Page 56 - RusRPTJun24

EU planning restrictions on 11 vessels of Russia's shadow fleet. The shadow fleet refers to aging and largely uninsured oil tankers that Russia uses to transport oil above the $60 per barrel price cap that the EU, the U.S., and the Group of Seven (G7) countries imposed in December 2022 as part of the effort to cut Moscow's fossil fuels revenue.
The price cap on Russian oil is becoming increasingly unenforceable the International Group of P&I Clubs, or so-called Mutual Insurance Clubs, said according to reports on May 3. About 800 oil tankers, which were previously managed by member organizations of the International Group of P&I Clubs, have moved to the so-called shadow fleet, according to a written submission by the club in response to the British government's inquiry about the effectiveness of sanctions against Russia. Additionally, insurers are unable to verify whether traders are adhering to the price limits. This policy seems increasingly unenforceable as more ships and related services become involved in this parallel trade, the International Group stated. In April, only 16% of all Russian cargoes were transported by members of the International Group, which is the lowest rate at least since the beginning of 2023, according to transportation data collected by Bloomberg. Also, that International Group mentioned that it's necessary to give a warning to India and China to ensure their purchases comply with the G7 requirements.
US sanctions Russia, Chinese companies for war effort support. The U.S. imposed new sanctions on May 1 against nearly 300 companies and individuals in Russia and third countries, including Chinese companies, for aiding Moscow's war effort, the Treasury Department announced.
The US has imposed sanctions against almost 300 Russian and foreign companies and private individuals for supporting the Russian war against Ukraine. The list of Chinese companies, particularly, included Hong Kong's Finder Technology Ltd, which exported 293 batches of parts for drones and electronics. Among the companies from the Russian Federation are Pobeda, a subsidiary of Aeroflot, the Ural Automobile Plant, the Proton Plant, and the Bryansk Automobile Plant, for a total of more than 100 entities. The list includes almost 60 subjects from various jurisdictions (Azerbaijan, Belgium, China, Russia, Slovakia, Turkey, and the UAE), allowing the Russian Federation to obtain the technologies and equipment necessary for its military industry abroad. Sanctions were first introduced against manufacturers and suppliers of cotton pulp and nitrocellulose, which are needed to make gunpowder, rocket fuel, and other explosives. The US also recognized that the Russian Federation has used chemical weapons against the Ukrainian military and imposed sanctions on the companies that participated in their production. At the same time, due to the pressure from its allies, the UAE has banned the export and re-export of some dual-purpose goods to Russia.
G7 agrees to reduce dependency on Russian nuclear energy supplies. "We note the ongoing efforts by countries which operate Russian-designed reactors to make progress in securing alternative nuclear fuel contracts and to reduce dependencies related to spare parts, components, and services," read the statement issued after a two-day ministerial summit in Torino, Italy.
Russia will seize Western assets in retaliation, and the aggressor has other options for its revenge. As Reuters points out, Russia does not have
56 RUSSIA Country Report June 2024 www.intellinews.com