For the first time, the European Union has imposed sanctions on both a ship flag registry and a Rosneft-operated refinery in India. The measures are part of the EU’s latest effort to tighten restrictions on Russia over its war in Ukraine.
European Union Top Diplomat Kaja Kallas: “We Are Standing Firm”
Kaja Kallas, the EU’s top diplomat, announced the sanctions on social media, describing them as one of the strongest packages against Russia to date.
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“We are standing firm. The EU just approved one of its strongest sanctions packages against Russia to date,” Kallas wrote on X.
“We’re cutting the Kremlin’s war budget further, going after 105 more shadow fleet ships, their enablers, and limiting Russian banks’ access to funding. Nord Stream pipelines will be banned. A lower oil price cap,” she added.
We are standing firm.
The EU just approved one of its strongest sanctions package against Russia to date.
We’re cutting the Kremlin’s war budget further, going after 105 more shadow fleet ships, their enablers, and limiting Russian banks’ access to funding. (1/3)
— Kaja Kallas (@kajakallas) July 18, 2025
Kallas also said the new measures include pressure on Russia’s military industry, sanctions on Chinese banks accused of enabling sanctions evasion, and a ban on tech exports used in drones.
“For the first time, we’re designating a flag registry and the biggest Rosneft refinery in India. Our sanctions also hit those indoctrinating Ukrainian children. We will keep raising the costs, so stopping the aggression becomes the only path forward for Moscow,” Kallas said.
Rosneft Holds 49.13% Stake In Gujarat’s Vadinar Refinery
While the EU did not officially name the Indian refinery affected, sanctions have been placed on the Vadinar oil refinery located in Gujarat. Built by Essar Oil, the refinery is now owned and operated by Nayara Energy Limited. Russian state-owned oil company Rosneft holds a 49.13 percent stake in Nayara Energy.
This is the first time the EU has sanctioned a non-Russian refinery involved in processing Russian crude.
Alongside the refinery, the EU has sanctioned an Indian ship flag registry. A flag registry keeps records of ships that are registered to fly a country’s flag. By targeting this registry, the EU gains the ability to take action against Indian-flagged ships allegedly participating in the transport of Russian oil.
JUST IN: EU’s top diplomat Kaja Kallas announces that, for the first time, the EU is sanctioning a ship flag registry and the largest Rosneft-operated refinery in India as part of its latest sanctions against Russia pic.twitter.com/9ux49WjNr4
— Defence Matrix (@Defencematrix1) July 18, 2025
European Union Approves 18th Sanctions Package Against Russia
The European Union has now agreed on its 18th sanctions package against Russia, further intensifying restrictions on Moscow’s oil and energy industry.
According to diplomats who spoke to Reuters, the package will lower the G7 price cap for Russian crude oil to 47.6 dollars per barrel.
The sanctions also ban transactions related to Russia’s Nord Stream gas pipelines and impose limits on its financial sector.
“I welcome the agreement on our 18th sanctions package against Russia. We are striking at the heart of Russia’s war machine. Targeting its banking, energy and military-industrial sectors and including a new dynamic oil price cap,” European Commission President Ursula von der Leyen wrote on X.
Also Read: Zelenskyy, Trump Discuss Potential Drone ‘Mega-Deal’ as Ukraine Seeks New Alliances
Zubair Amin is a Senior Journalist at NewsX with over seven years of experience in reporting and editorial work. He has written for leading national and international publications, including Foreign Policy Magazine, Al Jazeera, The Economic Times, The Indian Express, The Wire, Article 14, Mongabay, News9, among others. His primary focus is on international affairs, with a strong interest in US politics and policy. He also writes on West Asia, Indian polity, and constitutional issues. Zubair tweets at zubaiyr.amin