Existing sanctions. Economic sanctions against Russia: reasons, analysis, lists, consequences

Today, one of the most pressing topics is the application of sanctions against the Russian Federation by the European Union and the United States. The fairness of such actions in relation to our country raises many questions and disputes, as do the events that gave rise to them. But at the moment, something else is important: what goal are pursued by those who have imposed such political and economic restrictions on Russia? And what are the consequences of these sanctions? To answer these questions, it is necessary to consider both theoretical and practical aspects of the problem.

Concept

In the broad sense of the word, a sanction is a measure of influence aimed at restricting any type of activity. Sanctions are expressed in a ban on the implementation of various trade and economic agreements, measures to impede the political activities of a certain company or the state as a whole. Such restrictions can be partial or complete. For example, if we consider trade sanctions, the ban may apply to the import or export of a specific product. A full-fledged sanction implies a ban on all economic relations of a company or country with other subjects of a market economy.

Such measures of influence also have back side. Sometimes the subject of a trade or political sphere who applies sanctions against another entity suffers more than the one to whom these prohibitions were addressed. After all, a state whose certain activities are prohibited can establish retaliatory restrictions. That is why we should not forget that a sanction is an ambiguous phenomenon, the appearance of which can lead to unpredictable consequences.

Types of prohibitions

In the context of the current political situation, it is necessary to consider penalties in international law. They should never be confused with responsibility. Thus, the country that violates the agreements bears responsibility for its misconduct. Sanctions, in turn, can be applied by the state whose rights have been violated. The violator of international treaties is obliged to bear responsibility for his illegal actions, and the injured party has the right to apply sanctions.

There are two types of prohibitions: collective and individual. Collective restrictions are those that follow in response to violations of international law and imply the suspension of membership in an alliance with other states, as well as a collective armed conflict with the offender.

Individual sanctions are most often associated with any legal restrictions on the activities of a particular state, the rupture of trade and other agreements, non-recognition of the position of the offender, and strengthened self-defense in the event of armed clashes.

Purposes of restrictions

Penalties usually serve several purposes. Firstly, such restrictions are aimed at changing political system offending state. Political prohibitions may also apply to a particular area of activity. A change in the regime of government, by the way, will most likely be an impetus for a change in political direction, so a sanction is a fairly effective way to achieve changes in one’s own interests in this area.

Secondly, sanctions are aimed at reducing the number of weapons a particular state has. Such actions help reduce the risk of armed confrontations and hostilities throughout the country.

Third, sanctions may prohibit the entry of any individuals to the territory of a certain state or, on the contrary, to force some people to leave the territory of a certain country.

Sanctions against the Russian Federation

The main political leaders of the Western powers have come to the decision that the Russian Federation is carrying out many military and political operations illegally. In this regard, our country was subjected to a number of restrictions, which significantly affected the lives of the top officials of the state and ordinary residents.

Russians faced two types of sanctions: economic and political. The former have already been reflected in rising prices for imported goods and rising dollar and euro exchange rates.

Economic sanctions against Russia

Sanctions against the Russian Federation are measures from which our country has been suffering over the past year. Or does he not suffer? In any case, restrictions for “violations” of international law were imposed on Russia. What economic sanctions have the European Union and the United States imposed on the Russian Federation? First of all, this is an artificial growth of the euro and dollar, not supported by anything. For the first time in the history of international relations, the exchange rate of Western currencies was so high against the ruble. Today the situation has stabilized a little, but the rate still remains extremely high. All this threatened and continues to threaten a financial crisis and even a collapse and depreciation of the Russian currency.

As a result, prices for many goods imported from European countries. World trade marks increased the amount that Russian companies must pay to produce products on their territory.

This is exactly what economic sanctions have become. The Russian Federation, according to experts, will not be able to emerge from the financial crisis earlier than in two years.

Political sanctions against the Russian Federation

A sanction is not only an economic, but also a political restriction. The countries of the European Union and the United States, as a “punishment” for the illegal, in their opinion, actions of the Russian Federation towards Ukraine, banned a group of Russian officials and oligarchs from entering their territory, and also froze their accounts in foreign banks.

Barack Obama, by the way, never came to support American athletes at the Winter Olympics in Sochi last year. All this is an expression of hostility towards Russian politics and disrespect for world traditions.

Did such actions towards Russia lead to anything? Political sanctions have not produced any significant results. Of course, it has become much more difficult for citizens of our country to obtain a visa to the States and European countries; it now costs more, but in general the sanctions did not affect foreign policy Russian Federation in relation to Ukraine.

Methods of confrontation

Many economic and political prohibitions were introduced against our country. But the West itself already understands the disadvantage of severing relations with the Russian Federation, since many Eurozone countries have felt the impact of Russia’s retaliatory sanctions. In our country there are branches of more than 20 German companies, which, due to economic restrictions, are losing money, since the purchasing power of Russians has sharply decreased over the past year. In addition, approximately 300 thousand workers in Germany depend on trade relations with the Russian Federation, so EU sanctions hit not only our country, but also its key members.

Many European countries, by the way, oppose sanctions against the Russian Federation. States such as Italy, Greece, Hungary, Austria, Spain do not want to continue punitive measures, since it is not profitable for them to spoil trade and political relations with such a strong power.

Possible consequences of sanctions

One of the main consequences for our state may be the impossibility of conducting financial transactions through some EU countries. That is, the Government of the Russian Federation and the Ministry of Finance will have to look for ways to solve this problem through the territories of other states.

What other difficulties will Western sanctions entail? Russia will not be able, for example, to achieve significant economic growth(no more than 2-2.5%). According to experts, GDP may increase by only 1%. There remains a risk of reduced investment from both foreign and domestic enterprises in the event of a heated foreign policy situation.

Montenegro, Iceland, Albania, Norway and Ukraine joined the individual EU sanctions adopted on March 17 and expanded on March 21.

On April 12, Canada imposed sanctions against the head of the Sevastopol election commission, Valery Medvedev, and his colleague from the Crimean election commission, Mikhail Malyshev, as well as against the oil and gas company Chernomorneftegaz.

On April 28, the US authorities again expanded the sanctions list to include seven more Russian citizens and 17 companies. White House press secretary Jay Carney explained this by saying that Russia “did nothing to comply with Geneva obligations.” Carney also accused Moscow of involvement in violence in eastern Ukraine. The sanctions affected Russian Deputy Prime Minister Dmitry Kozak, head of Rosneft Igor Sechin, and first deputy head of the Kremlin administration Vyacheslav Volodin. The list also included the presidential envoy to the KFO Oleg Belaventsev, the head of the FSO Evgeny Murov, the head of Rostec Sergei Chemezov and the head of the State Duma Committee on International Affairs Alexey Pushkov.

On the same day, April 28, the decision to expand the sanctions list was made by the European Union, and on April 29 the names of those on the list were published. The EU has expanded the sanctions list by another 15 people. It included Deputy Prime Minister Dmitry Kozak, Chief of the General Staff of the Russian Armed Forces Valery Gerasimov, Chief of the GRU Igor Sergun, Permanent Representative of the Russian President in Crimea Oleg Belaventsev, Head of the Ministry for Crimean Affairs Oleg Savelyev, Deputy Speaker of the State Duma Lyudmila Shvetsova, Vice Speaker of the State Duma Sergei Neverov , Acting Governor of Sevastopol Sergei Menyailo, Federation Council Senator from Crimea and Sevastopol Olga Kovatidi, representative of the Lugansk militia German Prokopyev, People's Governor of the Lugansk region Valery Bolotov, leaders of the so-called Donetsk People's Republic Andrei Purgin and Denis Pushilin, deputy head of the Donbass people's militia Sergei Tsyplakov, head of the people's defense of Donbass in Slavyansk Igor Strelkov.

Canada's sanctions list includes State Duma deputies Vladimir Zhirinovsky and Alexei Pushkov, First Deputy Head of the Kremlin Administration Vyacheslav Volodin, Russian Deputy Prime Minister Dmitry Kozak, member of the State Duma Committee on International Affairs Alexander Babakov, Russian Presidential Envoy to the Crimean Federal District Oleg Belaventsev, FSO head Evgeny Murov , as well as the Rotenberg brothers.

The list of companies included Expobank and Rosenergobank.

