EU unveils 21st sanctions on Russian oil earnings
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- European Commission unveiled the EU’s 21st sanctions package targeting Russian oil earnings, shadow‑fleet tankers, ports, refineries and defense‑related trades.
- Ursula von der Leyen warned that the war in the Middle East and global energy supply disruptions have eased pressure on Russia, making the new sanctions “necessary”.
- Isaac Levi of the Centre for Research on Energy and Clean Air reported Russian energy export revenues rose 2 % in May to €726 million per day, with crude oil loadings at Ust‑Luga up nearly 50 %.
- European Union added 30 vessels to its blacklist of 632 “shadow‑fleet” tankers, but the measure’s impact is limited without coordinated US enforcement.
- Spain was the biggest consumer as European imports of Russian LNG rose almost 18 % in May, despite EU plans to ban new LNG tankers to Moscow until 2027.
- Novatek is in talks with Japanese and South Korean shipbuilders to acquire up to ten ice‑class LNG tankers, a move that could circumvent the EU’s future LNG‑tanker ban.
Why it matters: By expanding restrictions on oil earnings, shadow‑fleet tankers and LNG trade, the EU aims to cut the cash flow that has surged to over €726 million a day, hitting Russia’s war‑financing and forcing European importers to seek alternatives. The package’s impact depends on US enforcement, meaning Russia loses revenue while the EU gains leverage, but European consumers may face higher costs.
