EU sanctions company responsible for producing 90% of Russian diamonds

EIn a statement, the EU Council announced that PJSC Alros – the “largest diamond mining company in the world, owned by the Russian state and responsible for 90% of all Russian diamondates production” – and Pavel Alekseevich Marinychev to the sanctions list of the 27 for actions that “threaten the territorial integrity, sovereignty and independence” of Ukraine.

PJSC Alrosa is “an important part of the Russian economic fabric” and provides “substantial revenue” to the Kremlin, which the EU believes is being channeled to finance military operations on Ukrainian territory.

The addition of this company and its CEO to the list of those sanctioned by the EU comes after the 27 reached an agreement on the ban on the import of Russian diamonds, included in the 12th sanctions package approved since February 24, 2022, and to mitigate the Moscow’s chances of circumventing the restrictive measures imposed by Brussels.

The G7 (Germany, United States of America, France, Italy, United Kingdom, Japan and Canada) also agreed in early December 2023 to ban trade with Russia in this sector.

“[A decisão da UE] It is part of a coordinated effort with the G7 to deprive Russia of important sources of revenue,” wrote EU High Representative for Foreign Affairs Josep Borrell on the social network X.

Diamonds mined and produced for sale by PJSC Alrosa were used to construct pieces, for example, from Tiffany, as well as Signet Jewelers and Brilliant Earth.

In March 2022, Tiffany suspended the purchase of Russian diamonds, practically a month after Russian troops crossed the border to begin the large-scale invasion, which continues almost two years later.

With today’s decision, the EU now has 1,950 people and organizations sanctioned for allegedly sponsoring the war in Ukraine.

The sanctions include not only a ban on trade by Member States and any entities within the 27, but also a freeze on assets and a ban on travel to EU territory.

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