The European Union is on the verge of adopting unprecedented restrictive measures against Russia. Brussels is preparing a new sanctions package which, according to sources, will be the largest in history in terms of the number of legal entities affected. If the proposal is approved, the list of sanctioned organizations will increase by 50 percent.

Scale of the New Blow

More than 1600 companies will end up on the EU blacklist, which, according to European intelligence data, are supporting Russia in the war against Ukraine. This proposal is the result of months of work by diplomats and analysts. Unlike previous packages, which often targeted entire industries or specific products, the new initiative is aimed at specific corporate structures.

The figures characterizing the volume of this package are impressive:

  • The combined annual turnover of the target companies exceeds $20 billion.
  • The blow will hit enterprises employing more than 265,000 employees.

Goals and Limitations

Brussels' main task is to exert maximum pressure on the Russian leadership and force Vladimir Putin to sit at the negotiating table. However, experts, in particular Bloomberg, warn that the economic effect of this measure may be lower than that of previous blows to the banking sector and oil exports.

The EU is increasingly facing internal difficulties in forming sanctions policy. A number of member states are demanding exemptions to mitigate damage to their own economies. A bright example was the weakening of proposals within the framework of the 21st sanctions package, where concessions had to be made.

Adoption Schedule and New Measures

EU officials plan to present the new proposal to member states in the coming weeks. This is necessary to give national governments time to study the documents. The final decision should be made at a meeting of foreign ministers in October.

In addition to economic restrictions, the bloc is preparing additional measures related to the forced deportation of Ukrainian children. It is expected that these sanctions will also be adopted in the autumn.

Strategy Change

Analysts note that the era of giant sanctions packages may be over. Brussels is considering abandoning the long-standing strategy of mass restrictions. At the same time, individual countries continue to tighten national measures. For example, Lithuania has proposed extending its sanctions against citizens of Russia and Belarus for another two years - until the end of 2027.