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US imposes sanctions on Russian pipe-laying vessel as Moscow censures American opportunism

A file photo of the Russian pipe-laying ship Fortuna, which has been targeted with US sanctions against the Moscow-led Nord Stream 2 gas pipeline project. (By Reuters)

Outgoing US President Donald Trump has imposed new sanctions on a Russian pipe-laying vessel involved in the Moscow-led Nord Stream 2 multinational gas pipeline project on his last day in office.

The US Treasury Department announced on Tuesday the imposition of the sanctions on the Russian pipe-laying ship “Fortuna” and its owner, KVT-RUS, under the so-called Countering America’s Adversaries Through Sanctions Act (CAATSA).

The move — which is also in line with the stated policy of the incoming administration of President-elect Joe Biden — is meant to raise additional pressure on the massive project to carry Russian natural gas to energy-deficient Europe in the hopes of selling American Liquified Natural Gas (LNG) to its European allies.

Washington has so far imposed several rounds of sanctions against the project over false claims that it could undermine European energy security. It is commonly known,however, that the real aim of the US pressure is to force European countries to purchase from American LNG.

Nord Stream 2 is an offshore gas pipeline designed to double the capacity of the existing Nord Stream undersea gas pipeline linking Russia and Germany and to supply cheaper energy to Central European customers. Under the agreement between Moscow and Berlin, it was to be launched in mid-2020, but the project has been delayed due to hurdles imposed by Washington. 

In addition to Fortuna, Russian oil tanker ‘Maksim Gorky’ and the firm ‘Rustanker’ were also blacklisted on Tuesday under the CAATSA as part of Washington’s persisting economic war on Moscow. The same US law had been used previously to target numerous Russian officials and enterprises.

“The United States is not afraid to hold accountable those who continue to aid and abet this tool of Russian coercion,” Trump’s hawkish Secretary of State Mike Pompeo said in a statement.

Reacting to announcement, Kremlin spokesman Dmitry Peskov emphasized during a Tuesday press briefing that the project was under “unlawful” American pressure and that Moscow was closely monitoring developments in order to ensure the pipeline’s completion.

Biden, who will replace Trump later on Wednesday, has also opposed Nord Stream 2 in the past. His nominee to head the State Department, Antony Blinken, stated during  his Senate confirmation hearing on Tuesday that Biden strongly agreed with members of Congress that the pipeline is a “bad idea.”

Speaking before the Senate Foreign Relations Committee, Blinken said he will use “every persuasive tool” to stop the construction of the Nord Stream 2 gas pipeline and will work to convince European partners, including Germany, not to move forward with it.

Responding to the development, Russian energy giant Gazprom warned its investors earlier on Tuesday that Nord Stream 2 could be suspended or even canceled if more US sanctions were introduced, RT reported on Wednesday.

 

Moscow, however, has assured its partners that it intends to complete the project despite “harsh pressure on the part of Washington,” according to Peskov.

More than 90 percent of the project has been completed, but more than 100 kilometers of pipes must still be laid in an area off Denmark that requires highly-specialized construction equipment.

The EU has expressed reservations about joining the Washington-led sanctions on Nord Stream 2, with its foreign policy chief Josep Borrell stating that the bloc will not resist the construction of the project.

“Because we’re talking about a private project, we can’t hamper the operations of those companies if the German government agrees to it,” Borrell said Tuesday, as quoted in the RT report.

Germany, which seeks to wean itself off nuclear and coal-fired power plants, also expressed its disappointment about the new sanctions on Monday, after Washington gave Berlin early word of the move.

US sanctions violate norms of international law: Russia envoy

Russian Ambassador to the US Anatoly Antonov also reacted to Washington’s latest sanctions against Nord Stream 2, insisting that the US would not win from slapping sanctions on the participants of the project, TASS reported.

“Washington has long been trying by all means to hinder the implementation of this international commercial project. Several legislative measures have been adopted. Groundless threats are constantly being voiced against Russia and its European partners interested in cooperation in the gas sector,” Antonov said in a statement posted on the official Facebook page of the Russian Embassy in Washington.

“There is rough pressure exerted on the participants of the Nord Stream-2 consortium,” he further emphasized.

“The United States went beyond decency in an attempt to achieve its opportunistic goals. They violate the norms of international law, the principles of fair and free trade. They don’t even take into consideration the opinion of their own allies,” the senior diplomat said.


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