Japan has imposed additional sanctions against 23 Russian government officials who may have been involved in violating the sovereignty of Ukraine. The names of the officials were not released.

Swiss authorities have expanded the list of persons subject to financial restrictions by 15 people in response to the EU's expanded list.

The Prime Minister of Canada said that sanctions are being imposed against 16 Russian “entities” and apply to the following Russian banks and legal entities: InvestCapitalBank, Sobinbank, Northern Sea Route Bank, Aquanika companies, Avia Group LLC, Avia Group Nord LLC, ZEST CJSC, Sakhatrans LLC, Stroygazmontazh LLC, Stroygazmontazh LLC Investment company Abros", the Volga group, the Stroytransgaz Holding company and its four subsidiaries.

EU Council on foreign affairs included 13 more people on the list of EU sanctions against those responsible, in his opinion, for destabilizing the situation in Ukraine. The list included the first deputy head of the Kremlin administration Vyacheslav Volodin, the commander of the Airborne Forces, Colonel General of Russia Vladimir Shamanov, and the head of the State Duma Committee on Constitutional Legislation and State Building Vladimir Pligin. In addition, Crimean prosecutor Natalya Poklonskaya, Sevastopol prosecutor Igor Shevchenko, acting Head of the Federal Migration Service of Russia for the Republic of Crimea Petr Yarosh, acting Head of the Sevastopol Migration Service Oleg Kozyura. The EU also decided to freeze the assets of two companies from Sevastopol and Crimea - Feodosia and Chernomorneftegaz.

Canadian authorities announced the introduction of additional sanctions against six Russian citizens and six Ukrainian supporters of federalization. The list of sanctions from the Russian side included: Chief of the Russian General Staff Valery Gerasimov, Commander of the Armed Forces of the self-proclaimed Donetsk People's Republic Igor Girkin (Strelkov), Acting Governor of Sevastopol Sergei Menyailo, State Duma Vice Speakers Sergei Neverov and Lyudmila Shvetsova, Russian Minister for Crimean Affairs Oleg Savelyev, 1st member of the Federation Council of the Federal Assembly of the Russian Federation from the executive branch of the Republic of Crimea Olga Kovatidi.

Swiss authorities have expanded the list of persons subject to financial and visa restrictions by 13 people, in response to the extended EU list.

Montenegro, Iceland, Albania, Liechtenstein and Norway have joined the implementation of the new EU sanctions lists.

Australia has imposed financial sanctions against 50 Russians and 11 companies due to the situation in Ukraine. Earlier, in March, Australian authorities announced the imminent introduction of sanctions against 12 Russian and Ukrainian officials.

The Australian government has decided to extend sanctions to a further 38 individuals and impose restrictions on 11 companies. The names of those on the “black lists” were not indicated at that time.

Regarding Advisor to the President of the Russian Federation Sergei Glazyev, Head of the Federation Council Valentina Matvienko, Senator Andrei Klishas, Speaker of the State Duma Sergei Naryshkin, deputies Elena Mizulina and Alexei Pushkov, Deputy Prime Ministers Dmitry Rogozin and Dmitry Kozak, assistants to the President of the Russian Federation Vladislav Surkov, Vladimir Kozhin and Andrei Fursenko, Head of the Russian Presidential Administration Sergei Ivanov, First Deputy Head of the Kremlin Administration Vyacheslav Volodin and Alexei Gromov, acting. the head of Crimea Sergei Aksenov, businessmen Yuri Kovalchuk, Arkady and Boris Rotenberg, Gennady Timchenko, head of Russian Railways Vladimir Yakunin, as well as a number of leaders of the unrecognized DPR and LPR. This list also included Bank Russia, InvestCapitalBank, SMP-Bank, Stroygazmontazh LLC, Avia Group Nord LLC, Stroytransgaz group, Volga-Group, Chernomorneftegaz, as well as other companies and individuals.

Canada has imposed additional economic sanctions and a ban on entry into the country for 11 Russian citizens.

Washington synchronized its sanctions list with the European one. The United States has imposed visa and financial restrictions on Deputy Speaker of the Russian State Duma Sergei Neverov, Federal Minister for Crimea Oleg Savelyev, as well as Prime Minister of the self-proclaimed Donetsk Republic Alexander Borodai, who were previously subject to EU sanctions. In addition, US sanctions extended to the entire Donetsk and Lugansk republics and to Russian Presidential Assistant Igor Shchegolev.

The American authorities are also dealing with a number of Russian defense and raw materials companies. The sanctions list included the Almaz-Antey concern, Uralvagonzavod, NPO Mashinostroeniya and several Rostec structures: the Kalashnikov concerns (formerly Izhmash), Constellation, Radioelectronic Technologies (KRET), Basalt and Konstruktorskoe instrumentation bureau.

The sanctions included the largest Russian oil company Rosneft and Russia's largest independent gas producer Novatek, the Feodosia oil terminal, as well as the Russian development bank Vnesheconombank and one of the country's largest commercial banks Gazprombank. Sanctions against Russian banks do not imply a freeze of assets, but a ban on receiving American loans for more than 90 days.

European leaders at their summit limited themselves to agreeing to expand the criteria for sanctions and only by the end of July to draw up a list of companies and individuals, including Russian ones, that will be subject to targeted restrictive measures of the European Union.

Canada, following the United States, included a number of Russian defense and raw materials companies and banks in its sanctions list. The sanctions included, in particular, Gazprombank, Vnesheconombank and the second largest gas producer in Russia, Novatek. The Canadian Prime Minister explained that the sanctions involve stopping lending to energy companies and financial institutions that are blacklisted.

15 names and 18 were added to the EU sanctions list legal entities. Among them are FSB Director Alexander Bortnikov, Director of the Russian Foreign Intelligence Service Mikhail Fradkov, Secretary of the Russian Security Council Nikolai Patrushev, Head of the Chechen Republic Ramzan Kadyrov, Deputy Secretary of the Russian Security Council Rashid Nurgaliev, Security Council member Boris Gryzlov, FSB officer Sergei Beseda and State Duma deputy Mikhail Degtyarev . Among the companies are "Kerch Ferry", "Sevastopol Sea Trade Port", "Kerch Sea Trade Port", the state enterprise "Universal-Avia", the sanatorium "Nizhnyaya Oreanda", "Azov Distillery", the national production and agricultural association "Massandra" , agricultural firm "Magarach" and sparkling wine factory "New World".

The US Treasury announced the introduction of sanctions against the Bank of Moscow, VTB and Rosselkhozbank, as well as the United Shipbuilding Corporation of the Russian Federation.

The EU has introduced new economic sanctions against Russia, which will be applied throughout the year. The European Union has limited access to EU capital markets for Russian state-owned banks. These are Sberbank, VTB, Gazprombank, Rosselkhozbank, and the state corporation Vnesheconombank, among the five largest credit institutions in the Russian Federation. The European Union has published a list of goods that cannot be exported for a number of projects in the Russian oil industry. It consists of 30 items, including some types of pipes and drilling equipment. The restrictions included new contracts for the import and export of weapons from the Russian Federation and for the sale of dual-use goods to Russia for the defense sector.

The European Union also includes the Russian defense concern Almaz-Antey, the low-cost airline Dobrolet, which flies to Crimea, and the Russian National Commercial Bank. The list included the first deputy head of the Russian Presidential Administration Alexei Gromov, four Russian businessmen - Rossiya Bank shareholders Yuri Kovalchuk and Nikolai Shamalov, businessmen Arkady Rotenberg and Konstantin Malofeev, as well as two representatives of the self-proclaimed people's republics in eastern Ukraine.

For investments in Crimea.

The Swiss government has expanded the sanctions list in connection with Russia's position on Ukraine and added 26 citizens of Russia and Ukraine and 18 companies to it. The list, in particular, includes: Prime Minister of the self-proclaimed Donetsk People's Republic (DPR) Alexander Borodai, Director of the Russian Foreign Intelligence Service Mikhail Fradkov, Secretary of the Russian Security Council Nikolai Patrushev and Head of the Chechen Republic Ramzan Kadyrov.

