The United States has introduced an extraordinary step to curb Russia’s oil export activities by targeting six Russian oil tankers still under construction. This move marks the first time the U.S. has imposed sanctions on vessels even before they have sailed or transported any cargo. The announcement was made on January 17, following new measures aimed at further restricting Russian oil exports, which are crucial for funding the country’s ongoing aggression in Ukraine.
Targeting a “Shadow Fleet”
Among the vessels hit by these sanctions are six tankers being built at Russia’s Zvezda shipyard. These tankers are part of what experts call a “shadow fleet,” a group of older ships frequently used to dodge sanctions. This fleet not only transports Russian oil but is also reportedly involved in moving Iranian oil, which is similarly under sanctions.
The U.S. measures specifically name some of these tankers, such as the Nursultan Nazarbayev, Alexander Beggrov, and Alexey Bogolyubov. Three additional vessels under construction at Zvezda, identified as Zvezda 131080, Zvezda 131060, and Zvezda 131040, are also included. This step aims to prevent their use in transporting sanctioned goods once they are completed.
Impact on Russian Oil Companies
Two major Russian companies are directly affected by these sanctions. Sovcomflot, a major shipping company, purchased the Alexander Beggrov and Alexey Bogolyubov, while Rosneft’s shipping division, Rosnefteflot, acquired the remaining four tankers. Both of these companies are already under U.S. sanctions.
The new restrictions come as part of a broader effort to limit Russia’s ability to profit from its oil exports. Alongside targeting vessels, the U.S. has also sanctioned major Russian oil producers Gazprom Neft and Surgutneftegaz, along with many of their subsidiaries. Together, these companies produce over one million barrels of oil daily, generating billions of dollars in revenue annually. According to the U.S. Treasury Department, this revenue fuels Russia’s war efforts in Ukraine.
Soaring Costs for Non-Sanctioned Ships
These sanctions are expected to have significant ripple effects across the global shipping industry. Experts have noted that demand for non-sanctioned vessels has surged, leading to an increase in tanker prices. Shipping companies looking to avoid any connection to Russia or its shadow fleet are now scrambling to secure tankers that are free from restrictions.
Russia’s Shadow Oil Fleet Faces EU’s New Sanctions Plan
By imposing sanctions on these ships before they even hit the water, the U.S. is signaling its determination to clamp down on any potential sanctions evasion. This approach is unprecedented and highlights the growing challenges Russia faces in maintaining its oil exports in the face of international opposition.
This development highlights the Biden administration’s commitment to targeting one of Russia’s key economic lifelines. With these sanctions, the U.S. aims to further weaken Russia’s ability to fund its military actions, delivering a powerful blow to its oil-export infrastructure.
