The Biden administration’s sanctions on Russia​

 Dr. Chung Eunsook

Director of the Department of Security Strategy
Studies, The Sejong Institute
(chunges@sejong.org)

On April 15^th, President Biden signed Executive Order on Blocking Property with Respect to Specified Harmful Foreign Activities of the Government of the Russian Federation. Biden, with the European Union and the United Kingdom, had first imposed sanctions on Russia to prevent the use of chemical weapons (Novichok) and imprisonment of Navalny on March 2nd. He imposed sanctions on several senior Russian officials, including seven high-ranking officials (Federal Defense Security Command, Deputy Head of Presidential Administration, Deputy Secretary of Defense, prosecutor general, etc.). The scope and target of the sanctions expanded.

First, the background of the sanctions is noteworthy. President Biden has dealt directly with a number of pending issues that are considered damaging to international relations through his interviews or phone calls with President Putin in January and April. This serves a stark contrast to Trump's four-year tenure in which the president refrained from directly criticizing Russia. The Biden administration identified Russia’s harmful activities that damage sovereignty and national interests of the United States and its allies as (i) attempts to destroy free and fair democratic elections and democratic systems in the U.S.; (ii) malicious cyber activity in the U.S.; (iii) supranational acts of corruption against foreign governments; (iv) international activities that target dissidents or journalists; (v) impediment to national and regional security important to U.S. national security; (vi) violation of international law principles, such as respecting territorial rights.

Second, the terms of the sanctions are noteworthy. New sanctions include expulsion of 10 Russian diplomats (including intelligence agents), expansion of state debt sanctions (U.S. financial institutions will not participate in the first market of rubles or non-rubles issued by the Russian National Wealth Fund and the Russian Treasury from June 14, 2021), and an addition of a large number of screening targets (44 cases in total, individuals and groups): ▲Sponsoring Russian intelligence authorities' cyber programs (6 companies); ▲ Participating in Russian government-led attempts to influence the U.S. presidential election in the 2020 U.S. presidential election; ▲ Supporting occupation of Crimea since 2014 (8 individuals and organizations).

Those subject to sanctions will be banned from freezing assets, traveling and trading in the U.S. (1) The Biden administration believes that 6 Russian companies have contributed to the development of mechanisms and infrastructure for malicious cyber activity in cooperation with the Russian Ministry of Defense. In fact, Russia officially announced last year that the Russian Foreign Intelligence Service (SVR) was behind the hacking of the Solar Winds platform, which is used by 9 federal government companies and about 100 private companies. On April 15^th, three U.S. intelligence authorities jointly issued technical recommendations to minimize damage; (2) the Biden administration imposed sanctions on additional 32 targets (individuals and organizations including Russian officials and their agents) last month, pointing out their attempt to influence Trump to be reelected in the 2020 presidential election—based on a report by the National Intelligence Service. Among them are President Putin's close aides, Prigogine, a patron of an Internet company, and a number of relevant people and organizations. Prigogine has been known worldwide as the leader of Russian militia groups (the "Wagner Group") in conflict zones such as Africa and Syria; (3) three other companies involved in the construction of the Kerch railway bridge between Russia and the Crimean Peninsula and five government officials of the Republic of Crimea were also sanctioned.

Whether these sanctions can change the ways of Russian activities cannot be easily and quickly predicted. Russia has received economic sanctions from the U.S. and the EU for the past seven years since the annexation of Crimea in 2014. Some warn that Russia may have found ways around sanctions. In 2018, a former Russian intelligence agent was attacked by Novichok in Salisbury, England, and 14 countries in the EU and the U.S. imposed large-scale sanctions, including the expulsion of diplomats. The victim and the victim’s daughter could recover, but a British man died. The two suspects of Russian nationality, suspected by the British prosecution, returned home after staying in the U.K. for two days and are living safely in Russia. Russians concluded that there was no evidence. Skepticism and helplessness prevailed in the West.

On April 17^th, Russia expelled 10 U.S. diplomats and imposed sanctions on 8 high-level U.S. officials in response. Furthermore, Foreign Minister Lavrov mentioned that the U.S. non-governmental organization would not allow "Russian political intervention". Actions cannot be taken as it is difficult to counter the government's debt sanctions. On the 22nd, Minister of Defense Shoigu announced the withdrawal of Russian troops, which had been stationed in the border area of Donbas in Ukraine since last month. Russia had described the purpose of the station as a form of military exercise. However, countries such as Ukraine, the U.S., France, and Germany have demanded the withdrawal as the station could turn into another geopolitical provocation by Russia—7 years after the annexation of Crimea in 2014. Western countries, and especially Biden, who was then U.S. Vice President, must be deeply indebted to Ukraine's sovereignty and territorial integration regarding Russia's annexation of Crimea.

Overall, the sanctions inhere various suggestions. First, they perhaps were to test the unity of the democratic alliance, presented by the Biden administration in its post-Trump vision, and to restore the U.S. multi-party leadership. Supporting examples are the blockage of Russian troops around Donbas by the U.S. and its alliance since March, the recent decision to expel diplomats in a number of EU member states due to Russia's espionage activities, and an immediate statement of support for the Biden administration's announcement of sanctions by the EU, NATO, and the U.K.

Second, the Biden administration is presenting the urgent task of securing cyber security on a global level. It is expected that the first step in the future will be collective security in cyberspace through cooperation with allies and partners. Third, the sanctions leave room for the Biden administration to adjust the level of sanctions depending on Russia's change of foreign policy. In other words, the U.S. government will lead Russia to pay strategic and economic costs through sanctions if Russia continues or further violates the sovereignty and national interests of the U.S. and its allies. There are various variables that were not mentioned this time, such as the issue of prize money for the Allied Forces in Afghanistan (2019), the fate of the Nord Stream 2 project, and the health of Navalny in prison.

On April 21^st, Putin warned the West not to cross “a red line with Russia” as Russia’s “reaction will be asymmetrical, rapid and harsh”, but stressed that he hoped for good relations. Hopefully, a more stable and predictable horizon for U.S.-Russia relations and international security will arise in the future. Hopefully, the U.S.-Russia summit proposed by President Biden in a third country will not only happen soon but also become a constructive guide. 

※ This is an unofficial  translation  by Jisoo Kim jk1577@georgetown.edu​ ​of the original paper which was written in Korean. All references should be made to the original paper.