EU capitals and institutions are preparing a further tightening of economic pressure on Russia, with officials discussing a 20th sanctions package that would expand constraints on oil exports and associated maritime services, while also increasing scrutiny of Russia-linked financial flows.
The sanctions work is moving in parallel with a new legal framework to end Russian gas imports, after the Council agreed a stepwise ban that requires member states to submit national diversification plans by 1 March 2026.
20th package: oil, shipping and enforcement
Diplomats and market participants are closely watching proposals that would shift the EU’s approach to curbing Russian oil revenue. One option under discussion is replacing the existing oil price-cap mechanism with a broader prohibition on maritime services linked to Russian oil exports. The rationale is that a services ban could tighten enforcement by restricting shipping, brokering and insurance arrangements that facilitate seaborne exports, including those routed through complex ownership and flagging structures.
The debate builds on earlier enforcement concerns around “shadow fleet” tankers and the practical limits of policing compliance in third-country trade, particularly where cargo pricing and documentation are difficult to verify at scale. Any move to expand maritime restrictions would have significant implications for EU-based shipping and services hubs as well as for global freight and insurance markets, given the role of European firms in parts of the sector.
EU foreign policy chief Kaja Kallas has said work is advancing on the 20th package alongside other measures intended to limit Russia’s war financing. The legislative and diplomatic process remains subject to member-state agreement on specific designations and sectoral restrictions.
Financial-risk measures: Russia added to EU high-risk list
Alongside sanctions policy, the EU has moved on financial-risk classification. On 29 January 2026, EU officials said Russia had been added to the bloc’s blacklist of high-risk jurisdictions for money laundering, a step expected to increase compliance checks and raise the cost and time of processing certain transactions involving Russian counterparties.
In practice, high-risk designation can lead banks and other regulated entities to apply enhanced due diligence to relevant clients and payment flows. The measure sits adjacent to sanctions regimes rather than replacing them, but it can add friction to financial activity even when transactions are not formally prohibited.
Council adopts stepwise ban on Russian gas imports
On 26 January 2026, the Council gave final approval to legislation setting out an EU-wide phase-out of Russian gas imports by late 2027, including constraints on both pipeline gas and liquefied natural gas. The law also embeds interim requirements: by 1 March 2026, member states must file national plans to diversify away from Russian gas and identify barriers and mitigation measures.
The Council framework includes obligations for companies to notify national authorities and the Commission of remaining Russian gas contracts, providing regulators with a clearer view of exposure and wind-down timelines. It also includes an emergency clause under which the European Commission can temporarily suspend the import prohibition for short periods if security of supply is seriously threatened.
According to reporting on the final approval, the ban foresees Russian LNG imports ending by the end of 2026, with pipeline gas phased out by late September 2027, with limited flexibility for an extension into early November 2027 under defined conditions.
Divergent positions among member states
The gas ban was not adopted unanimously. Hungary and Slovakia opposed the measure, and Bulgaria abstained, according to reports. Slovakia’s Prime Minister Robert Fico has said his government intends to challenge the decision in court.
The Commission and supporting member states argue that the phase-out is intended to reduce strategic dependence on Russian energy revenues while giving time for alternative supply arrangements and infrastructure adjustments.
Diversification: suppliers and verification
The push to end Russian gas imports is taking place against a longer-term rebalancing of EU supply. Russia’s share of EU gas imports has fallen sharply compared with pre-war levels, while Norway and the United States have increased their roles as suppliers.
A separate draft approach reported this week suggests the Commission is also considering how to enforce origin verification without imposing unnecessary burdens on low-risk suppliers such as the US and Qatar. The intent is to tighten controls on Russia-linked gas while keeping administrative friction limited for established import routes.
What happens next
The immediate deadline is 1 March 2026, when national diversification plans are due. In parallel, negotiations continue on the content and sequencing of the proposed 20th sanctions package, with oil and maritime services emerging as key areas of focus alongside financial-risk measures designed to constrain Russia-linked transactions.
