The European Union is discussing restrictions on certain exports to countries it suspects are re-exporting goods to Russia, according to the Financial Times.. Thus, the organization will try to prevent critical components from entering the Ukrainian battlefield..

The European Commission has privately explored a legal mechanism allowing it to restrict sales of a narrow range of products to certain third countries. The EU is seeking to close the loopholes that allowed banned products to leak into Russia and thus contributed to its war effort.

The move would mark a significant escalation in EU efforts to crack down on sanctions circumvention, following months of diplomatic efforts by Brussels and its allies to persuade countries such as Turkey and the UAE, as well as Central Asian countries, to take tougher measures..

Some Members are not happy with the potential implications of this proposal. In particular, among the potential problems, how this proposal could affect relations with third countries. Further discussion of the project is planned next week..

Under the agreed mechanism, the EU will first develop a legal framework that will allow the identification of products and countries of concern without naming them.. After appropriate warning, products and destinations may be added to export controls..

According to people familiar with the process, this idea was put forward during a discussion between the Commission and top EU diplomats last week, during the preparation by Brussels of the 11th package of sanctions against Russia..

However, this raises serious questions, in particular regarding the geopolitical consequences of restricting trade with countries not directly involved in the war, even if the restrictions are clearly targeted and temporary.. It's also not clear how to ensure the restrictions are compatible with global trade rules and what types of legal procedures would be needed for them to come into effect, one diplomat said..

“This will lead to a lot of discussions in the EU – is it convenient for us to do this,” the diplomat said. “How to avoid the unintended side effects of pushing certain countries in the other direction? You have to be very careful about how whips and gingerbread are used..

The proposed mechanism reflects the growing understanding by Western states that the application of existing sanctions, rather than new measures, is the right approach to further deterioration of the Russian economy..

Inside the G7, the US is calling for a complete ban on exports to Russia after it became aware of loopholes Moscow used to import Western technology through third countries..

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The US will also take action against countries that help Russia bypass sanctions.

We will remind, earlier experts said that Western sanctions against the Russian Federation have a greater impact than it seems.