On the same day, the Japanese government approved additional sanctions against 40 individuals and the Crimean companies Chernomorneftegaz and Feodosiya. The sanctions involve freezing the assets of ex-President of Ukraine Viktor Yanukovych, acting head of the Republic of Crimea Sergei Aksenov, Chairman of the State Council of the Republic Vladimir Konstantinov, former deputy chairman of the Council of Ministers of Crimea Rustam Temirgaliev, deputy commander of the Black Sea Fleet Denis Berezovsky, ex-governor of Sevastopol Alexei Chaly, ex-chief security service of Sevastopol Peter Zima, adviser to the speaker of the State Council of the Republic of Crimea Yuri Zherebtsov, senators from the Republic of Crimea Sergei Tsekov and Olga Kovitidi, head of the republican Central Election Commission Mikhail Malyshev, head of the election commission of Sevastopol Valery Medvedev, governor of Sevastopol Sergei Menyailo.

The head of the Federal Migration Service of Russia for the Republic of Crimea, Pyotr Yarosh, the head of the Sevastopol department of the FMS Oleg Kozhura, the prosecutor of Crimea Natalya Poklonskaya, and the prosecutor of Sevastopol Igor Shevchenko were also hit. The sanctions list also includes the commander of the self-defense forces of the proclaimed Donetsk People's Non-Republic Igor Strelkov (Girkin), and the ataman of the All-Great Don Army Nikolai Kozitsyn.

Canada has expanded its sanctions list against Russia to include 19 citizens of Russia and Ukraine, as well as five Russian banks. Among the Russian banks included in the list: Bank of Moscow, Rosselkhozbank, Russian National Commercial Bank and VTB Bank. A number of Russian security officials were subject to Canadian sanctions, in particular FSB Director Alexander Bortnikov, SVR Director Mikhail Fradkov, member of the Russian Security Council Boris Gryzlov, Security Council Secretary Nikolai Patrushev, head of the 5th Directorate of the FSB Sergei Beseda, head of the Border Service of the FSB of the Russian Federation Vladimir Kulishov, Deputy Secretary of the Russian Security Council Rashid Nurgaliev, and State Duma Deputy Mikhail Degtyarev. In addition, the list included Governor of the Krasnodar Territory Alexander Tkachev, head of Chechnya Ramzan Kadyrov, presidential assistant and ex-head of the Ministry of Telecom and Mass Communications Igor Shchegolev, Russian businessman Konstantin Malofeev and Rossiya Bank shareholder Nikolai Shamalov. The list also includes the head of the Ministry of Internal Affairs of Crimea Sergei Abisov, one of the leaders of the self-proclaimed DPR Pavel Gubarev, his wife, the Minister of Foreign Affairs of the DPR Ekaterina Gubareva, the speaker of the Supreme Council of the DPR Boris Litvinov and an employee of the LPR press service Oksana Chigrina.

In addition, the list included several Crimean companies: the Kerch trade port and the Kerch ferry crossing, as well as the Massandra winery, the New World winery, the commercial port of Sevastopol, the Magarach National Institute of Grapes and Wine, and the Universal airline. Air". The list also includes the Russian airline Dobrolet and the United Shipbuilding Corporation.

The Verkhovna Rada of Ukraine adopted the law “On Sanctions,” which provides for the possibility of introducing more than 20 types of sanctions against Russia, including stopping the transit of energy resources. The law was signed by Ukrainian President Petro Poroshenko, and on September 12 the law came into force.

On September 1, Australia introduced a ban on the supply of weapons and equipment to Russia for the oil and gas sector, access of Russian state banks to the Australian capital market, investment in or trade with Crimea. The sanctions list was expanded to include 63 individuals and 21 companies and organizations.

In addition, Australia sends uranium to Russia.

On September 12, the European Union published a new sanctions list. Rosneft, Transneft, and Gazprom Neft fell under EU sanctions. The EU has banned the supply of dual-use goods to nine companies in the Russian defense sector; in particular, the list includes Oboronprom, United Aircraft Corporation (UAC), Uralvagonzavod, and Kalashnikov Concern.

The EU will allow European companies to provide Russian partners with services for the exploration and production of deep-sea and Arctic oil, as well as for shale oil projects.

The European Union accepted loans from a number of state banks of the Russian Federation and reduced the loan term.

The new one included State Duma deputies Svetlana Zhurova, Nikolai Levichev, Igor Lebedev, Ivan Melnikov, Alexander Babakov.

The United States blocked the assets of five Russian defense companies accessible to American jurisdiction. The sanctions list included Almaz-Antey (one of the world's largest manufacturers of air defense systems), the Research Institute of Instrument Engineering (a manufacturer of systems for combat aircraft and air defense systems), the Mytishchi Machine-Building Plant, the Kalinin Machine-Building Plant, as well as a company designated as "Research and production center in Dolgoprudny."

USA on access to the capital market for 6 Russian banks. The sanctions affect Sberbank, VTB and its subsidiary Bank of Moscow, Gazprombank, Rosselkhozbank, Vnesheconombank.

New US sanctions on Russian oil production companies, including Gazprom Neft, Lukoil and Rosneft. In addition, the list includes Gazprom, Surgutneftegaz, Transneft, and Rostec.

Canada announced an expansion of the list of sanctions against Russia. The new sanctions list included Sberbank and five defense enterprises of the Russian Federation: Research and Production Center in Dolgoprudny, OJSC Machine-Building Plant named after M.I. Kalinin (MZiK), OJSC Mytishchi Machine-Building Plant, OJSC Scientific Research Institute of Instrument Making named after V.V. Tikhomirov" (NIIP) and JSC Marine Research Institute of Radio Electronics "Altair" (JSC MNIRE "Altair"). The list of persons who were banned from entering Canada, and possible assets frozen, included Deputy Minister of Defense of the Russian Federation Yuri Sadovenko, Deputy Minister of Defense of the Russian Federation Dmitry Bulgakov, First Deputy General Staff of the Russian Armed Forces Nikolai Bogdanovsky and Commander-in-Chief of the Ground Forces of the Russian Federation Oleg Salyukov.

EU candidate countries Montenegro, Iceland and Albania, as well as Liechtenstein, Norway, members of the European Economic Area and Ukraine joined the EU sanctions package against Russia on September 12.

The European Union included in the sanctions list candidates for the November 2 elections of heads and parliaments of the self-proclaimed Donetsk and Lugansk People's Republics and representatives of the leadership of the LPR and DPR. The organizations subject to sanctions were the public organizations of the DPR "Donetsk Republic" and "Free Donbass", from the LPR - "Peace for the Lugansk Region", "People's Union" and "Lugansk Economic Union". In total, the list contains 13 names and 5 public organizations. Those on the list are prohibited from entering the EU, and their assets in the EU are frozen.

The Japanese government has imposed sanctions against a number of individuals and organizations in the Donbass. In total, there are 26 people on the list, as well as 14 organizations.

US President Barack Obama announced that he had signed a decree on new sanctions against Russia and its annexed Crimea.

The Decree prohibits new investments by US residents in the Crimean region of Ukraine, the import of goods, services, and technologies into the US from Crimea, as well as the export, re-export, sale and supply of goods, services and technologies from the US or by persons residing in the US to the Crimean region.

Applies to banks operating in Crimea, as well as to financial institutions directly or indirectly carrying out transactions with Crimea.

From the same day, the United States is against 24 citizens of Russia and Ukraine, as well as a number of companies. Among those under sanctions is Konstantin Malofeev’s Marshall Capital Partners fund. Also included in the list of sanctions are a number of leaders of Crimea and Donbass, as well as the biker organization Night Wolves.

Canada has added 11 more Russian citizens to its sanctions list. It included 10 parliamentarians, including the Deputy Speaker State Duma and the head of the United Russia faction Vladimir Vasiliev, deputies Leonid Kalashnikov (CPRF), Igor Lebedev (LDPR), Oleg Lebedev (LDPR), Deputy Chairman of the State Duma Nikolai Levichev (A Just Russia), First Deputy Chairman of the State Duma Ivan Melnikov (CPRF), deputies Viktor Vodolatsky (United Russia), Svetlana Zhurova (United Russia) and Vladimir Nikitin (Communist Party of the Russian Federation). In addition, the list included Deputy Chairman of the Federation Council Yuri Vorobyov, as well as the head of the representative office of the self-proclaimed Donetsk People's Republic (DPR) in the Russian Federation, Andrei Rodkin. Thus, the number of individuals who fell under Canadian sanctions has reached 77 people. The new package of sanctions also includes restrictions on the export of technologies used in the oil and gas industries.

