U.S. has announced new sanctions on Russia ahead of Donald Trump’s return to the White House

The United States announced a series of sanctions against Russia on Wednesday, aiming to intensify pressure on Moscow during the final days of the Biden administration while safeguarding previously established sanctions.

The U.S. State and Treasury departments targeted over 250 entities, including some located in China, focusing on Russia’s attempts to circumvent U.S. sanctions and its military industrial sector.

As part of this initiative, the Treasury introduced new restrictions on nearly 100 entities that were already under sanctions, which could complicate future efforts to lift these measures.

The Russian embassy in Washington has not yet responded to inquiries for comment.

In a statement, the Treasury indicated that new sanctions were being imposed on almost 100 key Russian entities, including banks and companies in the energy sector, which had previously faced U.S. sanctions. This action heightens the risk of secondary sanctions for these entities.

These new sanctions are enacted under an executive order that, according to a senior Treasury official, mandates that Congress be informed before any of these actions can be undone.

Jeremy Paner, a partner at Hughes Hubbard & Reed, remarked that these measures are designed to be “Trump-proofed,” making it difficult to reverse the additional sanctions without congressional consent. “You can’t simply erase what’s been implemented with a quick decision,” he stated.

Edward Fishman, a former U.S. official and current research scholar at Columbia University, described the move as “very significant.” He noted that it safeguards these sanctions from any arbitrary decisions to lift them, thereby providing the incoming Trump administration with greater leverage in dealings with Russia.

Trump’s transition team did not provide an immediate response to a request for comment. It remains uncertain how Donald Trump, who will take over from President Joe Biden on Monday, plans to handle the issue of sanctions against Russia. Historically, Trump has maintained a cordial relationship with Russian President Vladimir Putin and indicated on Monday that he intends to meet with him soon to discuss the situation in Ukraine. When questioned about his approach to ending the conflict, Trump stated to Newsmax: “There’s only one strategy, and it’s up to Putin. I can’t imagine he’s too pleased with how things have unfolded, as it hasn’t gone particularly well for him either.”

SANCTIONS EVASION SCHEME

The U.S. has also taken measures against a sanctions evasion scheme involving participants from Russia and China, focusing on regional clearing platforms in both nations that have reportedly facilitated cross-border payments for sensitive goods. The Treasury Department noted that several Russian banks under U.S. sanctions were involved. Liu Pengyu, spokesperson for the Chinese embassy in Washington, expressed in a statement, “China firmly opposes any illegal unilateral sanctions and ‘long-arm jurisdiction.’ The normal economic and trade exchanges between China and Russia should not be interfered with or disrupted, and should not be used as a tool to smear and contain China.”

Keremet Bank, a financial institution based in Kyrgyzstan, was also subjected to sanctions on Wednesday. The U.S. Treasury accused the bank of collaborating with Russian officials and of being involved with another bank identified by the United States as evading sanctions. Keremet Bank has not yet provided a response to requests for comment.

Additionally, the U.S. State Department placed sanctions on the Zaporizhzhia nuclear power plant, which is under Russian control and is the largest in Europe. This facility, located in southeastern Ukraine, was seized by Russia shortly after the invasion began in 2022. Although the plant is currently shut down, it requires external power to maintain the cooling of its nuclear materials and prevent a potential meltdown. According to Russian news agencies, citing the plant’s spokeswoman, the sanctions will not impact its operations.

The Biden administration has enacted numerous punitive measures against Russia in response to its invasion of Ukraine in February 2022, which has resulted in significant casualties and widespread destruction. Washington has consistently aimed to address the circumvention of these sanctions. Just days ago, the administration introduced its most extensive sanctions package to date, targeting Russia’s oil and gas revenues to provide leverage for Kyiv and the incoming Trump administration in negotiations for peace in Ukraine.