Newsletter of the main news 22.09/28.09

1️⃣ Frozen Russian Assets

Emmanuel Macron stated that the complete confiscation of frozen Russian assets would be a violation of international law. In an interview with CBS News, he emphasized that the European Union must respect international rules and maintain predictability regarding Russian assets. France remains committed to the principles of international law, despite Russia's violations.

Friedrich Merz, Chancellor of Germany, called for the EU to use frozen Russian assets to provide Ukraine with an interest-free loan of 140 billion euros. He highlighted that this would ensure Ukraine’s military resilience for several years and emphasized its importance as part of the strategic increase in defense spending and long-term support for Ukraine during the war.

The European Commission proposed using frozen Russian assets for a loan to Ukraine, which would be used to support defense and economic stability. This mechanism stipulates that the funds would only be returned after the war ends, once Russia pays reparations. The Commission is also working on changing the rules for extending sanctions to prevent potential blockages of this initiative.

Belgium’s Prime Minister, Alexander De Croo, criticized the European Commission’s proposal to use frozen Russian assets for a loan to Ukraine. He emphasized that Belgium is unwilling to take on the risks associated with the confiscation of such assets and requested more details from the EU. De Croo also warned that using these assets could prompt other countries to withdraw their reserves from the eurozone.

2️⃣ International Sanctions Policy

Slovakia blocked the EU's 19th sanctions package against Russia, which was discussed by EU ambassadors on September 26. The new sanctions are unlikely to be approved before the Copenhagen summits next week, as Slovakia continues to block the package.

Russia has imposed sanctions on several UK citizens, including Deputy Finance Minister Emma Reynolds and Deputy Director of the UK’s Trade Sanctions Unit, Anna Dibell-Yung. Russia's Foreign Ministry stated that these sanctions are a response to London's confrontational stance and its support of unilateral restrictions.

Sanctions against Russia have significantly limited its influence in Latin America, reducing its geopolitical presence and military-technical cooperation with the region. Traditionally, Russia supplied arms to Latin America, but the war in Ukraine has depleted its stockpiles. As a result, China and Iran have increased their activity in the region, expanding military and economic cooperation with Latin American countries.

3️⃣ Sanctions Violations and Evasion

Russia’s "shadow fleet" consists of 940 tankers, representing 17% of the global fleet. The vessels change flags, falsify their locations, and engage in oil transshipment to avoid sanctions. Despite pressure from the EU and other countries, Russia continues to sell oil to China and India through grey schemes. Meanwhile, maintaining these vessels is significantly more expensive for Russia.

The Comoros Islands have started cracking down on the "shadow fleet," which includes 62 tankers and other vessels illegally flying their flag. These ships are involved in trade with Russia, Iran, and Venezuela, most of which are sanctioned by the US, EU, and the UK. Meanwhile, the Comoros Islands rank 25th globally in terms of fleet size, and their fleet has grown by 274% this year.

Russia is seeking to lift aviation sanctions, citing safety issues due to a lack of spare parts for Airbus and Boeing planes. Western sanctions have forced Russian airlines to find alternative import routes, but the fleet’s condition is deteriorating. Moscow is trying to persuade regulators and ICAO bodies to lift the restrictions.

In Poland, 20 people have been detained for organizing a scheme to sell nearly 600 luxury cars to Russia and Belarus to bypass sanctions. From 2021 to 2025, the criminals used front companies to obtain fraudulent VAT returns totaling over 40 million zlotys. During searches, assets, jewelry, and cash were seized, and over 10 million zlotys were frozen in the suspects' bank accounts.

Lebanon confiscated millions of dollars in a case involving the importation of Russian fuel with falsified documents, violating Western sanctions. International oil companies sold Russian fuel to Lebanon at inflated prices, concealing its origin. The Lebanese authorities seized a vessel delivering 33,000 tons of fuel and initiated an investigation into bribery and document forgery.

Switzerland is investigating the trade of Russian gold in violation of sanctions imposed after Russia's invasion of Ukraine. The State Secretariat for Economic Affairs (SECO) initiated a review of Open Mineral’s activities, which confirmed raids in its offices. The investigation concerns violations of sanctions legislation against Moscow, and the company is fully cooperating with the authorities.

Panama has canceled the registration of over 200 of Russia's "shadow fleet" tankers. This was revealed during a meeting between Presidents of Ukraine and Panama, Volodymyr Zelenskyy and José Raúl Mulino. The discussions also covered international efforts to return Ukrainian children kidnapped by Russia.

Shares of the Italian brand Brunello Cucinelli dropped by 15% following allegations of bypassing sanctions against Russia. Researchers claimed that the company continued operating in Russia, particularly through stores in Moscow, selling goods made in 2024-2025, after sanctions were imposed. The company denied the allegations, stating that sales in Russia had decreased by two-thirds.