Russian Trade Sanctions

us to russiaAs the situation between Russia and the Ukraine intensifies, there has been a sharp economical impact felt throughout the international shipping industry. Trade sanctions are in place and the penalties are incredibly severe.

Nations like the US imposed sanctions against Russia as a response to the Ukraine conflict. These sanctions include a ban on the exports of military equipment. Russia, in turn, responded with their own embargo that they imposed against the United States and European Union nations. It seems that these sanctions include the import of food from the US and Western nations. The food sanctions include everything from produce to meat, fish and dairy. And there are even some rumors that future sanctions from Russia could include motor vehicles.

There are many shippers that depend on transporting food to Russia. However, if any shipper or freight forwarder were to break these sanctions, then there could be very harsh penalties in the form of an expensive fine or possibly jail time. Because of the sanctions, a few shipping companies in Europe are losing money and declaring bankruptcy.

Businesses that depend on shipping food to Russia might think of an alternative. One option is to try a different route such as another nation that is not banned from importing or exporting with Russia. Examples of this include Switzerland or another country in South America. It would be wise for companies to start exploring ocean freight shipping rates for these trade lines and any procedures required for moving containers into Russia.

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