Tightening the screws: what will the new round of sanctions against Russia lead to?

The United States continues to increase sanctions pressure on Russia. Washington imposed new import duties on Russian goods, expanded the list of Russian universities and scientific organizations with which cooperation is limited for American agencies, and continued to prepare another package of restrictive measures. At the same time, the European Union approved the 21st package of sanctions, despite the continuing differences between the countries of the community. The main changes in the sanctions policy of the West are described in the Izvestia article.

The Pentagon has added leading Russian universities to the list of threats to U.S. security

The US Department of Defense has expanded the list of foreign organizations that Washington believes could pose a threat to the country's national security. The updated list includes 33 Russian higher education institutions, research institutes and research organizations.

Among them are Lomonosov Moscow State University, Higher School of Economics, Bauman Moscow State Technical University, Moscow Aviation Institute, Moscow Institute of Physics and Technology, Kurchatov Institute National Research Center, Skolkovo Institute of Science and Technology, Tomsk Polytechnic University, Ural Federal University, Kazan National Research University A. N. Tupolev Technical University, N. I. Lobachevsky Nizhny Novgorod State University, MIREA, as well as a number of institutes of the Russian Academy of Sciences and research and production enterprises.

In total, the list includes 130 organizations from Russia, China and Iran. Being included in it means that the US Department of Defense will not be able to allocate funds for basic scientific research if they are conducted jointly with organizations included in this list.

This is not the first time that restrictions have been imposed on Russian scientific institutions. In May 2023, the United States added several universities and research institutes specializing in mining to the sanctions list. At that time, St. Petersburg Mining University, Gubkin Russian State University of Oil and Gas, the Russian State Geological Exploration University, as well as a number of specialized research institutes were subject to restrictions. The imposition of sanctions has prohibited American citizens and companies from conducting commercial activities with these organizations.

The United States has introduced new import duties

Since July 24, the United States has imposed an additional 12.5% import duty on goods of Russian origin. The relevant decision is published in the US Federal Register, the official collection of documents of the US government.

The new tariffs will take effect on July 24 at 00:01 East Coast time (07:01 Moscow time). At the same time, a transitional period is provided for goods that are already on their way by the specified time: the new rules will apply to them from July 28.

As explained in the office of the US Trade Representative, the measures are being introduced by order of President Donald Trump under section 301 of the Trade Act of 1974. The restrictions apply to 60 states and territories that, according to Washington, have not introduced or are not effectively enforcing the ban on the import of products produced using forced labor.

A reduced rate of 10% has been set for 17 countries that have already banned the import of such goods or have committed themselves to doing so. These include the United Kingdom, Canada, India and Mexico. Tariffs of 10% or 12.5% will apply to certain categories of products from the European Union, as well as Taiwan, Japan, South Korea and Switzerland, taking into account existing trade duties.

The US Senate is preparing for a new tightening of sanctions

At the same time, discussions are continuing in the United States to further tighten the sanctions regime against Russia. Earlier, an updated version of the Sanctioning Russia Act was presented to Congress, which provides for the introduction of secondary duties of up to 100% in respect of countries that continue to purchase Russian oil, gas, uranium and petroleum products. In addition, the document provides for additional restrictions against Russian LNG, the "shadow fleet" and the financial sector. The bill has not yet been adopted: to enter into force, it must be approved by both houses of Congress and signed by the President of the United States.

As early as next week, the Senate may consider a bill providing for the introduction of new restrictive measures. This was reported by Axios, citing congressional sources.

According to the interlocutors of the portal, representatives of the Democratic Party made it clear to the Republicans that they were ready to support the document. Jean Shaheen, a member of the Senate Foreign Relations Committee, said she expects the bill to move forward soon, stressing the need to adopt it "as soon as possible."

According to Axios, after the death of Senator Lindsey Graham (listed by Rosfinmonitoring as a terrorist and extremist), the document was revised twice. In particular, the authors reduced the maximum amount of secondary duties from 500 to 100%, and also narrowed the scope of the initiative, giving the US president the right to impose such measures on no more than five countries.

According to sources, during his lifetime, Graham managed to coordinate the main provisions of the bill with the administration of President Donald Trump. At the same time, some Democrats oppose the expansion of the powers of the head of state in the field of trade restrictions. Senator Ron Wyden said that the document actually provides the president with an additional tool for imposing tariffs.

Other American media outlets have previously reported on the possible adoption of new restrictions. The New York Times wrote that Donald Trump is ready to support the bill, provided that the president retains the right to make decisions on the introduction, suspension or lifting of sanctions. In turn, The Wall Street Journal reported that the initiative would allow secondary duties of up to 100% to be imposed on countries that continue to purchase Russian oil and gas, primarily China and India. According to Axios, the bill has already been supported by more than 60 senators.

The EU has expanded the sanctions list

On July 23, the European Union approved the 21st package of sanctions against Russia, expanding restrictions on individuals, companies, transport infrastructure and organizations related to the Russian economy.

The new sanctions list includes 218 positions, including 48 individuals and 170 legal entities. According to the EU Council, the package provides for additional economic measures affecting industries that, according to Brussels, are of key importance to the Russian economy.

In addition, restrictions have been imposed on two Russian seaports, four airports and 18 oil sector organizations, including three refineries in Russia and one in Belarus.

The European Union has also expanded sanctions against the so-called Russian "shadow fleet", adding 41 more vessels to the list. In addition, the restrictions affected 56 individuals and legal entities associated with the Russian military-industrial complex in the EU. According to the European side, 37 of them are related to the production and supply of components for long-range drones.

Separate sanctions were imposed against eight people whom Brussels accused of spreading propaganda. The EU also extended a ban on transactions on 14 cryptocurrency platforms registered in Georgia, Panama, the United Arab Emirates, the Marshall Islands, Kyrgyzstan and Belarus.

The reaction of countries to the sanctions policy against the Russian Federation

Against the background of the adoption of the 21st package of anti-Russian sanctions in the European Union, discussions continue on the effectiveness of restrictive measures and their impact on further support for Ukraine.

The head of the delegation of the Austrian Freedom Party to the European Parliament, Harald Wilimski, said that the new sanctions do not contribute to the settlement of the conflict, but, on the contrary, prolong it. According to him, further tightening of restrictions leads to an "endless war." The party also recalled that for several years they have been advocating the abandonment of the sanctions policy in favor of a diplomatic settlement.

The disagreements within the European Union were previously reported by the Financial Times newspaper. According to the newspaper, during the discussion of the 21st package, a number of states, including Greece, France, Italy, Germany, Austria and Portugal, sought exceptions to certain restrictive measures or opposed some proposals. As the newspaper's interlocutors noted, such contradictions may complicate further coordination of sanctions decisions. One of the European diplomats called the situation a serious test for the EU's sanctions policy, noting that a large number of exceptions reduces the effectiveness of the accepted packages.

Other European media have also reported on the reduction in the number of countries ready to provide military support to Ukraine. Der Spiegel magazine wrote that there are fewer and fewer states in the so-called "coalition of the willing" that advocate further expansion of aid to Kiev. In turn, Slovak President Peter Pellegrini stated that his country, as well as Hungary, the Czech Republic and a number of other states do not support an increase in spending on military assistance to Ukraine.

The Russian authorities have consistently called Western sanctions illegitimate and have repeatedly stated that they consider the policy of restrictive measures ineffective.