ANNOUNCEMENT 14 Jul 2022

In July 2022, the government of Canada announced further sanctions against the Russian oil, gas and chemical industries by banning the provision of certain services to such sectors as land and pipeline transport as well as manufacturing of metals and of transport, computer, electronic and electrical equipment, and machinery.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Global Affairs Canada. News Release "Minister Joly announces Canada’s intent to further sanction key Russian economic sectors". 14/07/2022. Available at: https://www.canada.ca/en/global-affairs/news/2022/07/minister-joly-announces-canadas-intent-to-further-sanction-key-russian-economic-sectors.html

Regulations Amending the Special Economic Measures (Russia) Regulations (SOR/2022-173). 14/07/2022. Available at: https://www.international.gc.ca/world-monde/international_relations-relations_internationales/sanctions/russia_regulations-reglement_russie25.aspx?lang=eng

Inception date: 12 Sep 2022 | Removal date: open ended

Export ban

On 14 July 2022, the government of Canada promulgated Regulations Amending the Special Economic Measures (Russia) Regulations (SOR/2022-173), prohibiting the export of 2 additional services to 8 Russian industries. The restrictions are introduced in response to Russia's invasion of Ukraine. 

The services prohibited for exportation are all manufacturing services, including those incidental to the manufacture of metal products, machinery, and equipment and those related to food, textile, wood, and petrochemical manufacturing. These services are now included in Part 1 of Schedule 8 of the Special Economic Measures (Russia) Regulations, which bans the provision of these services to any industry mentioned in Part 2 of Schedule 8. 

In turn, a number of industries are added to Part 2 of Schedule 8. These industries include:

1. Manufacturing of basic metals

2. Manufacturing of fabricated metal products, except machinery and equipment

3. Manufacturing of computer, electronic and optical products

4. Manufacturing of electrical equipment

5. Manufacturing of machinery and equipment not elsewhere classified

6. Manufacturing of motor vehicles, trailers and semi-trailers

7. Manufacturing of other transport equipment

8. Land transportation and transportation via pipelines

The ban on the exportation of services also applies to the 7 Russian manufacturing sectors added to Part 2 of Schedule 8 on 8 June 2022 (see related state act)

The measure will take effect 60 days after the announcement date. 

In this context, Mélanie Joly, Minister of Foreign Affairs, said: "Canada is unwavering in its support of Ukraine’s sovereignty and territorial integrity. Putin’s unjustifiable war has affected millions in Ukraine and across the world. That is why we will continue to target the Russian regime’s coffers. Canada will not relent in pressuring the Russian regime". 

The measure is part of the sanctions introduced by Canada against Russia and Belarus in response to the Ukraine invasion (see related state acts).

AFFECTED SECTORS

 
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AFFECTED PRODUCTS

 
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