EU adopts 21st sanctions package against Russia, targeting banks, shadow fleet and oil price cap

Agreement reached after Greek blockage

EU ambassadors struck a political agreement on the 21st sanctions package against Russia on the morning of 23 July 2026, following weeks of negotiations and a last-minute holdout by Greece. Athens had blocked the package over concerns that new restrictions would harm its shipping industry, particularly the transport of Russian liquefied natural gas (LNG) to non-EU buyers. The compromise allows Greek-owned vessels to continue carrying Russian LNG to third countries under contracts signed before 24 February 2022, with the derogation subject to an annual review. In a side arrangement, Poland and Germany secured the right to continue importing certain types of fish from Russia. A European diplomat told Reuters that "member states have shown solidarity with Greece and it is expected that Greece will do the same for others in the future."

Oil price cap and energy measures

The package extends the $44 per barrel price cap on Russian crude oil exports for another year, until July 2027. The cap, first imposed to limit Moscow's war-financing revenues, applies to roughly 20% of Russian oil exports that transit through EU jurisdictions. The European Commission estimates the measure will cost Russia €3.5 billion annually. In practice, the cap has been difficult to enforce, as Russia has sold oil above the limit since 2023 without an international verification body. The sanctions also add 41 vessels from Russia's so-called "shadow fleet" to the blacklist and, for the first time, target ships that assist these tankers in evading restrictions.

Financial sector and crypto restrictions

The EU added 32 more Russian banks to its transaction ban list, bringing the total number of restricted financial institutions to over 100. New measures also target crypto-asset platforms and services based in third countries that the bloc says facilitate sanctions evasion. Ursula von der Leyen, President of the European Commission, wrote on X that the package includes "crypto firms and oil trading platforms" and freezes the oil price cap adjustment "so that the Russian war machine does not benefit from market shocks."

We are adding another 32 Russian banks to our transaction ban list. As well as crypto firms and oil trading platforms. We freeze the oil price cap adjustment for one year, so that the Russian war machine does not benefit from market shocks. For the first time, we target vessels assisting Russia's shadow fleet. And we have taken an important step towards an official ban on Russian combatants entering the EU.

Largest-ever batch of individual designations

The package introduces 218 new designations (48 individuals and 170 entities), the largest single batch since Russia's full-scale invasion of Ukraine. Among them are 94 banks and financial institutions, Russian military-industrial companies, entities involved in oil transport via the shadow fleet, and firms in the oil, gold and diamond sectors. Additionally, 51 entities from Russia, China, Turkey, Kyrgyzstan, India, Kazakhstan and the United Arab Emirates were listed for allegedly supporting Russia's military industry or helping to circumvent EU sanctions.

Reactions and next steps

Ukrainian sanctions commissioner Vladyslav Vlasiuk welcomed the agreement, noting that "the package is particularly strong on financial sanctions, and work on the 22nd package has already begun." Polish Foreign Minister Radek Sikorski acknowledged the package had been diluted but said it "still goes in the right direction... the Kremlin will not be happy." The European Commission stated that Russia's economy is in a process of sharp slowdown and that EU sanctions have effectively isolated Russia from the global financial system. The Commission also noted that over two-thirds of the liquid assets of Russia's sovereign wealth fund have been depleted since the start of the war. Formal adoption of the measures will proceed via written procedure, launched on the afternoon of 23 July.