EU blocks export of luxury goods to Russia

The European Union (EU) formalized on Tuesday a new package of heavy sanctions against Russia, for the war in Ukraine, which focuses on blocking exports of luxury goods and includes influential tycoons from that country among those sanctioned.

The EU Banned exports of champagne, high-end automobiles, fashion clothing, electronics, and sports equipment to Russiaamong others.

The list of now-banned luxury items was published in the EU Official Journal, providing details of the sanctions that had been announced last week by EU leaders.

The published sanctions package adds 15 people -including tycoons Roman Abramovich and German Khan-, as well as people considered “propagandists” of the Russian government.

In addition, it sanctions nine companies in the aviation, military, shipbuilding and heavy machinery construction sectors in Russia.

Investments and assistance to Russia’s energy sector and imports of finished steel from Russia were also banned.

Credit rating agencies operating in the EU were also barred from evaluating Russian institutions and companies.

The ban on exports of luxury goods from the EU to Russia was an effort to “try to target the elite, the tycoons” on Russiasaid an official from the EU to journalists on condition of not being identified.

The source added that the EU’s total sales of luxury goods to Russia amounted to some 3.5 billion euros ($3.8 billion) a year, less than 5% of the bloc’s exports of that category of goods.

“We only want to target those products that will be luxury items… so as not to hit the ordinary Russian who wants to buy household appliances or other cars that have less value.”another EU official explained.

High-end jewelry and vehicles

A) Yes, The export ban would apply to cars worth more than €50,000, electronic items such as household appliances worth more than €750, cameras and sound recording equipment worth more than €1,000.

Exports of works of art, antiques, jewelery including diamonds and pearls, watches, glassware, porcelain tableware and precious cutlery, as well as quality or fashionable clothing and sports equipment, such as ski boots and saddles.

An EU official said such export bans have already been imposed against other states, such as North Korea.

This source added that the measure “remove a source of comfort to the elites who support the action of the Russian government in Ukraine and have the financial resources to enjoy the lifestyle associated with the consumption of luxury goods of European origin”.

Simultaneously, as part of the closure of spaces in the European territory, the Russian Foreign Ministry announced that it had started the “exit procedure” of that country of Council of European entity that watches over human rights and to which both Russia What Ukraine.

“The notice of withdrawal of the Russian Federation from the organization” was delivered on Tuesday to the secretary general of the Council, Marija Pejcinović Buricaccording to a statement from the Foreign Ministry.

“Those who force us to take this measure will bear full responsibility for the destruction of the common humanitarian and legal space on the continent and for the consequences for the Council of Europe itself, which, without Russia, will lose its pan-European status.”he added.

The economy is forecast to Russia will contract drastically due to the successive rounds of sanctions imposed by the EU, United States and various allies, and whose main objective is to central bank Russian.

On February 24, the Russian president, Vladimir Putinordered Russian troops to begin operations on Ukrainian territory, triggering unprecedented Western sanctions against Russia and prompting an exodus of foreign corporations from that country.