EU-Russia Sanctions Deal Reached After Last-Minute Deadlock
The EU-Russia sanctions regime has survived a last-minute political deadlock after European Union countries reached a compromise over demands to remove two prominent billionaires from the bloc’s sanctions list.
EU ambassadors agreed on Tuesday, 22 September, to delist Russian-Uzbek metals billionaire Alisher Usmanov and Russian billionaire Mikhail Fridman.
In exchange, EU countries will renew restrictions covering roughly 3,000 other individuals and entities for three years rather than the usual six-month period.
The breakthrough came only hours before the sanctions were due to expire.
The dispute had become an uncomfortable test of EU unity over Russia at a particularly sensitive diplomatic moment, with Ukraine’s future and Arctic security also dominating meetings around the United Nations General Assembly in New York.
The agreement prevents the broader sanctions list from lapsing while highlighting increasingly complicated negotiations among the EU’s 27 member states over how restrictions against Russia should be maintained.
What Caused the EU Sanctions Deadlock?
The disagreement centred on whether Usmanov and Fridman should remain subject to EU sanctions.
France pushed to remove Usmanov from the list, while Luxembourg sought to remove Fridman.
Other EU members were uncomfortable with the proposed changes.
Latvia emerged as the final major obstacle to an agreement.
Because EU foreign-policy sanctions require unanimity, one member state can prevent a renewal.
That created an urgent problem.
The existing restrictions were scheduled to expire at midnight on 22 September.
Without agreement, sanctions affecting nearly 3,000 individuals and organisations linked by the EU to Russia’s actions against Ukraine could have expired.
Those targeted include senior Russian political figures, as well as companies and organisations.
After several rounds of negotiations, Latvia agreed not to block the compromise
Usmanov and Fridman Removed From Sanctions List
The most controversial part of the agreement is the removal of Usmanov and Fridman.
Usmanov is a Russian-Uzbek businessman whose interests have included metals, mining and telecommunications.
He was placed under EU sanctions following Russia’s full-scale invasion of Ukraine in 2022.
France had pushed for his removal, citing national-security considerations.
Fridman, meanwhile, is a co-founder of Alfa Group and has challenged sanctions imposed against him.
Luxembourg supported removing him from the list while facing a multibillion-dollar legal claim connected with the sanctions.
Their removal became the price of securing a wider agreement.
The EU did not abandon its broader sanctions regime.
Instead, member states agreed to continue restrictions against the thousands of other listed people and entities.
Sanctions Extended for Three Years
One of the most significant elements of the compromise is its length.
Rather than renewing the individual sanctions for another six months, EU governments agreed to a three-year extension for the remaining listings.
That is important because sanctions renewals have repeatedly created opportunities for individual member states to demand concessions.
A longer renewal period reduces the frequency with which the entire list must return to the negotiating table.
The EU says it intends its Russia sanctions to increase pressure on Moscow and to target people, businesses and sectors connected with Russia’s war against Ukraine.
Measures can include asset freezes and travel restrictions.
The broader EU sanctions architecture also includes extensive restrictions affecting finance, trade, energy and technology.
Why Latvia Initially Objected
Latvia has traditionally supported a tough European approach to Russia.
Its geographical position and history make Russian security policy particularly important in Latvian politics.
Latvia was therefore reluctant to support removing two wealthy businessmen from the sanctions list while Russia’s war against Ukraine continued.
The dispute was ultimately resolved through a wider diplomatic compromise.
Latvian Prime Minister Andris Kulbergs said France had agreed to begin discussions with Latvia about joining a French nuclear-deterrence initiative.
He also said France had committed to strengthening its military presence in Latvia, especially in air defence.
Latvia ultimately abstained rather than blocking the sanctions agreement.
That allowed the wider package to proceed
Ukraine Criticises the Delisting Decision
Not everyone has welcomed the compromise.
Ukraine’s Foreign Minister Andrii Sybiha has criticised the removal of Usmanov and Fridman.
Kyiv has consistently argued that it should maintain economic pressure on people and businesses it considers connected with the Russian system while the war continues.
