_new eu sanctions against russia: what european companies need to know now
On July 18, 2025, the European Union adopted its 18th package of sanctions against Russia - and it's a tough one. The new measures affect energy trade, finance and industrial production more than ever before. For companies, this means more responsibility, new risks and increased pressure to adapt.
Changes in the oil sector
The previous oil price cap of USD 60 per barrel has been lowered to USD 47.6. In future, the cap will automatically be 15% below the average world market price for Urals crude oil over the previous six months. This means that the cap will remain flexible and will also apply in the event of strong price fluctuations.
For the first time, the package prohibits EU operators from carrying out any transactions in connection with the Nord Stream 1 and Nord Stream 2 pipelines in the Baltic Sea, including construction, maintenance, operation and even the purchase of gas transported via the pipeline. The aim is to prevent any reactivation altogether.
From March 2026, there will be a ban on the import of all products refined from Russian crude oil if they are transported via third countries. Exceptions only apply to countries that are themselves net exporters of crude oil or have already imposed their own bans (Canada, Norway, Switzerland, the United Kingdom and the USA). In addition, companies from third countries that help circumvent oil embargoes can be sanctioned. For many companies, this means: Change suppliers, switch production and open up new markets.
Measures against the shadow fleet
More than 100 additional tankers that ship Russian oil via so-called shadow routes will no longer be allowed to call at EU ports in future. A total of 444 ships are now affected. EU companies are also prohibited from providing port services, technical assistance, insurance and financing for this fleet.
In addition, the captain of a ship and a private operator of an international flag register are also being sanctioned for the first time.
Financial sector under pressure
In addition, 22 banks will be completely disconnected from the SWIFT system and will no longer be allowed to process transactions with EU players. The transaction bans now also apply to the Russian Direct Investment Fund (RDIF) and four of its subsidiaries.
Crypto providers and other financial intermediaries from third countries that could help circumvent sanctions are also affected - which makes international payment transactions more complicated.
Banking software with security-relevant applications may no longer be passed on to the Russian financial market. This has a direct impact on IT and financial service providers.
Export controls and catch-all clause
The new export bans cover high-tech goods, machinery, plastics and metals worth over 2.5 billion euros.
The package tightens export restrictions for dual-use goods and defense components. Newly listed are:
- CNC machine tools for field posts, drones and tanks
- Chemical components for solid propellants
- Electronics and software for defense applications
In addition, Chinese suppliers and an Indian refinery with a Rosneft stake are on the sanctions list for the first time.
In order to close sanctions loopholes, the EU is introducing a “catch-all” control. Customs and export authorities are allowed to stop and check suspected cases of unlisted but sensitive product deliveries. The aim is to prevent circumvention at source.
More obligations for companies
Companies in the EU must once again check their business relationships for compliance with sanctions. This applies not only to direct transactions with Russian partners, but now also to complex supply chains and transactions via third countries such as China, India or Turkey.
Anyone who violates the regulations must expect severe penalties - in some member states even criminal prosecution. Increased documentation and internal control mechanisms are therefore essential.
Conclusion: Those who are prepared remain capable of acting
The new sanctions increase the pressure on companies to adapt their processes - but they also offer an opportunity to make supply chains more robust and transparent. Those who act early are not only legally protected but can also strengthen their reputation as a responsible market player.
contact:
Johanna Dobert, Lawyer, Associate