EU sanctions against the economy and tourism industry of Crimea have come into force. In particular, ships providing cruise services are prohibited from entering the ports of Sevastopol, Kerch, Yalta, Feodosia, Yevpatoriya, Chernomorsk and the port of Kamysh-Burun. In addition, the European Union has expanded by more than six times the list of goods and technologies prohibited for delivery to Crimea and for use in Crimea in the fields of transport, telecommunications, energy and exploration, extraction and production of oil, gas and minerals. More than 160 items were included in the list.

Due to US sanctions, two international payment systems - Visa and MasterCard - decided to suspend servicing cards of Russian banks operating in Crimea.

EU diplomacy chief Federica Mogherini confirmed the extension of individual sanctions against Russia and Donbass militias until September 2015.

The European Union has announced a new list of individual sanctions against individuals whom the EU considers responsible for destabilizing the situation in Ukraine.

Canada announced the introduction of new sanctions against 37 individuals and 17 organizations from the Russian Federation and Ukraine.

It became known that by decree 13660 of March 6, 2014, US President Barack Obama extended sanctions against Russia for a year.

Russia's retaliatory sanctions

On March 20, in response to sanctions measures against a number of Russian officials and deputies of the Federal Assembly, the Russian Foreign Ministry published a list of officials and members of the US Congress who are denied entry into Russian Federation. The list included nine people.

On March 24, in response to Canadian sanctions, the Russian Foreign Ministry published a list of 13 Canadian officials, members of parliament and public figures Canada, which is denied entry into Russia.

On April 1, this list was replenished with 10 names, among them former Ukrainian Prime Minister Yulia Tymoshenko and Right Sector leader Dmitry Yarosh.

The official representative of the Russian Foreign Ministry, Alexander Lukashevich, said that Moscow took retaliatory measures to the expansion of sanctions lists from the US, EU and Canada, they are in many ways mirrored. At the same time, Russia will not publish the names of specific individuals against whom it is introducing sanctions in response to sanctions lists of Western countries. As the Foreign Ministry reported, those on the “stop list” will learn that they are on the Russian “black list” when they cross the Russian border.”

The head of the Chechen Republic Ramzan Kadyrov imposed sanctions against US President Barack Obama, European Commission President Jose Manuel Barroso, European Council President Herman Van Rompuy, EU High Representative for Foreign Affairs and Security Policy Catherine Ashton and European Parliament President Martin Schultz. Kadyrov ordered to freeze their bank accounts and any assets; the listed politicians are prohibited from entering the Chechen Republic.

Russia has restricted the import of a number of goods from countries that have imposed sanctions against it for a year.

On August 6, Russian President Vladimir Putin signed a decree on the use of certain special economic measures to ensure security. The relevant list includes beef, pork, fruits, poultry, cheeses and dairy products, nuts and other products.

The List of agricultural products, raw materials and food, the countries of origin of which are the United States of America, the countries of the European Union, Canada, Australia and the Kingdom of Norway, has been approved.

Later, goods that, for one reason or another, are difficult for Russia to replace were excluded from the list.

On August 11, the Russian government limited government purchases of foreign light industrial goods. According to the list of goods, foreign fabrics, outerwear and workwear, leather clothing, underwear, shoes, fur products and others are not allowed for purchases that are not related to the state defense order. The restriction does not apply to goods produced in the territory of Belarus and Kazakhstan and goods not produced in the Russian Federation.

The Japanese Ambassador to the Russian Federation, Tikahito Harada, was presented with a list of Japanese citizens whose entry into Russia is restricted in response to Tokyo's sanctions.

The material was prepared based on information from RIA Novosti and open sources

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Economic sanctions directed against Russia have different roots, structure, mechanisms and goals. A distinctive feature of these sanctions is their targeted focus, i.e., restrictions are imposed not on the state as a whole, as a single geo-economic entity, but on individual residents of the country: commercial structures and individuals. Also, it should be separately noted that sanctions come not only from individual sovereign states, but also from extraterritorial organizations.

Reasons for economic sanctions against Russia [RF].

The reasons for sanctions against Russia [RF] are complex in their basis and chronology. But they can be divided into political and financial-economic.

Political reasons for sanctions against Russia [RF] .

The leitmotif of the need to apply sanctions against Russia was its participation in the events that unfolded on the territory of the neighboring state - Ukraine. By the end of 2013, Ukraine began civil revolution which led to a coup d'etat. One [western and central] part of the population of Ukraine supported the coup d'etat, the other [southeastern] part of the country's population opposed it. Since the conflict of political and other interests was accompanied by acts of violence in different parts of the country, separate sentiments in Ukraine sharply increased in the southeast of the country. The Autonomous Republic of Crimea [and the city of Sevastopol] was the first to announce its secession from unitary Ukraine, holding a referendum on the formation of the Republic of Crimea on March 16, 2014, with the subsequent intention of joining Russia as a subject of the Federation. Russia supported the referendum with a military presence on the peninsula. In the referendum, 82.71% of voters voted, with a result of 96.77% in favor of joining the Russian Federation. On March 17, the leadership of the Republic of Crimea turned to Russia with a request to join as a subject. Ultimately, the Russian Federation recognized the referendum in Crimea and granted the request to annex the peninsula to Russia, since Crimea is of great strategic importance for the Russian Federation in the Black Sea region.

The international community, represented by states with developed market economies, primarily the United States, did not recognize the referendum in Crimea and considered the annexation of Crimea to Russia, despite the very will of the population of Crimea, an act of military aggression against the territorial integrity of Ukraine.

Separate trends also affected the east of Ukraine - the Donbass region. On the basis of the Lugansk and Donetsk regions of Ukraine, on May 11, 2014, the Lugansk People's Republic and the Donetsk People's Republic were proclaimed through a referendum. A war began in Ukraine, on the one hand, for the preservation of the territorial integrity of the unitary Ukrainian state, on the other hand, for the formation of a new [confederal] state entity “Novorossiya” on the basis of the south-eastern regions of Ukraine. Despite the fact that the Russian Federation to this day has not officially recognized the LPR and DPR and has not sent its peacekeeping troops into the territory of Ukraine, nevertheless, Western countries, including They are trying to blame Australia and Japan exclusively on Russia. Although the Western countries themselves are providing financial, humanitarian, technical and other assistance to the Ukrainian authorities in the current civil war, which automatically makes them complicit, i.e. equally responsible. The mutual participation of the parties in the Ukrainian conflict indicates the nature of the geopolitical confrontation. Therefore, the first reason is geopolitics.

Economic reasons for sanctions against Russia [RF] .

The collapse of the USSR had nominally three “positive” consequences for developed capitalist countries and their companies:

1. Manufacturers in developed capitalist countries got rid of their main competitor on the world market, and therefore got the opportunity to increase trade turnover and their share in the structure of the world market.

2. We received a new sales market in the countries of the former socialist bloc [Eastern Europe and the CIS].

3. We were able to acquire material assets in the post-Soviet space.

The semi-criminal privatization of Soviet industries in the 90s led to actual stagnation and disappearance from world markets of many types of Russian [Soviet] products. With the collapse of the USSR, the economy of the Russian Federation did not have many industries capable of competing in the world market.

Competitive sectors of the economy of the Russian Federation [RF]:

1. Oil and gas industry.

2. Defense-industrial complex [DIC, military-industrial complex].

3. Nuclear energy.

4. Aviation and space industry.

5. Banking sector.

6. Other.

De facto, the main industry and engine of economic growth in Russia has become the oil and gas industry, whose products in the structure of Russian exports range from 50% to 80% annually. The main market for Russian exports is the European Union, whose share in trade turnover is up to 50%. The increase in demand and prices for oil and gas on the world market provided the Russian economy with liquidity and an influx of foreign currency. There is a tendency towards mutual dependence of the economies of the Russian Federation and the EU, the European Union depends on the supply of Russian energy resources, Russia depends on foreign exchange earnings from the European Union.

The deepening of economic cooperation between the European Union and Russia has allowed the Russian Federation to accumulate sufficient financial resources to begin the process of equalizing [diversifying] the economy and revitalizing other potentially competitive industries.

