COUNCIL OF THE EUROPEAN UNION,update

Library blog Friday, 28 June 2024

● General Secretariat of the Council   Think Tank Review - June 2024   The outcome of the European elections, the rise of the radical right in Europe, building a new European Competitiveness Deal, the real effects of Next Generation EU, how Dutch farmers’ protests evolved into political mobilisation, EU-China trade relations, Europe’s green technology dependence on China and shaping global AI governance are some of the topics discussed in the June Think Tank review.

 

Press material Saturday, 29 June 2024

● Council of the EU   29/06/2024 11:22 | Press release | Belarus’ involvement in Russia’s war of aggression against Ukraine: new EU restrictive measures target trade, services, transport and anti-circumvention   The Council today adopted restrictive measures targeting the Belarusian economy, in view of the regime’s involvement in Russia’s illegal, unprovoked and unjustified war of aggression against Ukraine. These comprehensive measures aim at mirroring several of the restrictive measures already in place against Russia, and thereby address the issue of circumvention stemming from the high degree of integration existing between the Russian and Belarusian economies. The measures agreed today will affect various sectors of the Belarusian economy: Trade The Council is extending the export ban on dual-use/advanced goods and technologies, as well as introducing further export restrictions on goods which could contribute to the enhancement of Belarusian industrial capacities. Further restrictions are also introduced on exports to Belarus of maritime navigation goods and technologies, and luxury goods. Regarding imports, it will be prohibited to import directly or indirectly, purchase or transfer namely of gold and diamonds from Belarus, as well as helium, coal and mineral products including crude oil. The latter measure will be complemented by a new export ban on goods and technologies suitable for use in oil refining and the liquefaction of natural gas. Services The Council is prohibiting the provision of certain services to Belarus, its government, public bodies, corporations or agencies and to any natural or legal person acting on behalf or at their direction: accounting services, auditing services, including statutory audit, bookkeeping services, tax consulting services, business and management consulting services, and public relations services; architectural and engineering services, as well as IT consultancy services and legal advisory services; advertising, market research and public opinion polling services, as well as product testing and technical inspection services. Transport The Council  is broadening  the prohibition on the transport of goods by road within the territory of the EU, by trailers and semi-trailers registered in Belarus, including when hauled by trucks registered outside Belarus. In order to minimise the risk of circumvention, EU operators which are owned for 25% or more by a Belarusian natural or legal person, should be prohibited from becoming a road transport undertaking or from transporting goods by road in the Union, including in transit. Anti-circumvention Today’s decision requires that EU exporters insert in their future contract the so-called 'no-Belarus clause', through which they contractually prohibit the re-exportation to Belarus or re-exportation for use in Belarus of sensitive goods and technology, battlefield goods, firearms and ammunition. In order to minimise the risk of circumvention, the EU will prohibit the transit via the territory of Belarus of dual-use goods and technologies, goods and technologies which might contribute to Belarus’s military and technological enhancement or to the development of its defence and security sector, goods which could contribute to the enhancement of Belarusian industrial capacities, goods and technologies for use in the aviation or space industry, as well as arms exported from the EU. In addition, in order to help counter the re-exportation of battlefield goods found in Ukraine or critical to the development of Russian military systems, it was decided that EU operators selling such battlefield goods to third countries will need to implement due diligence mechanisms capable of identifying and assessing risks of re-exportation to Russia and mitigating them. Lastly, EU parent companies will be required to undertake their best efforts to ensure that their third-country subsidiaries do not take part in any activities resulting in an outcome that the sanctions seek to prevent. Protection of EU operators The package also includes measures to allow EU operators to claim compensation from damages caused by Belarusian individuals and companies due to sanctions implementation and expropriation, provided that the member state national or company concerned does not have effective access to remedies, for example under the relevant bilateral investment treaty. The relevant legal acts will be published in the Official Journal of the EU tomorrow. Background On 24 February 2022, Russia launched an illegal war of aggression against Ukraine and Russian armed forces attacked the country - including from the territory of Belarus – in blatant violation of the territorial integrity, sovereignty and independence of Ukraine. On 2 March 2022, the Council adopted an amendment to decision 2012/642/CFSP, thereby introducing further restrictive measures in response to the involvement of Belarus in the Russian aggression against Ukraine. In its conclusions of 20 and 21 October 2022, the European Council called on the Belarusian authorities to stop enabling the Russian war of aggression by permitting Russian armed forces to use Belarusian territory, and by providing support to the Russian military, as well as stressed that the EU remained ready to implement further sanctions against Belarus. In its conclusions of 23 March 2023 and 29 and 30 June 2023, the European Council condemned the continued military support for Russia’s war of aggression provided by Belarus and stressed that Belarus must stop allowing Russian armed forces to use its territory, including for the deployment of tactical nuclear weapons. Russia’s military aggression against Ukraine: EU agrees new sectoral measures targeting Belarus and Russia (press release, 9 March 2022)

