More Russia Sanctions are on the Way

Last night, President Biden spoke with President Zelenskyy of Ukraine. In the public statement issued after the call, President Biden said that today he would be “meeting with the Leaders of the G7, and the United States and our Allies and partners will be imposing severe sanctions on Russia.”

Earlier this week we described the first round of sanctions, which were targeted at the “Covered Regions” in Eastern Ukraine. The next round of sanctions will probably described businesses and people in Russia with whom business is restricted. One of the areas of potential sanctions that is being discussed in Washington is specific export restrictions on aerospace products and articles.

In addition, Janet Yellen has signed a determination that limits financial transactions with Russia.

ASA members should be cautious about transactions with Russia and in particular should watch carefully for more export sanctions that may more directly target Russia.

UPDATE: This afternoon (Feb. 24th) President Biden announced that the United States and the G-7 will be imposing additional sanctions on Russia. Based on a recent background statement by a senior administration official, it appears likely that these will include export restrictions. As soon as the details become available, we will be posting a blog article about them.

Also, the Treasury Department issued a new directive that will restrict certain transactions with the following businesses:

x CREDIT BANK OF MOSCOW PUBLIC JOINT STOCK COMPANY
x GAZPROMBANK JOINT STOCK COMPANY
x JOINT STOCK COMPANY ALFA-BANK
x JOINT STOCK COMPANY RUSSIAN AGRICULTURAL BANK
x JOINT STOCK COMPANY SOVCOMFLOT
x OPEN JOINT STOCK COMPANY RUSSIAN RAILWAYS
x PUBLIC JOINT STOCK COMPANY ALROSA
x PUBLIC JOINT STOCK COMPANY GAZPROM
x PUBLIC JOINT STOCK COMPANY GAZPROM NEFT
x PUBLIC JOINT STOCK COMPANY ROSTELECOM
x PUBLIC JOINT STOCK COMPANY RUSHYDRO
x PUBLIC JOINT STOCK COMPANY SBERBANK OF RUSSIA
x PUBLIC JOINT STOCK COMPANY TRANSNEFT