Since 2007, the process of forming state corporations and consolidating the share capital of enterprises in various strategically important sectors of the Russian economy under their leadership began in Russia. This is how Russian state corporations [Rostec, Rusnano, Rosatom, Vnesheconombank, etc.] and large industry [state and semi-state] companies [Gazprom, Rosneft, Sberbank of Russia, etc.] took shape. etc.], which began to increase their presence in the world and, above all, the European market.

Accordingly, by 2007, industry [state and semi-state] companies had formed in Russia, which began to compete globally with leading transnational companies and corporations in developed capitalist economies, primarily the United States.

From the above two assumptions can be made:

1. The Ukrainian conflict is a convenient formal reason for limiting [eliminating] competition from Russian companies in the world and, above all, the European market. Because transnational companies in developed economies are not interested in a [prospective] reduction in their share and increased competition in the global market.

2. The mechanisms chosen to eliminate competition from Russian companies are not market ones, but political ones, through the information and political lobby.

Economic sanctions against Russia [RF] by industry.

If you analyze the sectoral structure of sanctions against Russia [RF], you will find that the sanctions are directed against key [i.e. e. competitive] sectors of the Russian economy: oil, gas, nuclear and military industries of the Russian Federation, as well as against Russian banking capital.

Since the lion's share of Russia's exports is aimed at the European market, in practice sanctions directed against the Russian Federation mean ousting Russian companies from the European market. Let's take a closer look.

Sanctions against Russia [RF] in the oil industry [sphere]. Industry trends and background.

The global oil and oil production market is mostly controlled by American and British transnational companies: ExxonMobil, Shell, BP, Chevron, ConocoPhillips, and others. Shareholders of many national oil producing companies different countries There are also American and British companies or capitals, at least they own a certain share, and therefore income.

Since 2007, domestic oil production in the United States has been growing. If in 2006 the United States produced 8,316 thousand barrels of oil per day daily, then in 2013 daily oil production already amounted to 12,304 thousand barrels. That is, the growth in oil production in the United States from 2006-2013 amounted to 48%.

Along with the increase in domestic oil production in the United States, the need for its imports decreased. If in 2005 the United States needed to import 12,477 thousand barrels of oil daily, then in 2013 this need was reduced to 6,582 thousand barrels per day, i.e., in fact, by half.

The second largest consumer of oil after the United States is the European Union. Europe's daily need for oil ranges from 13 to 15 million barrels. Continental Europe is 90% dependent on oil imports, and this dependence is only increasing due to the fall in domestic production. The only oil exporting country in Europe is Norway [not a member of the EU], it produces 1.8 million barrels per day, of which it exports 1.19 million. All other European countries are, to a greater or lesser extent, oil importers. Therefore, the EU is the most promising and attractive market for oil exporters. A third of oil supplies [more than 5 million barrels per day] to Europe are provided by Russia. Due to the increase in oil production volumes within Russia, Russian oil companies are ready to meet the growing demand in the European market.

But a significant increase in oil production within the United States is forcing American and British oil companies, which previously supplied Middle Eastern [and elsewhere produced] oil to the United States, to look for alternative markets for the “liberated” oil [≈ 6 million barrels/day] and Europe in in this case seems to have no alternative. Because the European Union is stable, consumes a lot and is solvent. So it turns out that American and British oil companies are ready to satisfy the European oil market, but are faced with the expansion of Russian oil [state] companies.

Conclusion from the premise: Ukraine seems to be a convenient reason to activate the information and political lobby, which, through sanctions, indirectly, will squeeze Russian oil companies out of the European market and allow American and British companies to take their place and market share.

Vectors of imposed sanctions in the oil industry:

· Sanctions against Russian oil companies and their subsidiaries, as well as auxiliary companies in the industry.

· Ban on the export of oil production and refining technologies to Russia.

· Refusal joint projects in the oil sector and investing in promising projects.

Sanctions against Russia [RF] in the gas industry [sphere]. Industry trends and background.

Russia is the world's largest producer of natural gas. The monopolist in the Russian gas sector is the semi-state company Gazprom, which managed to monopolize the export of not only Russian gas, but also that produced by the CIS countries. ≈ 40% of the gas produced in post-Soviet countries is exported to Europe, which accounts for 80% of the total gas exports. The Gazprom company annually covers a third of Europe's gas needs. The dependence of individual European countries on Russian gas varies greatly: from 0 to 100%.

The situation with gas is partly similar to the situation with oil, with some differences. The European Union covers a third of its gas needs own production, a third - supplies from Gazprom. A quarter of consumption is provided by gas from Norway and Algeria. The remaining part of the gas demand is provided by supplies of liquefied natural gas from the Middle Eastern countries and other regions. If Russia seeks to diversify gas supply channels to Europe, then the European Union seeks to diversify the suppliers themselves. And here the following trend is noted.

Since the early 2000s, American companies, in particular Devon Energy Corporation, Chesapeake Energy, ExxonMobil, Royal Dutch Shell, BHP Billiton and others, began to invest huge amounts of money in the development of unconventional gas sources. Since 2006, the United States has experienced rapid growth in gas production. The so-called “shale revolution” is taking place. The shale boom by 2010 led to an excess supply of gas on the domestic market, and by 2012 to a collapse in gas prices in the United States.

The logic of maintaining industry liquidity, with further rapid growth in gas production volumes within the United States, requires American companies to search for a sales market. Gas market saturation North America cannot influence the trend of falling prices. Therefore, American companies in the near future need large sales markets, primarily in Europe and Asia. Supplying “cheap” American gas to the European market, where the average market price for gas exceeds $400, seems to be mutually beneficial for both the United States and Europe.

The problem of exporting American gas to the European market is currently limited by three main factors:

The first limitation is the lack of a sufficient number of LNG regasification terminals in Europe. Currently there are only 20 of them, their throughput capacity is 198 billion m3/year. 6 terminals under construction. After their commissioning, the throughput capacity will increase by 30 billion m3/year.

The second limitation is the lack of LNG export terminals in the United States. The first such terminal is being built in Louisiana.

The third limitation is the current long-term contracts with Gazprom for the supply of Russian gas to the EU.

Although the lion's share of Gazprom's revenues depends on gas exports, the company is not limited to developing gas fields in Russia alone, but operates all over the world, in particular in Libya, Uzbekistan, Kyrgyzstan, Kazakhstan, India, Vietnam, Venezuela, Iran, Nigeria etc. That is, de facto, the Russian state-owned company is a global competitor in the world gas market.

When the United States resolves the issue of export terminals with sufficient capacity, and Europe with import terminals, Gazprom will begin to be systematically and more actively squeezed out of the European market.

Conclusion from the premise: It is unlikely that sanctions will be applied to Gazprom in the coming years, due to the lack of technical feasibility alternative gas supplies to the EU at present. But since the European market looks extremely promising for American and British companies, the sanctions currently imposed will be aimed at all promising Gazprom projects, both within Russia and abroad.

Vectors of sanctions imposed in the gas industry:

· Sanctions against Russian gas companies and their subsidiaries, as well as industry support companies.

· Refusal of joint projects in the gas sector and investment in promising projects.

Sanctions against Russia [RF] in the financial and banking industry [sphere]. Industry trends and background.

The promotion of large businesses to foreign markets is most often associated with the promotion of bank capital to these markets. Strengthening positions Russian business in the European market was associated with the expansion of Russian banking capital into the European market, with the aim of supporting Russian export companies and the participation of Russian capital in large international investment projects. Financial reserves, accumulated by the Russian Federation, allowed Russian state and semi-state banks in the first years after the global financial crisis to begin acquiring foreign banking assets and expanding their branch network abroad. Moreover, many banks in Europe and the world find themselves in difficult financial situation and sold readily.

The locomotives of the Russian banking sector have become semi-state banks - Sberbank of Russia OJSC, VTB OJSC [Vneshtorgbank], Gazprombank OJSC and others.

Sberbank of Russia: To date, it has managed to develop markets in 20 countries. In addition to Russia, open direct representative offices in Ukraine, Belarus, Kazakhstan, Germany (Munich), China and India. Acquired assets in Switzerland - SLB; Austria - Volksbank International AG, with a branch network in Hungary, Bosnia and Herzegovina, Croatia, Romania, Serbia, Czech Republic, Slovakia, Slovenia, Ukraine; Turkey - Denizbank, with a branch network in Turkey, Russia, Austria, Cyprus. Is the largest commercial bank Russia and Europe.

