On July 9, 2022, Canada announced that it intends to further target key Russian sectors in a new round of sanctions against Russia under the Special Economic Measures (Russia) Regulations (“Russia Regulations”).
These new sanctions “will expand existing measures on the oil, gas and chemical sectors to include industrial manufacturing”. Together, these sectors represent more than 50% of Russia’s federal budget revenues. Canada’s new sanctions will “prohibit Canadian services to contribute to the production of goods [in the metals, transport, computer, electronic and electrical, and machinery] sectors”. The news release provides that, “[o]nce the measures are in effect, Canadian businesses will have 60 days to conclude contracts with targeted industries and services”.
Our team will continue to monitor the sanctions related to Russia, providing updates about important developments affecting trade and services.
The lawyers at Tereposky & DeRose have significant experience in the design and implementation of sanctions-related compliance programs, including policies, procedures, employee training, and internal control mechanisms. They also regularly assist both Canadian and international businesses, financial institutions, and individuals with internal investigations when “red flags” appear and provide advice on compliance in these areas. Where breaches have occurred, they have worked closely with their clients in making voluntary disclosures and in engaging with the ensuing investigations conducted by the RCMP and Global Affairs Canada. We also regularly assist clients with the application for delisting process as well as applications for exemption permits.