U.S. Sanctions Update: New Parties and Key Sectors Targeted in Russia, Further Increasing Risks for Global Companies

The U.S. Government has significantly expanded restrictions on dealings by U.S. entities with Russian entities — particularly major Russian banks and energy sector companies. These actions relate to the ongoing conflict in Ukraine and the efforts by the United States, the European Union (“EU”) and other governments to try to persuade Russia to end its military engagement on behalf of the separatist movement in Ukraine. The EU also announced an expansion of its sanctions against Russia. Companies with commercial ties to Russia, especially its financial, energy, and defense sectors, should ensure they understand the impact of these recent changes, as well as future potential risks in this continuously evolving situation.