Vneshtorgbank [VTB]: The second largest bank in Russia in terms of assets, operates in the financial market of many countries, has representative offices in Ukraine, Belarus, Armenia, Kazakhstan, Azerbaijan, Georgia, Angola, Great Britain, Singapore, UAE, Germany, France, Serbia.

Vnesheconombank: Since 2007, it has been a state corporation whose goal is to provide and attract financial resources for the implementation of large investment projects, support exports and service external public debt. It has representative offices in many countries, participated in the financing of large infrastructure projects (construction of the Ford Sollers plant, reconstruction of Pulkovo Airport, construction of Olympic facilities in Sochi, support for Skolkovo projects and companies, etc.).

Gazprombank: Industry bank, third in Russia in terms of assets. Participates in the financing of large international projects in the oil and gas industry both within Russia and abroad [Europe, Asia]. In particular, he participates in the projects for the construction of the Blue Stream and Yamal-Europe gas pipelines, and in the development of the European gas transmission system. It also serves companies in the mechanical engineering, chemical, nuclear and other industries. Presented in Russia, Switzerland, Armenia, Belarus, China, India, Mongolia.

Conclusion from the premise: the growth of foreign exchange reserves and capitalization of Russian banks, as well as the financial difficulties [caused by the global financial crisis] of the world's leading banking institutions, allowed Russia to expand into foreign financial markets and gain a foothold in them in order to support Russian companies abroad. Leading Russian [state] banks operationally and financially support the activities of oil and gas, nuclear, aviation, defense, information and other companies in Russia in foreign markets. The introduction of sanctions against Russian banks will expand the tools for ousting Russian companies from foreign markets, and above all, European ones.

Vectors of imposed sanctions in the banking industry:

· Freezing of Russian financial assets of individuals and legal entities.

· Disconnection of Russian banking structures from international payment systems.

· Reduction of client portfolio abroad.

· Restriction of access to investment projects.

· Limitation of access to external borrowings [credits].

· Restriction of financial freedom of Russian companies abroad.

· Other.

List of Russian companies subject to sanctions against Russia [RF].

Company
Volga Resources Group
Business Security Academy
JSC "Feodosia"

GAO "Chernomorneftegaz"
State Corporation "Bank for Development and Foreign Economic Affairs (Vnesheconombank)"
GC NPA "Massandra"
State Enterprise "Agrofirm "Magarach""
SE "Azov Distillery"
SE "Champagne Wine Factory "New World"
State Enterprise "Kerch Sea Trade Port"
State Enterprise "Sevastopol Sea Trade Port"
State Enterprise "Universal-Avia"
GSK "Kerch Ferry"
CJSC "Zest"
CJSC Channel One. World Wide Web"
News Agency "Russia Today"
IR "Abros"
Institute of Radio Engineering and Electronics RAS
NIViV "Magarach"
NPO "Basalt"
NPO "Izhmash"
OJSC "Bank "Russia"
OJSC "Bank of Moscow"
OJSC "Vneshtorgbank - VTB"
OJSC "Gazprombank"
OJSC "InvestCapitalBank"
OJSC Concern Kalashnikov
OJSC NK Rosneft
OJSC "NPK "Uralvagonzavod"
OJSC "Rosselkhozbank"
OJSC "Russian National Commercial Bank"
OJSC "Sberbank of Russia"
OJSC "Stroytransgaz"
OJSC "Military-Industrial Corporation "NPO Mashinostroeniya""
OJSC "Voentelecom"
JSC "Instrument Design Bureau"
JSC "Concern "Sozvezdie""
OJSC Air Defense Concern Almaz-Antey
JSC Novatek
JSC "United Shipbuilding Corporation"
OJSC "RosEnergoBank"
OJSC "Television Company NTV"
OJSC Expobank
JSC Concern "Radioelectronic Technologies"
LLC "Nuklin"
Avia Group Nord LLC
Avia Group LLC
LLC "AquaNika"
LLC "Pumps Ampika"
OOO " Russian time"
LLC "Sakhatrans"
LLC "Stroytransgaz"
LLC "Stroytransgaz-M"
Transoil LLC
LLC "Dobrolyot"
Sanatorium "Nizhnyaya Oreanda"
OJSC "SMP Bank"
OJSC "Sobinbank"

Sanctions against Russia [RF]: list of countries and industries.


	Australia



	Bulgaria
	Great Britain

	Germany


	Ireland
	Iceland






	Liechtenstein
	Luxembourg

	Moldova
	Netherlands
	New Zealand
	Norway

	Portugal

	Slovakia
	Slovenia
	United States

	Finland

	Croatia
	Montenegro

	Switzerland

Countries that did not support sanctions against Russia [RF]: China, Brazil, India, South Africa.

Sanctions against Russia [RF]: list of extraterritorial organizations.

List of extraterritorial organizations
Organization for Economic Cooperation and Development
North Atlantic Treaty Organization
European Union
Council of Europe
European Organization for the Safety of Air Navigation
Big Eight
Financial Action Task Force on Money Laundering
European Bank for Reconstruction and Development

Sanctions against Russia [RF]: list of international companies that have officially recognized and/or supported the sanctions.

Companies










Deutsche Post AG






International Paper Company











Regent Seven Seas Cruises
Renault Trucks Defense





Windstar Cruises

Effect and consequences of sanctions against Russia [RF].

An analysis of the sanctions shows that they are aimed at limiting the presence of Russian [state] companies in various segments of the world and, above all, the European market, which accounts for half of the foreign trade turnover of the Russian Federation. Relying not on market competition, but on political and information mechanisms, Western [primarily American and British] companies, through the international lobby, have the opportunity in the future to increase their share in the desired segments of the European market. Civil War in Ukraine it acts as a convenient formal reason for action.

The rapid growth of oil and gas production within the United States is leading to a global redistribution of the world market in this segment. Currently, the struggle for the European market is unfolding.

If the current sanctions are maintained or expanded, we can expect a decrease in the share of Russian companies in the oil [and eventually in the gas] market of Europe and their replacement by American and British companies that previously worked on the US market.

Russia's dependence on the supply of raw materials to the EU market sooner or later had to make itself felt; accordingly, diversification of sales markets becomes a priority task for the Russian economy, requiring accelerated resolution.

The complete economic isolation of Russia looks doubtful in view of the deep integration of world capitals. For example, the United States and the EU, by imposing sanctions against Rosneft, infringe on the interests of the British company BP, which owns 19.75% of the company's shares. Restrictions on the supply of Russian gas to the EU market, which is currently impossible, will affect the income of the Bank of New York, which owns a 27% stake in Gazprom. The situation is similar with other industries. Those companies that suffer the most from sanctions are those in which the share of foreign capital is lower and the share of the Russian Federation or its residents is higher.

The world economy may suffer from economic confrontation between the Russian Federation and the EU/USA.

Russia is among the world leaders in oil and gas production, and an escalation of the conflict with it could lead to a global increase in oil and gas prices, which could significantly aggravate the already difficult post-crisis economic situation of developed capitalist economies.

Economic sanctions directed against the Russian Federation have different roots, structure, mechanisms and goals. A distinctive feature of these sanctions is their targeted focus, i.e. restrictions are imposed not on the state as a whole, but on individual residents of the country: commercial structures and individuals.

Reasons for imposing sanctions against Russia

Basic measures

Russian intervention in the situation on the Crimean Peninsula in February - March 2014;

Russian support for the unilateral declaration of independence of the Republic of Crimea;

The entry of the Republic of Crimea into the Russian Federation, which is considered a violation of the territorial integrity of Ukraine;

Failure to comply with the terms of the Geneva Convention of April 17, 2014 Sectoral measures

“Moscow’s support for militias in eastern Ukraine”;

“Not promoting a peaceful resolution of the conflict in eastern Ukraine, and also not facilitating access for international experts to the site of the Malaysian airliner crash.”

The initiator of the introduction of sanctions with the aim of international isolation of Russia was the US leadership, under whose strong pressure, at the risk of suffering huge economic damage, the EU countries joined the sanctions. The sanctions were also supported by the G7 states and some other countries that are partners of the United States and the EU.