From Ukraine’s perspective, sanctions are not simply symbolic.
Kyiv sees economic restrictions as part of a wider strategy designed to limit Russia’s ability to finance and sustain its military operations.
The dispute therefore exposes a difficult question for Europe.
EU governments broadly continue to support sanctions against Russia, but disagreements can arise over individual listings, legal challenges and the evidence required to maintain restrictions.
Why EU Sanctions Require Compromise
EU sanctions policy can appear complicated because decisions must balance political objectives with legal requirements.
The European Commission describes restrictive measures as a foreign-policy tool intended to influence policies or activities while targeting responsible governments, organisations, companies or individuals.
The Council takes decisions on adopting, renewing or lifting sanctions.
Unanimity makes maintaining unity important.
That gives every EU member considerable influence.
It also explains why a disagreement involving only two names threatened a sanctions list covering thousands of people and entities.
The September negotiations provide a striking example of how that system works in practice.
EU Sanctions Have Expanded Since Russia Invaded Ukraine
The European Union has progressively expanded sanctions against Russia since Moscow’s annexation of Crimea in 2014.
Those measures grew dramatically after Russia launched its full-scale invasion of Ukraine in February 2022.
By September 2026, the EU had adopted 21 sanctions packages targeting Russia.
Individuals, companies, and sectors of the Russian economy are covered by the restrictions.
The EU says the objective is to weaken Russia’s ability to sustain its war while increasing economic and political pressure on Moscow.
Russia has repeatedly criticised Western sanctions, arguing that they harm both European economies and Russia.
The effectiveness and economic consequences of sanctions continue to be debated, but they remain one of the EU’s principal non-military tools in responding to the war.
Sanctions Drama Comes as Zelenskyy Meets Trump
The timing of the Brussels dispute was particularly important because major Ukraine diplomacy was simultaneously taking place in New York.
Ukrainian President Volodymyr Zelenskyy travelled to the United Nations General Assembly for talks with world leaders, including US President Donald Trump.
Zelenskyy’s priorities included strengthening Ukraine’s air defences and discussing a possible agreement to reduce attacks on its energy infrastructure.
Ukraine is particularly concerned about Russian strikes on its energy system as another winter approaches.
Kyiv has also sought additional Patriot air-defence systems.
The diplomatic push comes as Russia and Ukraine continue exchanging long-range drone and missile attacks.
The sanctions debate in Brussels therefore had consequences far beyond an administrative deadline.
A failure to renew the measures would have sent an entirely unique political signal at the same moment Ukraine was seeking continued international pressure on Moscow.
Greenland Security Talks Add Another Geopolitical Dimension
Ukraine was not the only major security issue on the agenda.
Trump also met Danish Prime Minister Mette Frederiksen and Greenland’s Prime Minister Jens-Frederik Nielsen in New York.
The United States, Denmark and Greenland signed a new security agreement allowing an expanded US military presence on Greenland.
The agreement follows months of tension over Trump’s demands concerning the strategically important Arctic territory.
Crucially, the deal does not transfer Greenland to the United States.
Instead, it expands American security access while Denmark and Greenland retain sovereignty.
The agreement reflects growing concern about military competition in the Arctic, including the activities of Russia and China.
Greenland’s geographical position between North America and Europe makes it strategically important for missile warning, Arctic surveillance and North Atlantic defence.
Why Greenland Matters to European Security
Greenland is an autonomous territory within the Kingdom of Denmark.
Although geographically part of North America, it has deep political and economic links with Europe.
The Arctic is becoming increasingly important because of security competition, shipping routes, critical minerals and climate change.
Russia possesses an extensive Arctic coastline and substantial military infrastructure across its northern territories.
China has also shown growing economic and strategic interest in the region.
Those factors have increased Greenland’s importance to NATO and the United States.
Earlier in September, European Commission President Ursula von der Leyen visited Nuuk and announced a €200 million EU investment package for Greenland.
The package covers areas including connectivity, hydropower, critical raw materials, housing, tourism and small businesses.
The EU described Greenland as a strategic ally and trusted partner.