Press material Friday, 28 June 2024

● Council of the EU   28/06/2024 17:18 | Press release | Forward look: 1 - 14 July 2024   Overview of the main topics and events at the Council of EU and European Council for the coming fortnight. There are no Council meetings scheduled in the weeks of 1 and 8 July. The next Council meetings will be Agriculture and Fisheries Council (15 July), Economic and Financial Affairs Council (16 July), and Employment, Social Policy, Health and Consumer Affairs Council (Social, Employment) (16 July). Other meetings Informal meeting of competitiveness ministers (Internal market and industry), 8-9 July 2024 Informal meeting of environment ministers, 11-12 July 2024   Indicative calendar of meetings under the Hungarian presidency (1 July - 31 December 2024) Hungarian presidency website

Press material Friday, 28 June 2024

● Council of the EU   28/06/2024 15:45 | Press release | Russia's war of aggression against Ukraine: EU lists two individuals and four entities for circumventing EU sanctions and materially supporting the Russian government   The Council today decided to impose restrictive measures against two individuals and four entities responsible for actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine. The Council is listing Dmitry Beloglazov, and his company LLC Titul. Dimitry Beloglazov is responsible for setting up a complex circumvention scheme together with Oleg Deripaska, who is already subject to EU restrictive measures. His company LLC Titul created a subsidiary called Joint Stock Company Iliadis to acquire Oleg Deripaska’s share in the International LLC Rasperia Trading Limited. Rasperia owns €28,5 million shares in another European company, STRABAG SE, the assets of which have been frozen as a result of EU restrictive measures. Through this mechanism, Deripaska managed to sell his Rasperia frozen assets, and received an equivalent economic benefit. In view of this circumvention scheme, JSC Iliadis and Rasperia were also sanctioned by the Council. Today’s new listings also include PJSC TransContainer and its General Director Mikhail Kontserev. PJSC TransContainer is a Russian transportation company and Russia’s largest railway container operator. Its revenues increased throughout 2023 also thanks to the flow of Belarusian cargoes, and the company’s participation in illegal weapon trade schemes with the Democratic People’s Republic of Korea (DPRK) in support of the Russian Government. Altogether, EU restrictive measures in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine now apply to over 2 200 individuals and entities. Those designated today are subject to an asset freeze and EU citizens and companies are forbidden from making funds available to them. Natural persons are additionally subject to a travel ban, which prevents them from entering or transiting through EU territories. The relevant legal acts have been published in the Official Journal of the European Union. On 24 June 2024, the Council adopted a 14th package of economic and individual restrictive measures targeting high-value sectors of the Russian economy, making it ever more difficult to circumvent EU sanctions, and adding 116 individuals and entities to the list of those responsible for actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine. In its conclusions of 27 June 2024, the European Council reconfirmed the European Union’s continued support for Ukraine’s independence, sovereignty and territorial integrity within its internationally recognised borders and the EU’s unwavering commitment to providing continued political, financial, economic, humanitarian, military and diplomatic support to Ukraine and its people for as long as it takes and as intensely as needed.  Russia must not prevail. The European Council also welcomed the adoption of the 14th package of sanctions against Russia and the agreement on further restrictive measures against Belarus. It called for the full and effective enforcement of sanctions as well as for further measures to counter their circumvention, including through third countries. The European Union remains ready to further limit Russia’s ability to wage war and urges all countries not to provide any material or other support for Russia’s war of aggression. Council Decision (CFSP) 2024/1843 of 28 June 2024 amending Decision 2014/145/CFSP concerning restrictive measures in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine Council Implementing Regulation (EU) 2024/1842 of 28 June 2024 implementing Regulation (EU) No 269/2014 concerning restrictive measures in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine European Council conclusions, 17 and 18 April 2024 EU response to Russia's war of aggression against Ukraine (background information) EU sanctions against Russia (background information)

