The Council of the European Union recently announced new sanctions against diamond mining company PJSC Alrosa and its CEO, Pavel Alekseevich Marinychev. These sanctions, expanding on the list of persons and entities that has been in place since March 2014 when Crimea was invaded by Russia, represent strong support for Ukraine’s independence, sovereignty and territorial integrity, and condemn Russia’s violation of the UN Charter.
The European Council justified their decision, stating that PJSC Alrosa is responsible for over 90 percent of all Russian diamond production and generates substantial revenue for the Russian government. Consequently, the council alleged that both the company and its CEO are practical assets in Russia’s annexation of Crimea and the destabilisation of Ukraine by providing financial support to Russia and its military.
The sanctions, constituting part of the EU’s twelfth sanctions package dating from February 2022, involve a total prohibition on trading Russian diamonds, synthetic diamonds and diamond jewellery. Later measures, planned for March 2024, will further prohibit the indirect import of Russian diamonds even if they have been processed in third countries.
Apart from the European Union, the Group of Seven (G7) member states also pledged to restrict imports of Russian diamonds in December. Other measures within the sanctions package include a prohibition on the re-exportation of sensitive goods and technology to Russia and widened import-export controls that could contribute to the advancement of Russia’s defense and security sector. Sanctions also include asset freezes and prohibiting EU citizens and companies from providing funds to sanctioned targets.
As of the twelfth sanctions package, the EU has imposed sanctions on almost 1950 individuals and institutions. These sanctions also extend to personal travel, prohibiting sanctioned individuals from entering EU territories.