Policy to Deny in Full Effect - Sobel Network Shipping Co., Inc.

Policy to Deny in Full Effect

Significant sanctions have been placed on Russia by the US in response to their invasion of Ukraine. Categories 3-9 of the Commerce Control List (CCL) goods are subject to license requirements and currently listed under a ‘policy to deny’, effective as of February 24, 2022. This means that carriers can point-blank deny Russian exporters and refuse them. Some of the CCL categories involve the following: Electronics; Computers; Telecommunications; Information Security; Sensors and Lasers; Navigation and Avionics; Marine; and Aerospace and Propulsion.

 

Whether exports, re-export, or in-country transfers, it doesn’t matter – this applies to all of them. On February 21, 2022, the new measures following an executive order were issued, which barred any and all transactions relating to the two eastern regions of Ukraine, also known as the DNR and LNR regions. These particular regions were the initial points of the Russian invasion and have been collaborating with separatists, former Soviet Union sympathizers, and Russian nationalists.

 

These sanctions also restrict exports to nearly all goods traveling to ‘military end-users or for ‘military end uses’. The US sanctions lists now include several dozen entities and individuals both in Russia and Belarus. The US Treasury Department is also working to prohibit payments through the US financial system through Russia’s two largest banks Sberbank and VTB Bank. 

 

While the situation remains fluid at the moment, and will most definitely continue to evolve, Sobel will be right here, keeping our clients updated and in the know should something change in the near future. The volatile nature of these situations will only serve to prove Sobel will take care of its clients in times of unprecedented uncertainty. If you have any questions regarding this situation and how it affects you, please contact your Sobel representative today and we’ll get you on the right track for all your logistics needs.