In mid-March 2014, after Russia, despite warnings, recognized the results of the Crimean referendum, supported the unilateral declaration of independence of the Republic of Crimea and accepted its proposal to join Russia, the United States and the European Union, Australia, New Zealand and Canada put into effect first package of sanctions. These measures included asset freezes and visa restrictions for designated individuals, as well as a ban on companies in sanctioned countries from doing business with designated individuals and entities. In addition to these restrictions, a curtailment of contacts and cooperation with Russia and Russian organizations in various fields was also undertaken.

Then the expansion of sanctions (April-May) was associated with the aggravation of the situation in eastern Ukraine. The organizers of the sanctions accused Russia of actions aimed at undermining the territorial integrity of Ukraine.

The next set of sanctions was related to the crash of a Boeing 777 in the Donetsk region on July 17, 2014, which, according to the leadership of a number of states, was caused by the actions of rebels supported by Russia.

Thus, main reason Russia's actions during the crisis in Ukraine led to the introduction of sanctions: the West considered that they threatened civil peace and the territorial integrity of Ukraine.

The sanctions lists were expanded more than ten times, with mainly state-owned companies and entire sectors of the Russian economy becoming new defendants. The last time the EU expanded its sanctions lists was on February 16. Five Russian citizens were sanctioned, including singer and deputy Iosif Kobzon, 14 residents of eastern Ukraine and nine militia groups. On February 18, Canada imposed sanctions against Rosneft.

As a result, more than 150 people were sanctioned - officials, businessmen, politicians, military personnel and journalists. Assets have been frozen, transactions and the issuance of long-term loans to the largest banks with state participation: Sberbank, VTB, Vnesheconombank, Gazprombank, Rosselkhozbank and others are prohibited. The supply of equipment and technologies for the development of oil and gas fields to Russia is prohibited, which, in essence, has suspended the modernization of the fuel and energy complex. Private companies have also joined the official bans. For example, ExxonMobil stopped 9 out of 10 projects in Russia.

Companies and scientific institutes associated with the defense industry were sanctioned. Military cooperation between the United States and the EU with Russia, including joint exercises, has been suspended, and restrictions have been imposed on the export and import of weapons and defense industry products.

In response, President Vladimir Putin banned the import of a number of food products from countries participating in sanctions against Russia.

If you analyze the sectoral structure of sanctions against Russia, you will find that they are directed against the key ones, i.e. competitive sectors of the Russian economy: oil, gas, nuclear and military industries, as well as against Russian banking capital.

Since a huge share of Russia's exports is aimed at the European market, in practice the introduction of sanctions means ousting Russian companies from the European market.

Vectors of imposed sanctions in the oil industry :

· Sanctions against Russian oil companies and their subsidiaries, as well as auxiliary companies in the industry.

· Ban on the export of oil production and refining technologies to Russia.

· Refusal of joint projects in the oil sector and investment in promising projects.

Vectors of sanctions imposed in the gas industry :

· Sanctions against Russian gas companies and their subsidiaries, as well as auxiliary companies in the industry.

· Refusal of joint projects in the gas sector and investment in promising projects.

The promotion of large businesses to foreign markets is most often associated with the promotion of bank capital to these markets. Strengthening the position of Russian business in the European market was associated with the expansion of Russian banking capital into the European market, with the aim of supporting Russian export companies and the participation of Russian capital in large international investment projects. The financial reserves accumulated by the Russian Federation allowed Russian state and semi-state banks in the first years after the global financial crisis to begin acquiring foreign banking assets and expanding their branch network abroad. Moreover, many banks in Europe and the world found themselves in difficult financial situations and were willing to sell.

The locomotives of the Russian banking sector have become semi-state banks - OJSC Sberbank of Russia, OJSC VTB [Vneshtorgbank], OJSC Gazprombank and others.

Sberbank of Russia: To date, it has managed to enter the markets of 20 countries. In addition to Russia, open direct representative offices in Ukraine, Belarus, Kazakhstan, Germany (Munich), China and India. Acquired assets in Switzerland - SLB; Austria - Volksbank International AG, with a branch network in Hungary, Bosnia and Herzegovina, Croatia, Romania, Serbia, Czech Republic, Slovakia, Slovenia, Ukraine; Turkey - Denizbank, with a branch network in Turkey, Russia, Austria, Cyprus. It is the largest commercial bank in Russia and Europe.

Vnesheconombank: Since 2007, it has been a state corporation whose purpose is to provide and attract financial resources for the implementation of large investment projects, support exports and service external public debt. It has representative offices in many countries, participated in the financing of large infrastructure projects (construction of the Ford Sollers plant, reconstruction of Pulkovo Airport, construction of Olympic facilities in Sochi, support for Skolkovo projects and companies, etc.).

Vectors of imposed sanctions in the banking industry :

· Freezing of Russian financial assets of individuals and legal entities.

· Disconnection of Russian banking structures from international payment systems.

· Reduction of client portfolio abroad.

· Restriction of access to investment projects.

· Limitation of access to external borrowings [credits].

· Restriction of financial freedom of Russian companies abroad.

· Other.

Countries that did not support sanctions against Russia [RF]: China, Brazil, India, South Africa.

Thus, all anti-Russian sanctions can be divided into two groups: political and financial-economic.

Russia's response to sanctions

The Russian response was asymmetrical - on August 6, Vladimir Putin signed a decree introducing a food embargo - a ban on the import of milk, meat, fish, vegetables, fruits and nuts from countries that have imposed sanctions against Russia. On August 20, lactose-free milk and dietary supplements, including vitamins and sports nutrition, fish fry and seed material for potatoes.

The media assessed the embargo, on the one hand, as a chance for Russian agricultural producers (the most common promise was to fill store shelves with high-quality and healthy products), on the other hand, as a factor that will lead to higher prices, since, despite investments in the agro-industrial complex, producers cannot sharply increase production to make up for imports (30% pork, 60% milk, etc.). In addition, many publicists “revived” fears of empty shelves and monotony of assortment, forgotten since Soviet times, since sausages, cheeses and various delicacies were banned. Excited citizens were responded with a flood of notes in the federal media about cheese factories in Kostroma, Yakutia and Bryansk - where they mastered the technology of producing cheeses according to Italian recipes. There were also jokes about Belarusian salmon (in Belarus for many years they have been processing Norwegian salmon, the import of which was banned in Russia) and “black schemes” of food trade, for example, the import of goods into Russia through countries Customs Union.

Let's look at the main retaliatory sanctions.

Sanctions	Status
Entry ban for a number of officials and members of the US Congress, as well as citizens of Canada, the EU, the USA, and Japan	Introduced from March 2014. For Japan from August 2014.
Intensifying efforts to create our own national payment system	On March 27, 2014, President of the Russian Federation Vladimir Putin approved the creation of a national payment system in Russia
Import ban individual species agricultural products, raw materials and food	Introduced for 1 year from August 6, 2014 by Decree No. 560
Limitation of government purchases of light industry goods from foreign suppliers. These measures apply to all states, with the exception of members of the Customs Union	The decision comes into force on September 1, 2014.
Limitation of government purchases of cars and special equipment assembled abroad.	Introduced on July 14, 2014

August 6, 2014 Prohibition on the import into the Russian Federation of agricultural products, raw materials and food, the country of origin of which is a state that has decided to impose economic sanctions against Russian legal entities and (or) individuals or has joined such a decision:

♦ Meat and food by-products and products;

♦ Fish and seafood;

♦ Milk and dairy products;

♦ Vegetables, edible roots and tubers;

♦ Fruits and nuts;

♦ Prepared products, including cheeses and cottage cheese.

The Russian government excluded from the sanctions list:

♦ lactose-free milk;

♦ salmon and trout fry;

♦ seed potatoes, onions, hybrid sweet corn;

♦ biologically active additives.

Changes for operators of international payment systems (including VISA, Mastercard):

♦ Security contributions to the Central Bank equal to two days’ turnover;

♦ Fines for:

Failure to make a contribution;

Blocking bank cards of Russian credit institutions unilaterally.

You can avoid making a contribution in the following cases:

♦ Localization of processing in Russia

♦ Obtaining the status of a nationally significant payment system

"On establishing a ban on the admission of light industrial goods originating from foreign countries for the purpose of procurement to meet federal needs."

