Russia Sanctioned over Invasion of Ukraine
Russia's invasion of Ukraine has forced the West to retaliate with a slew of sanctions against Russia. Come read our blog to learn more about how Western countries and businesses are responding.
Russia initiated Europe's first major war in decades when it invaded Ukraine. The response from the West has since been united, immediate, and direct, imposing a growing list of sanctions on Russia.
Russia Invades Ukraine
Russia and Ukraine have a long history dating back before the Soviet Union. When the Soviet Union was at its peak, Ukraine was an integral part. But when the Soviet Union started to collapse in the 90s, Ukraine chose to be independent and chart its own path.
Many believe that Russia's President Putin wants to revive the Soviet Union's sphere of influence. So, as Ukraine looked to the West for its future and considered joining NATO, Putin felt compelled to intervene. Ukraine preferred to make its own decisions, believing that avoiding Russia would make it a more prosperous and free country. After multiple aggressions against Ukraine, including annexing Crimea, Putin decided to invade Ukraine.
As Western nations became aware of Putin's intentions, they threatened Russia with severe sanctions. Putin attacked Ukraine regardless, and the West immediately rolled out sanctions against Russia.
Russia Is Sanctioned
The United States, United Kingdom, Canada, the European Union, Japan, New Zealand, and Taiwan have all rolled out sanctions targeting Russian energy, finance, and military. The Western allies further put sanctions on Russia's central bank to restrict its ability to finance the war.
Although Russia is a major energy producer, it still relies on technology imports for its industries. The sanctions have banned the transfer of technology, parts, or equipment, making it hard for Russia to modernize its oil industry. The ban also includes semiconductors, sensors, telecommunication, navigation encryption security, lasers, avionics, and even maritime technologies.
Moreover, the western nations have banned Russian banks from the SWIFT system, essentially making it difficult for them to transact with other banks worldwide. To put pressure on Putin's inner circle, the sanctions include a list of Russian oligarchs. The sanctioned individuals will have their assets frozen or confiscated.
International companies have decided to stop commercial activities in Russia as well. Mcdonald's, Coca-Cola, Shell, Ferrari, Netflix, Samsung, Nike, and others have decided to suspend operations and capital investments in Russia, primarily due to the risk of sanctions or reputational damage.
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