Council Regulation (EU) 2024/3192 of 16 December 2024 amending Regulation (EU) No 833/2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 215 thereof,

Having regard to Council Decision (CFSP) 2024/3187 of 16 December 2024 amending Decision 2014/512/CFSP concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine (1),

Having regard to the joint proposal of the High Representative of the Union for Foreign Affairs and Security Policy and of the European Commission,

Whereas:

(1) On 31 July 2014, the Council adopted Regulation (EU) No 833/2014 (2).

(2) Regulation (EU) No 833/2014 gives effect to certain measures provided for in Council Decision 2014/512/CFSP (3).

(3) On 16 December 2024, the Council adopted Decision (CFSP) 2024/3187 amending Decision 2014/512/CFSP.

(4) Decision (CFSP) 2024/3187 adds 32 new entities to the list of natural or legal persons, entities and bodies set out in Annex IV to Decision 2014/512/CFSP, namely the list of persons, entities and bodies supporting Russia’s military-industrial complex in its war of aggression against Ukraine, on which tighter export restrictions regarding dual-use goods and technology, as well as goods and technology which might contribute to the technological enhancement of Russia’s defence and security sector, are imposed. Decision (CFSP) 2024/3187 also includes on that list certain entities in third countries other than Russia that indirectly contribute to Russia’s military and technological enhancement through the circumvention of export restrictions, including on Unmanned Aerial Vehicles or missiles.

(5) In order to further constrain the activity of vessels operated to contribute or support actions or policies supporting Russia’s actions against Ukraine, Decision (CFSP) 2024/3187 adds further vessels to the list of vessels set out in Annex XVI to Decision 2014/512/CFSP, on which a ban from Member States’ ports and locks, as well as a ban on the provision of a broad range of services related to maritime transport, are imposed.

(6) As stated in recital 17 of Council Regulation (EU) 2024/1469 (4), cash balances of or with customers of central securities depositories are usually transferred out of those central securities depositories before the end of the day and do not yield any remuneration for customers. Therefore, central securities depositories, as referred to in paragraph 8 of Article 5a are not liable to pay interest or any other form of compensation to the person, entity or body entitled to the assets and reserves referred to in paragraph 4 of Article 5a and which those central securities depositories hold or control or are a counterparty to, other than as contractually agreed.

(7) The management by a relevant central securities depository of assets subject to the transaction ban imposed pursuant to Article 5a(4) of Regulation (EU) No 833/2014, as well as the management of the cash balances stemming from such assets, should not give rise to liability of any kind on the part of that depository, or of its directors or employees, unless it is proved that the action was a result of negligence.

(8) Recently, Russian courts have issued decisions based on Article 248 of the Arbitration Procedure Code of the Russian Federation that prohibit the initiation or continuation of proceedings in foreign courts or tribunals on the part of European companies against Russian companies (anti-suit injunctions) and have issued, inter alia, disproportionately high financial penalties in cases of failure to comply. The Union considers that the manner in which Russian courts issue such anti-suit injunctions and fines is in clear violation of established international principles and long-standing practices in the resolution of international business disputes. In order to prevent efforts by claimants to enforce such anti-suit injunctions or fines, or any other court decision based on Article 248 or equivalent Russian legislation, Decision (CFSP) 2024/3187 introduces a prohibition on the recognition or enforcement in the Union of injunctions, orders, judgments or other court decisions pursuant to or in relation to Article 248 of the Arbitration Procedure Code of the Russian Federation or equivalent Russian legislation.

(9) Decision (CFSP) 2024/3187 also makes certain technical amendments to Regulation (EU) No 833/2014, including to extend the deadlines applicable to certain derogations needed for divestments from Russia or for Member States’ security of supply of certain petroleum products. Operators should be aware that Russia is a country where the rule of law is not applied anymore, and that the Russian Federation has adopted several pieces of legislation targeting assets of companies from ‘unfriendly countries’, including Member States. That could lead to Union assets being stranded in Russia without the possibility for orderly withdrawal. Because of the risks of maintaining business activities in Russia, Union operators should consider winding down businesses in Russia and/or not to start new businesses there. The exceptional extension of the divestment derogations is necessary to enable Union operators to exit as swiftly as possible from the Russian market. The extended derogations are granted on a case-by-case basis by Member States and focused on allowing an orderly divestment process, which would not be possible without the extension of these deadlines.

(10) Regulation (EU) No 833/2014 should therefore be amended accordingly,

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EU) No 833/2014 is amended as follows:

(2) in Article 5a, the following paragraph is inserted: ‘12a.   Actions by a central securities depository carried out in good faith pursuant to paragraphs (4) to (12) on the basis that such actions are in accordance with this Regulation shall not give rise to liability of any kind on the part of that depository, or of its directors or employees, unless it is proved that the action was a result of negligence.’

(4) in Article 11 paragraph 4 is replaced by the following: ‘4.   By way of derogation from paragraph 1, the competent authorities, based on a specific and case-by-case assessment, may authorise, until 31 December 2025, the satisfaction of a claim made by one of the persons, entities and bodies indicated in point (b) paragraph 1, under such conditions as the competent authorities deem appropriate and after having determined that the satisfaction of the claim is strictly necessary for the divestment from Russia or the wind-down of business activities in Russia.’

(5) the following article is inserted: ‘Article 11c

Article 2

Annexes I and XLII to Regulation (EU) No 833/2014 are amended in accordance with the Annexes to this Regulation.

Article 3

This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, 16 December 2024.

For the Council The President K. KALLAS

(1) OJ L, 2024/3187, 16.12.2024, ELI: http://data.europa.eu/eli/dec/2024/3187/oj.

(2) Council Regulation (EU) No 833/2014 of 31 July 2014 concerning restrictive measures in view of Russia's actions destabilising the situation in Ukraine (OJ L 229, 31.7.2014, p. 1).

(3) Council Decision 2014/512/CFSP of 31 July 2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine ( OJ L 229, 31.7.2014, p. 13).

(4) Council Regulation (EU) 2024/1469 of 21 May 2024 amending Regulation (EU) No 833/2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine (OJ L, 2024/1469, 22.5.2024; ELI: http://data.europa.eu/eli/reg/2024/1469/oj).