stalled. Among those are sanctions targeting senior members of the Russian Orthodox Church, including its leader, Patriarch Kirill. Kirill is a close Putin ally who has publicly endorsed the war against Ukraine.
Brussels may also push the previously stalled maritime-services ban back onto the table, an EU diplomat said. Malta and Greece have stalled the proposal so far.
"Following Hungarian elections, there is a new momentum" for sanctions, Kallas told reporters after a recent gathering of ministers in Luxembourg. "We should revisit sanctions that have been on the table and not agreed before, but also we should move on with the new sanctions' package."
Ukraine launches push to sync sanctions with allies — Russia’s shadow grain fleet first on the list
Russia's economy "not doing well" since the war began
Brussels sees Russia's internal economic state as the worst since the start of the all-out war.
"It really is the moment to push for more because Russia is not doing well," a senior EU official said.
Russia is suffering a "static inflationary shock," EU economy commissioner Valdis Dombrovskis said. "That's why we are very much emphasizing in our G7 engagements, in bilateral engagements with US representatives, that now is not the time to weaken pressure on Russia."
Meanwhile, today the EU has sanctioned nearly two dozen Russians who facilitated the abduction of Ukrainian children, as EU foreign ministers gathered in Brussels. The broader 21st package remains in early consultation, with today's gathering serving as the ministers' first input.
