One Year of War... US and EU Additional Sanctions: "Russia Designated as a State Sponsor of Terrorism" (Comprehensive)

US and EU Preparing for a Prolonged Conflict

[Asia Economy Reporter Yujin Cho] Voices are growing in the U.S. Congress to designate Russia as a state sponsor of terrorism alongside Iran and North Korea. As the Russia-Ukraine war reaches its one-year mark, the Biden administration plans to impose export controls and sanctions targeting Russia's key industries, while allies such as the European Union (EU) are preparing strong sanctions to prepare for the prolonged conflict.

Bloomberg News reported on the 19th (local time), citing sources, that the Biden administration plans to introduce new measures targeting Russia's defense industry, energy sector, financial institutions, and key individuals. The purpose of these sanctions, together with allies, is to block Russia's sanctions evasion and third countries' support for Russia. Bloomberg interpreted this as an intention to further weaken Russia's combat capabilities in anticipation of the war continuing for a considerable period. The White House National Security Council (NSC) declined to comment officially on this matter.

[Image source=Reuters Yonhap News]

In the U.S. Congress, calls are increasing to designate Russia as a state sponsor of terrorism alongside Iran, North Korea, Cuba, and Syria. Previously unsuccessful calls to support Ukraine with F-16 fighter jets have also been raised again, mainly by Republican leadership.

Republican Senator Lindsey Graham said in an interview with ABC's "This Week" on the same day, "If China jumps on Putin's train, it would be a decision dumber than dirt." Senator Graham also attended the Munich Security Conference (MSC) in Germany earlier, urging the Biden administration to designate Russia as a state sponsor of terrorism and punish countries like China that support Russia's invasion of Ukraine.

He previously co-sponsored a bill with Senator Richard Blumenthal in September last year to designate Russia as a state sponsor of terrorism. Senator Graham emphasized that "there is no need to worry about provoking Putin" and that F-16 fighter jets should be provided to enhance Ukraine's combat power. He also supported the Biden administration's warning that if China supplies lethal weapons to Russia, which is invading Ukraine, there will be severe consequences. He added, "Designating Russia as a state sponsor of terrorism will make it more difficult for China to supply weapons to Russia."

Some members of both parties in the U.S. House of Representatives also called for fighter jet support. Michael McCaul, Chairman of the House Foreign Affairs Committee, said in an interview with CNN that when asked whether the U.S. should provide F-16 fighter jets to Ukraine, "I hope so." McCaul also pointed out that support for the U.S.-made ground-to-ground missile ATACMS has not been provided, stating, "The longer we wait for (fighter jets and missile support), the longer the war will last."

This is the first time a House Foreign Affairs Committee chairman has publicly called on the U.S. government to provide fighter jets and ground-to-ground missiles to Ukraine. The Republican leadership has so far opposed unconditional large-scale U.S. government support for Ukraine. Earlier, five bipartisan House members, including Democrat Jared Golden and Republican Mike Gallagher, sent a letter to President Biden urging support for F-16 fighter jets for Ukraine.

As the Russia-Ukraine war approaches its one-year anniversary, the European Union (EU) is also expected to approve new sanctions against Russia next week. The new sanctions plan includes blocking virtually all key component supply routes used by Russia in the Ukraine war, such as fighter jet and drone parts, and mandating financial institutions to report frozen Russian assets.

The EU Commission explained that reviewing frozen funds of the Russian central bank held in the EU is important in terms of the possibility of using Russia's public assets to finance Ukraine's reconstruction.

Additional sanctions will also target Iranian companies supplying military goods such as drones to Russia. Broad export controls will cover products used by the Russian military, including technology, components, large vehicles, electronics, and rare earth elements.

The Group of Seven (G7) and the EU plan to increase pressure on companies aiding Russia's sanctions evasion, enforce existing sanctions more strictly, and escalate diplomatic pressure on countries that might support Russia.

Bloomberg analyzed that this also serves to demonstrate a stronger commitment to sanctions on the war's one-year anniversary while pressuring countries that have not yet joined the sanctions to participate. The EU aims to implement this sanctions package, totaling 11 billion euros (approximately 15 trillion won), starting on the 24th, marking the first anniversary of Russia's invasion of Ukraine.