The restrictive list includes: fabrics, textiles, ropes, nets, outerwear, workwear, pullovers, cardigans, stockings and socks, underwear, furs, leather, suitcases, shoes and soles.

Bypassing the ban

♦ Possible only in the absence of corresponding production in the countries of the Customs Union.

♦ It is necessary to obtain an opinion from the Ministry of Industry and Trade.

"On establishing a ban on the admission of certain types of mechanical engineering goods originating from foreign countries for the purposes of procurement to meet state and municipal needs"

The ban will affect:

Cars of officials, public transport, as well as municipal and construction equipment.

Participation in tenders

Foreign producers will have to:

♦ open production in Russia

♦ maintain the required level of production localization.

The level of localization will increase over the years. Now it ranges from 30 to 40% for different enterprises, and should reach 60-70% by 2018.

What conclusions can be drawn from the above?

“Much depends on the duration of the sanctions and on new targeted steps by the government to stimulate specific sectors of the economy.

While the situation is uncertain, I think few investors and entrepreneurs will seriously invest in the development of production - they will rather engage in schemes to circumvent restrictions.”

“After the introduction of mutual sanctions, we decided to focus on working with the markets of CIS members, primarily Belarus and Kazakhstan.

The adoption of sanctions has already had a negative impact on the Russian economy, since due to the increase in exchange rates, prices for Euro- and dollar-dependent products began to rise. Moreover, prices for goods that were traditionally traded in the ruble zone are rising. Negative dynamics are recorded throughout the year: a sharp increase in the cost of raw materials today has reached an unprecedented level of 16%.”

In early August, the United States published a congressional bill introducing new sanctions against individuals and companies in the Russian Federation, as well as against public debt, which caused panic in the foreign exchange markets. At the same time, the US State Department announced that President Trump had signed a ban on the supply of dual-use electronics to Russia, which will come into force on August 22. According to the Ministry of Finance of the Russian Federation, the measures presented will not cause serious damage to the country’s economy as a whole.

On August 8, 2018, the American Congress announced new US sanctions against the Russian Federation, including measures to different directions. The State Department did not stand aside either. He also announced the introduction of new restrictions.

*Congress*	*State Department*
prohibition on the work of American citizens and on any cooperation with: state-owned energy companies; oil producing and oil refining organizations.	ban on flights to the USA operated by Aeroflot aircraft
ban on entry into the United States, seizure of property and accounts of entrepreneurs and political figures close to Vladimir Putin	ban on export to Russia of dual-use components and electronic devices
individual restrictions for persons engaged in illegal activities on the Internet and interfering with political processes America	Further downgrading of diplomatic relations

Who wants to impose sanctions against the Russian Federation

Three US governance structures plan to introduce new sanctions against the Russian Federation at once:

Congress;
State Department;
President Trump personally.

The most stringent and aggressive proposals are from Congress. The President proposes a softer solution to the issue.

Why are new sanctions being introduced?

The US Congress announced the bill “Protecting American Security from Kremlin Aggression,” developed jointly by Democratic and Republican senators, introducing restrictions on working with Russian state banks and external public debt. The basis was:

the ongoing, according to congressmen, interference of the Russian Federation in the electoral process in the United States;
actions of the Russian Federation in Ukraine;
spread of chaos in Syria.

The State Department decided to impose sanctions because of the Skripal case, i.e. due to Russia's use of chemical weapons.

Important! The State Department sanctions are not imposed at the request of President Trump, but according to American legislation providing for restrictive measures for the use of chemical weapons.

The Trump administration, for its part, is developing a decree imposing sanctions for interference in American elections.

What sanctions are proposed to be introduced?

The US Congress sanctions bill provides for the introduction of the following restrictions:

personal restrictions against Russian politicians and entrepreneurs who promote illegal activities at the direction of President Putin, direct or indirect - entry ban, seizure of accounts and property;
a ban on cooperation with Russian oil companies, including the employment of American citizens in them, as well as investments in;
Individual restrictions will be imposed on all individuals found to be conducting illegal activities in cyberspace and interfering in American political processes.

As part of personal restrictions, American insurance companies are required to report to government authorities about persons and companies from Russia purchasing in the United States. If Congress decides that this person close to Putin, the property will be seized.

Reference! This is not the first time that the United States has tried to impose sanctions against Russian government debt, but these initiatives have not yet received development.

US State Department sanctions:

a ban on the supply of dual-use components and electronic devices to the Russian Federation;
a ban on aircraft flying into the US;
decline in the level of diplomatic relations.

A complete ban on the export of American-made goods to Russia is also possible. However, there are exceptions - these are areas of cooperation such as space, i.e. the ban will not apply to electronic devices necessary for the development of the space industry.

The decree of President Donald Trump, in fact, does not introduce new restrictions, but only gives him permission to personally introduce them, against individuals and foreign companies spreading disinformation and interfering in US elections. The President is given the right to impose restrictions on ten of the thirty largest companies in any state.

Important! As of today, Congressional sanctions and Trump’s Executive Order are just a draft. They are subject to change. In reality, only the first package of State Department restrictions comes into effect on August 22.

Timing of sanctions

The State Department's measures are divided into two packages. The first, which will come into force on August 22, implies restrictions on the supply of dual-use electronics. The second package is planned to be introduced in three months, i.e. in the end of November. It may include all other declared measures of influence.

Consequences

The head of the Russian Ministry of Finance, Anton Seluyanov, is confident that, first of all, American investors will suffer from the new measures, since the ban on the purchase of Russian debt bonds deprives them of a guaranteed stable income.

In connection with the latest news, the Ministry of Finance and analysts provide three possible options consequences:

positive;
negative;
moderate.

According to the first, positive scenario, restrictions will be expanded only by adding new companies and individuals to “black” lists. This will not cause any significant damage to the Russian economy, since this type of impact has been used by the Americans for several years and everyone has already become accustomed and adapted to it. This particular scenario is considered the most likely. The explanation for this is simple: the ban on holding and purchasing Russian debt securities has negative consequences, first of all, for the Americans themselves. Investors are in no hurry to sell Russian debt bonds. In addition, in recent days the Ministry of Finance has successfully placed additional issues of securities in the amounts of 15 and 25 million rubles.

Important! Currently, the market is experiencing an increase in quotes for Russian federal loan bonds. Of course, in connection with this, their yield decreased by 7%, but this confirms the demand for securities.

The moderate scenario for the development of events provides for the introduction of restrictions against government debt, but only on new issues of securities. In this case, American investors will have to be replaced. The Central Bank and the Ministry of Finance are already preparing for this option, but do not expect a significant impact on the country’s economy.

In the worst case scenario, US sanctions on Russia's national debt will be imposed in full. This will entail:

releasing a large number of securities onto the market in the shortest possible time;
within 30%;
losses for holders forced to sell securities.

The expert opinion of analysts on the consequences of the introduction of new sanctions can be found by watching the video

According to Maria Zakharova, a representative of the Russian Foreign Ministry, Russia is preparing retaliatory “mirror” sanctions. They are being worked on and will be adopted depending on US actions.

What sanctions have already been introduced in 2018

Since the beginning of 2018, the United States and the European Union have already imposed sanctions against Russia.

Table 2. US and EU sanctions against the Russian Federation introduced in 2018

*When entered*	*USA*	EU
January	expansion of the sanctions list introduced in connection with the events in Ukraine. Added 21 citizens of Ukraine and Russia and 21 companies
January	restrictive measures against politicians and entrepreneurs, as well as their families. The list includes 210 names and is divided into 4 parts: Administration of the President; oligarchs; cabinet of ministers; other political leaders
March	The sanctions list has been expanded: 13 people have been added, including representatives of the FSB and GRU	expulsion of Russian diplomats from a number of EU countries in connection with the case of Sergei and Yulia Skripal
March	closure of the Russian Consulate General in Seattle
April	restrictive measures against politicians and entrepreneurs, as well as their families: seizure of accounts, entry ban. The list includes 38 people and 14 companies
April	extension for a year of sanctions imposed in 2014 in connection with the conflict in Ukraine and the annexation of Crimea to Russia.
June		extension of the sanctions imposed in 2014 for another six months.