Ukraine and Greenland Highlight Europe’s Security Challenge
At first glance, the stories of Russia’s sanctions, Ukraine, and Greenland may seem separate.
But they increasingly connect through the same broader question: how Europe responds to a changing security environment.
In Eastern Europe, Russia’s war against Ukraine remains the most immediate military threat.
In the Arctic, competition involving Russia, the United States, China and European states is increasing Greenland’s strategic importance.
Meanwhile, European governments are trying to strengthen their defence capabilities while managing sometimes difficult relationships with Washington.
The sanctions dispute demonstrates another challenge.
Even when EU countries agree on the broad objective of pressuring Russia, it can be politically difficult to reach agreement on specific measures.
What Happens to the Russia Sanctions Now?
The immediate crisis has been resolved.
Usmanov and Fridman will be removed from the sanctions list, while restrictions against roughly 3,000 other individuals and entities will continue for three years.
That longer renewal provides more stability than the previous six-month cycle.
But the controversy is unlikely to disappear.
Questions will continue over whether individual sanctions are legally sustainable, whether additional people should be listed and whether existing measures are effectively limiting Russia’s ability to finance its war.
There will also be debate over whether removing prominent individuals weakens the political message behind the sanctions.
Supporters of the compromise can point to the preservation of restrictions against thousands of other targets.
Critics can argue that individual delistings risk creating pressure for further exceptions.
Both issues are likely to remain part of European foreign-policy discussions.
What to Watch Next
Several developments will determine where the story goes from here.
Ukraine will closely monitor the results of Zelenskyy’s talks in New York, particularly regarding air defence and possible efforts to reduce attacks on energy infrastructure.
EU governments will continue assessing sanctions enforcement and possible future measures against Russia.
Latvia and France are expected to discuss deeper defence cooperation.
Meanwhile, implementation of the Greenland security agreement will show how far the United States expands its military presence on the island.
These developments all form part of a rapidly changing European security picture.
Conclusion
The EU-Russia sanctions dispute came dangerously close to the deadline before European governments finally reached a compromise.
France had pushed to remove Alisher Usmanov from the sanctions list, while Luxembourg sought to remove Mikhail Fridman.
Latvia initially resisted the plan.
The eventual agreement removes both billionaires but preserves sanctions against roughly 3,000 other individuals and entities for another three years.
The decision avoids what would have been a significant breakdown in EU sanctions policy.
But it also demonstrates how difficult maintaining unanimity among 27 countries can become.
The timing makes the episode even more significant.
As EU diplomats negotiated in Brussels, Zelenskyy was in New York pursuing further international support for Ukraine, while Trump, Denmark and Greenland signed a major new Arctic security agreement.
Together, the developments underline how European security now stretches from the battlefields of Ukraine to the Arctic.
The sanctions crisis may have been resolved for now, but the larger questions surrounding Russia, Ukraine and Europe’s future security are nowhere near settled.
Frequently Asked Questions
Did the EU-Russia sanctions expire?
No. On 22 September 2026, EU ambassadors reached a compromise that renewed the wider sanctions regime covering roughly 3,000 listed individuals and entities.
Which Russian billionaires were removed from EU sanctions?
The EU agreed to remove Alisher Usmanov and Mikhail Fridman from the sanctions list.
How long were the remaining sanctions extended?
The remaining individual sanctions were extended for three years, rather than the usual six-month renewal period.
Why was the EU deadlocked?
France wanted Usmanov removed, while Luxembourg pushed for Fridman’s delisting. Latvia initially objected to the compromise, creating a deadlock because EU sanctions decisions require unanimity.
What are the EU sanctions against Russia designed to do?
The EU says its sanctions aim to increase pressure on Russia and limit its ability to sustain its war against Ukraine.
What is happening with Ukraine talks?
President Volodymyr Zelenskyy is holding high-level talks in New York, including discussions with US President Donald Trump, with air defence and a possible energy-related truce among the issues on the agenda.
What is the Greenland agreement?
The United States, Denmark and Greenland have signed an agreement allowing a larger US military presence on Greenland. The agreement does not transfer sovereignty over Greenland to the United States.
