The European Union is preparing to impose a fresh round of sanctions on Russia, aiming to compel President Vladimir Putin into a 30-day unconditional ceasefire in Ukraine, according to European Commission President Ursula von der Leyen. During a summit in Albania, von der Leyen pointed to Putin's refusal to meet with Ukrainian President Volodymyr Zelenskyy in Turkey as a reason to proceed with stringent restrictions on the Russian economy. “For us, it's important: we want peace. And therefore, we have to increase the pressure on President Putin till he is ready for peace,” she stated.
The upcoming sanctions package will target Moscow's banks, many of which are already under comprehensive restrictions, as well as the Nord Stream I and II gas pipelines, which are currently not operational. A Commission spokesperson noted that sanctions on Nord Stream aim to deter investor interest in the controversial project. Brussels is also seeking to lower the price cap on Russian crude oil established by the G7 and Australia at the end of December 2022. This cap prohibits Western companies from providing services to Russian tankers selling crude oil above $60 per barrel, and it has remained unchanged despite significant fluctuations in Russia's trade and evidence of circumvention.
Earlier this year, Nordic and Baltic member states called for a review of the price cap to reduce it and further squeeze Kremlin energy profits. Von der Leyen did not specify what the new cap level should be, and any adjustment will require approval from the White House. Meanwhile, Moscow has deployed a "shadow fleet" of aging tankers to circumvent the G7 price cap, using obscure ownership and insurance practices and engaging in deceptive tactics.
The EU has blacklisted over 350 vessels linked to the "shadow fleet" and plans to expand this list in the coming weeks. Von der Leyen emphasized that sanctions have had a significant impact, stating, “Russia's oil and gas revenues have fallen by almost 80% compared to before the war.” She added that Russia is facing soaring deficits, high-interest rates, and rising inflation.
The comments come shortly after EU ambassadors endorsed the 17th sanctions package, which was limited in scope and did not impose significant constraints on Russia's economic sectors. The "Coalition of the Willing" initially set a deadline for Russia to accept a ceasefire, but no immediate repercussions followed, and no new deadline has been established.
In Washington, Senator Lindsey Graham is working to gather bipartisan support for a new plan to impose 500% tariffs on goods from countries purchasing oil, gas, and uranium from Russia, which could have a substantial impact on European nations still reliant on Moscow. In Brussels, discussions are underway to raise tariffs on Russian exports, as trade policy can be approved by a qualified majority, circumventing individual vetoes from countries like Hungary and Slovakia.
