EU Proposes 21st Sanctions Package Targeting Russian War Economy

The European Commission proposed its 21st sanctions package against Russia on June 9, 2026, representing the largest expansion of restrictive measures in over two years. The proposal targets more than 170 individuals and entities, including a first-of-its-kind entry ban into the European Union for any individual who has served in the Russian Armed Forces since the start of the invasion of Ukraine. Leaked drafts indicate the list includes Kremlin adviser Vladimir Medinsky, Patriarch Kirill, and various Russian sports officials.

To curtail energy revenues amid global price surges caused by the closure of the Strait of Hormuz, the package proposes freezing the Russian oil price cap at $44.10 per barrel until January 2027. It also targets the shadow fleet by blacklisting 30 additional vessels and, for the first time, sanctioning ships providing bunkering and other support services. Other measures include transaction bans on 31 Russian banks and 11 cryptocurrency platforms, restrictions on LNG tanker sales, and a new import ban on Russian cod.

Broad international friction has emerged over the proposal. The EU included export controls on 50 companies in India, China, Turkiye, Kyrgyzstan, Kazakhstan, and the United Arab Emirates to disrupt drone and military production. China warned it would take necessary measures to safeguard its interests, while the Government of India rejected the unilateral sanctions as illegal under international law. In Ireland, Taoiseach Micheál Martin opposed sanctioning the Aughinish Alumina refinery, arguing it would be self-defeating as the plant provides over 30% of Europe's alumina needs. The package now awaits unanimous approval from all 27 EU member states.