Against sanction evasion
Berlin wants a “Not for Russia” clause on exports
05/11/2023, 07:45 am
A large number of sanctions were imposed on Moscow, but goods that can also be used for military purposes reach Russia via detours. How to put a stop to that? Germany dares to push forward with a Russia clause.
In the fight against circumventing sanctions against Russia, the German government wants companies to be held more accountable. According to EU sources, the German ambassador to the EU made a proposal to this effect during negotiations in Brussels the day before. According to this, companies from non-EU countries could in future have to contractually undertake when purchasing certain goods in the EU not to export them later to Russia. In addition, the importers should also assure in writing that they will only resell these goods to other companies if they also sign a “Not for Russia” clause.
According to information from EU circles, such a rule could apply above all to the export of goods that can be used not only for civilian but also for military purposes. These include, for example, night vision devices and drones. The background to the German proposal is the current negotiations on an eleventh package of sanctions against Russia. Above all, it is intended to combat the circumvention of the penal measures that have already been issued. Among other things, the EU Commission has proposed creating the legal possibility of restricting selected exports to certain third countries due to suspected circumvention of sanctions.
Many products from the EU countries themselves have not been allowed to be delivered to Russia for months. According to diplomats, however, the Commission’s proposal is not viewed unreservedly positively by all EU countries. The danger is that some member states may not have the courage or the will to put countries like China on such a list because of possible retaliatory measures. In this case, the instrument would only help if its mere existence had a deterrent effect. This is because the approval of all 27 EU states would be required for the listing of each country and each product.
China, Kazakhstan or Armenia as bypass routes
In addition to China, countries that are used to circumvent sanctions against Russia include Kazakhstan, Armenia and the United Arab Emirates. Turkey was recently certified by EU experts to react comparatively decisively to indications of sanctions being circumvented.
Federal Economics Minister Robert Habeck had already spoken out in February for much stricter action against circumventing economic sanctions against Russia. The Greens politician said at the time that there were “clear circumventions from Germany” and emphasized that accepting violations of sanctions could not be accepted.