Press material Friday, 28 June 2024

● Council of the EU   28/06/2024 15:41 | Press release | Hamas and Palestinian Islamic Jihad: Council adds six individuals and three entities to the sanctions list   The Council today decided to list six individuals and three entities responsible for participating in the financing of Hamas and the Palestinian Islamic Jihad (PIJ) or enabling their violent actions. The Council is listing three companies - Zawaya Group for Development and Investment Co Ltd., Larrycom for Investment Ltd. and Al Zawaya Group for Development and Investment Sociedad limitada - owned and controlled by Sudan-based financier Abdelbasit Hamza Elhassan Mohamed Khair, who has been subject to EU restrictive measures since January 2024. All three entities have been linked to Hamas’ investment portfolio, and served as front companies to facilitate Hamas financial streams. Individual listings include Jamil Yusuf Ahmad Aliyan, a PIJ official and leader of the Muhjat AlQuds Foundation, which is an Iran-funded organisation whose primary mission is to provide financial support to the families of PIJ fighters and prisoners. Furthermore, the Council sanctioned Ahmed Sharif Abdallah Odeh, who leads Hamas’s foreign investment activities and is a shareholder and a board member of several front companies for Hamas; Zuheir Shamlakh, a financial facilitator and money changer who enables financial transfers from Iran to Hamas; and Ismail Barhoum a member of the Hamas Political Bureau, who heads the Hamas’ Charitable Institutions Association supervising 400 charities, and channelling funds to Hamas. Lastly, the Council is listing Ali Morshed Shirazi, a senior Islamic Revolutionary Guard Corps – Quds Force (IRGC-QF) official serving as Bureau Chief of the Palestine Branch operating out of Lebanon, and Maher Rebhi Obeid, a member of the Hamas Political Bureau since 2010, who is responsible for directing Hamas’ terrorist operatives in the West Bank. With today’s listings, a total of 12 individuals and three entities are sanctioned under the framework of restrictive measures against Hamas and the PIJ.  Those listed under the sanctions regime are subject to an asset freeze. The provision of funds or economic resources, directly or indirectly, to them is prohibited. Additionally, a travel ban to the EU applies to the natural persons listed. Background On 7 October 2023, the High Representative of the Union for Foreign Affairs and Security Policy issued a statement on behalf of the European Union on the attacks against Israel, condemning in the strongest possible terms the multiple and indiscriminate attacks across Israel by Hamas and deeply deploring the loss of lives. On 19 January 2024, the Council adopted Council Decision (CFSP) 2024/385 establishing a dedicated framework of restrictive measures that allows the European Union to hold accountable any individual or entity who supports, facilitates or enables violent actions by Hamas and the Palestinian Islamic Jihad (PIJ). This regime also complements the restrictive measures previously adopted against Hamas and the PIJ under Common Position 2001/931/CFSP (the ‘EU terrorist list’). In its conclusions of 22 and 23 March 2024, the European Council called on the Council to accelerate work on the adoption of further relevant restrictive measures against Hamas.  In its conclusions of 27 June, the European Council welcomed the adoption of UN Security Council Resolution 2735 and called for the full implementation of the terms of the ceasefire proposal without delay and without conditions, which would lead to an immediate ceasefire in Gaza, the release of all hostages, a significant and sustained increase in the flow of humanitarian assistance throughout Gaza, and an enduring ceasefire and end to the crisis, with Israel’s security interests and safety for Palestinian civilians assured. The EU reiterated its unwavering commitment to lasting and sustainable peace in accordance with the relevant resolutions of the UN Security Council, on the basis of the two-state solution, with the State of Israel and an independent, democratic, contiguous, sovereign and viable State of Palestine living side-by-side in peace, security and mutual recognition. The European Union will continue to work with international partners towards reviving a political process to this end. Council Decision (CFSP) 2024/1837 of 28 June 2024 amending Decision (CFSP) 2024/385 establishing restrictive measures against those who support, facilitate or enable violent actions by Hamas and the Palestinian Islamic Jihad Council Implementing Regulation (EU) 2024/1838 of 28 June 2024 implementing Regulation (EU) 2024/386 establishing restrictive measures against those who support, facilitate or enable violent actions by Hamas and the Palestinian Islamic Jihad Consolidated text: Council Decision (CFSP) 2024/385 of 19 January 2024 establishing restrictive measures against those who support, facilitate or enable violent actions by Hamas and the Palestinian Islamic Jihad Hamas and Palestinian Islamic Jihad: Council establishes dedicated sanctions framework and lists six individuals (press release, 19 January 2024) European Council conclusions, 21 and 22 March 2024