The European Commission is studying a mechanism that will limit exports from the EU to those countries that re-export sanctioned goods to Russia, the Financial Times (FT) writes, citing sources.
We are talking about certain products that Moscow can use during the conflict in Ukraine. The European Union plans to develop a legal framework to identify such goods and countries that are under suspicion. If states, after receiving a warning from the EU, continue to violate restrictions, then EXPORT control measures will be applied.
The newspaper's sources note that some members of the union expressed concern about how such measures could affect their relations with third countries, as well as how such measures comply with global trade rules.
“This will lead to quite a serious discussion in the EU about whether it is convenient for us to do this. How do you avoid the unintended side effects of pushing certain countries in a different direction than you want them to go? You have to be very careful about using carrots and sticks,” one of the FT’s interlocutors said.
The discussion of the issue will continue, it is being considered during the preparation of the 11th package of sanctions against Russia.
In March, BLOOMBERG sources reported that the EU would require enforcement of state sanctions that have sharply increased the re-exports of advanced technologies purchased in Europe and other goods that Russia can use for military purposes. The EC explained that so far they cannot block the re-export of goods to Russia, but they have the ability to “track and control EU goods in order to avoid their export” bypassing sanctions.
Read pioneerprodukt.by Is it possible to make money on the IPO of Alibaba businesses in Hong Kong Investment tips from ChatGPT: will they help you get rich? 8 nutritional mistakes that everyone makes after 505 tipsThe agency also wrote that the West is considering an almost complete ban on exports to Russia. This proposal was put forward by the United States . According to the FT, it was not supported by the EU and Japan.
The Russian side considers the restrictions imposed against it illegal. The Kremlin warned that the sanctions "would also hit the global economy" and could even "lead to a growing trend towards a worldwide economic crisis."