Sanctions Guidance Updated by G7

The G7 published joint guidance for industry on preventing evasion of the export controls and sanctions imposed on Russia.  Tuesday's release follows greater coordination between Washington and the governments of  Canada, France, Germany, Italy, Japan and The UK,  

OLAF, the European Anti-Fraud Office participated in the guidcance process, as well as the Global Export Control Coalition, a 39-member coalition that has implemented substantially similar
controls

The guidance document contains:

• A list of items which pose a heightened risk of being diverted to Russia, the Common High Priority List
• Updated red flag indicators of potential export control and/or sanctions evasion, 
• Best practices for industry to address these red flags, and
• Screening tools and resources to assist with due diligence.

Representatives from the G7 Sub-Working Group on Export Control Enforcement met in Brussels to announce the release of the guidance, and to reaffirm their ongoing commitment to robust, multilateral export control and sanctions enforcement.

The started goal of the guidance is to

• protect common high priority list items from misappropriation, The CHPL may be found here.
• prevent reputational harm, and
• mitigate liability risk,

all while supporting the continued success of coordinated export controls and sanctions.

Red Flags & Resources

In addition to a two-page checklist of potential red flags, the guidance includes stepwise best practices for additional due diligence once flags are found.

Participating authorities included links to relevant Screening Tools and Guidance Documents on their websites, which are reproduced here:

SCREENING TOOLS

Consolidated Canadian Autonomous Sanctions List

European Union (EU) Consolidated List of Financial Sanctions

United Kingdom Sanctions List

United States Consolidated Screening List

GUIDANCE DOCUMENTS

Canada

Restricted Goods and Technologies List

 Special Economic Measures (Russia) Regulations 

European Commission

List of Common High Priority List Items European Commission Guidance for EU Operators

Sanctions webpages (Opinions, FAQs)

Export Enforcement Five - E5

Guidance for Industry and Academia

Germany

“Sanktionsumgehung –Hinweispapier zur Unterstützung der Unternehmen beim Umgang mit warenverkehrsbezogenen Sanktionen”

“Sanktionsumgehung – Hinweis: Kriegsrelevante Güter gelangen vermehrt von

ausländischen Tochtergesellschaften von EU-Unternehmen nach Russland”

Japan

Guidelines, Explanatory Materials, Related Regulations (Japanese)

Regulated Items, Sanctioned Entities, Application Forms, FAQs (Japanese)

UK

US

Best Practice: Certification to Prevent Diversion to Russia of Highest Priority Items Guidance to Prevent Evasion of Prioritized Harmonized System Codes to Russia

Bureau of Industry and Security: Russia-Belarus Export Controls Resources